LeEco to buy TV producer Vizio for $2b

Move forms part of the firm's 'big bang plan' to enter the market in the United States

LeEco Global Ltd announced on Tuesday that it will acquire Vizio Inc, a major TV manufacturer in the United States, for $2 billion in cash as it expands globally.

It took the two companies three years to reach the agreement, under which Vizio's hardware and software businesses will be operated as a wholly owned subsidiary of LeEco Holdings Ltd, while the data business, Inscape, will operate as a separate, privately owned company. LeEco Global will own a 49 percent stake of Inscape, and William Wang, founder and CEO of Vizio, will own a 51 percent stake.