Chinese technology company LeEco will not go ahead with its plans to purchase American television maker VIZIO. The $2 billion (€1.89 bn/£1.60 bn) deal has been cancelled, with regulatory difficulties being cited as the reason behind the decision.
LeEco is a big player in China, with involvement in a number of sectors from online video to consumer electronics. Last year the company made no secret of its global ambitions, in October completing a relatively high-profile launch in the United States.
Both LeEco and VIZIO have their own TV ranges. The acquisition of VIZIO, already operating in a sector where LeEco wanted to gain a US foothold, could potentially have accelerated growth.
But since its US debut, LeEco’s international expansion has not been a smooth process.
In 2016 LeEco also acquired land from Yahoo, at a cost of $250 million (€235 m/£200.17 m), with the aim of establishing a Silicon Valley presence with 12,000 employees on US soil. More recently, however, there have been reports that LeEco is now seeking a buyer for this land.