Royal Philips Electronics today announced that the transaction to create a Television joint venture with TPV Technology Limited has been completed.

The joint venture will be called TP Vision and will be 70% owned by TPV and 30% by Philips. TP Vision will develop, manufacture and market Philips branded TV sets.

The completion of the agreement comes after the necessary merger clearance, governmental and TPV shareholder approvals were obtained. TP Vision, with headquarters in Amsterdam, will be led by Mr. Maarten de Vries.

"TP Vision will be a strong player in the global TV market and will ensure the continuity of the Philips TV brand in the markets," said Philips Chief Executive Officer Frans van Houten. "TP Vision will leverage the strength of the Philips brand, innovation power and trade relationships, with the additional scale and manufacturing strengths of TPV. The TV partnership with TPV enables Philips to focus on expanding market leadership positions across our Healthcare, Consumer Lifestyle and Lighting sectors."

"We are glad to have Philips as a partner in this Television joint venture," said TPV Chairman and Chief Executive Officer Jason Hsuan. "This partnership will enhance Philips' brand position in the TV space and bring sustainable returns to both shareholders. Philips and TPV have been partners for many years and we are confident that together we can become a major player in Television globally."

TP Vision will be responsible for the design, manufacturing, distribution, marketing and sales of Philips' Television worldwide, with the exception of mainland China, India, United States, Canada, Mexico and certain countries in South America. As part of the transaction, the Philips Television innovation and manufacturing sites, commercial organizations, headquarters and employee base of close to 3,300 will transfer to TP Vision.

Philips Television has operated as a standalone business within Philips Consumer Lifestyle since January 1, 2012.