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Chinese media tie-up underway
An international firm has provided advice to TCL Multimedia on its tie-up with LeTV.
Lara Bullock
Firms: Herbert Smith Freehills (TCL Multimedia);Jiayuan (TCL Multimedia); Allen & Overy and King & Wood Mallesons (LeTV)
Value: $400 million
Area: TMT
Key Players: The Herbert Smith Freehills team was led by Beijing partner Tom Chau (pictured), with assistance from senior associates Lawrence Wang and Isaac Chen and trainee solicitor Stephanie Chan.
Deal Significance:
Hong Kong-listed smart TV manufacturer TCL Multimedia Technology Holdings Limited has made a strategic tie-up with Mainland online video operator LeTV.
The transaction included LeTV's purchase of 348.85 million shares in TCL Multimedia, a total investment amounting to HK$2.27 billion (AU$400 million), and a shareholding percentage of around 20.1 per cent after completion.
The transaction is expected to close in early 2016.
HSF lead partner Tom Chau said: “China's industrial players like TCL Multimedia and LeTV have increasingly been pioneering the global transformation of the internet-based lifestyle of families worldwide by bringing in the 'living room ecosystem', which features smart TVs with user-friendly internet access and ample online content."
He continued: “This deal forges a major strategic alliance between China's leading smart TV manufacturer and its star online media provider, which is set to further promote this transformation.”
