Gome Electrical Appliances Holding, the mainland's biggest home appliance retail chain whose shareholders yesterday approved a full takeover of the company, expect Golden Week sales to double last year's. Executive director Du Juan said strong sales showed the retail sector had been unaffected by mainland interest rate rises. 'Our stores were open until midnight [on Labour Day] and the spending ability of mainland consumers remained strong,' Ms Du said. She said she was confident sales for Golden Week would exceed last year's. 'What we are unsure of is whether we achieved double or triple on last year,' she said. The robust result came just days after the People's Bank of China raised its benchmark one-year lending rate by 27 basis points to 5.85 per cent on Thursday, further tightening the country's credit policy to slow the overheating economy. Ms Du said increasing disposable income on the mainland would offset the impact of austerity measures on the retail sector. 'They will buy houses, cars and go for electrical appliances,' she said. Mainlanders are now the biggest savers in the world and bank deposits, now at 28 trillion yuan, form the backbone of a Beijing-led policy to shift investment-led growth to domestic consumption. Last year, mainland retail sales grew 12.9 per cent to 6.7 trillion yuan. Shares of Gome rose 5.22 per cent to close at $7.05 yesterday. At yesterday's special general meeting, the firm obtained permission from shareholders to pay $6.98 billion to chairman Wong Kwong-yu for the 35 per cent of Gome Appliance Group it does not own. The acquisition will be financed by issuing $5.23 billion worth of new shares, paying $990 million in cash and assuming $761 million of debt from a previous property purchase. For the year to December last year, Gome Appliance recorded net profits of 796 million yuan. Upon completion of the deal, the listed company, Gome Electrical Appliances Holding, will be entitled to 100 per cent of the net profits of Gome Appliance. DBS Vickers Securities expect Gome's earnings will jump 48 per cent to $743 million next year.