Complex sentence: Both the old woman and Ayu decide they will take care of Pao, who even though he does not trust strangers, he takes an immediate liking to Ayu, the old woman, and later on Yoshiyuki.
Split into simpler sentences: Both the old woman and Ayu decide they will take care of Pao. Even though the dog does not trust strangers, he takes an immediate liking to Ayu, the old woman, and later on Yoshiyuki.