Hisense has reached an agreement to buy 95% of the shares of Toshiba Visual Solutions for 12.9 billion Japanese Yen (R1.6 billion).
Hisense will obtain Toshiba’s TV businesses – including production, research and development, and its sales functions.
Toshiba Visual Solutions will then receive a licence to use the Toshiba brand in connection with its visual products and services for 40 years.
Hisense said it will expand the international strategy for its TV business in the areas of R&D, branding, and marketing – with plans to operate under multiple brands.
It said Toshiba has two factories in Japan, hundreds of employees, and a significant intellectual property portfolio related to the TV business.
This includes patents related to TV image quality and acoustics.
“The cooperation between Hisense and Toshiba will drive changes to the new picture of TV business,” said Hisense.