State-owned Shanghai Vegetable Group Co, which supplies 80 percent of the vegetables in Shanghai, became a subsidiary of Bright Food Group on Jan 1, a Bright Food spokesman said.

Pan Jianjun was quoted by National Business Daily as saying that Shanghai Vegetable has become a division of Bright Food from 2014, however, detailed integration plans are still under discussion.

Sources close to Bright Food said that Shanghai Vegetable may not become a listed company as its business is related to livelihoods. Bright Food has four listed subsidiaries, including Bright Dairy and Food Co and Shanghai Maling Aquarius Co.

Experts said the integration will allow Bright Food to further expand its industrial chain and boost distribution.