China’s LeTV is to acquire a 20% stake in TCL: an acquisition valued at HKD2.2 billion ($291.6 million). Through the move, LeTV will become TCL’s second-largest stakeholder.
The official owner of the shares will be LeTV Shixin Electronic Technology: a LeTV subsidiary selling smart TVs and STBs. It will nominate two board directors in TCL after the deal.
LeTV will be able to use TCL’s hardware and supply chain, while TCL TV owners will be able to access LeTV’s online entertainment services.