Walmart has completed its acquisition of Vizio and its SmartCast OS, a strategic move that will enhance Walmart’s advertising capabilities and customer shopping experience. The acquisition brings together Vizio’s smart TV platform and advertising business with Walmart Connect, the retailer’s media business.
Regarding the deal terms, Walmart acquired Vizio for $11.50 per share in cash, resulting in a total equity value of approximately $2.3 billion. The deal will be financed through cash and/or debt, and while it’s expected to be slightly dilutive to Earnings Per Share in both Q4 FY2025 and FY2026, the Internal Rate of Return is anticipated to exceed Walmart’s reported return on investment. As part of the transaction, Vizio will become a wholly owned subsidiary of Walmart, and its Class A common stock will be delisted from the NYSE. Vizio’s business will be reported under Walmart’s US segment, with Vizio CEO William Wang continuing to lead the company and reporting to Seth Dallaire, Walmart’s executive vice president and chief growth officer.
