Xiaomi buys 65.2 million shares in TCL

Xiaomi Corp. has invested in Chinese multinational electronics firm TCL as both companies partnered to develop smart products.

Xiaomi founder and CEO Lei Jun

Xiaomi buys 65.2 million shares in TCL

In a filing to the Shenzhen Stock Exchange, TCL said Xiaomi just purchased 65.2 million shares, translating to 0.48 percent stake in the company.

The home appliance maker noted the agreement with Xiaomi was signed last December 29. 

TCL said this signaled the Beijing-based tech firm’s willingness to have a strategic partnership, particularly in research and development for the plan to integrate smart devices with "core, high-end, and basic" electronic parts.

Our partnership helps facilitate the transformation and upgrade of China’s manufacturing industry, TCL CEO Li Dongsheng said.

Meanwhile, in his post on Weibo, Xiaomi founder and CEO Lei Jun considered this partnership as a "tremendous help" for the company as it seeks to boost its operation in home appliances.

Xiaomi has been teaming up with industry players to expand its portfolio with smartphones, wearables, connected devices, or non-smartphone hardware segment.

What do you guys think?

Source: TechCrunch