QINGDAO, China, Aug. 6, 2013 /PRNewswire — Loewe announced on July 31 at its shareholders’ meeting that Hisense will provide the company the latest TV panel and smart TV software technology in a move to assist it in expanding the premium TV market. Loewe plans to enter the promising Asia market soon. In turn, Loewe will offer Hisense a first-class distribution network in Western Europe.
Loewe’s share price climbed 30 percent on the news.
Loewe, founded in 1923, is a well-established German premium brand for Consumer Electronics well-known for high quality that produces and markets television sets, blue-ray players, audio equipment and computer sharing technology. However, the LCD market in Europe has shown negative growth, leading to a decline in Loewe results.
Hisense Vice President Lin Lan spoke highly of Loewe’s channel resources in overseas markets. “The strategic cooperation between Hisense and Loewe is benefiting both of us and will help us to gain market share in Europe based on advanced technologies such as UHDTV,” said Lin.
Europe is a strategic region for Hisense’s global development. Establishing an innovative cooperation model encompassing R&D, manufacturing, as well as access to a diversified network of sales and distribution channels, is part of Hisense’s comprehensive strategy to gain a foothold in the European market.
Hisense Group achieved revenue of 45.4 billion yuan (approx. US$7.4 billion) in the first half of this year, up 22 percent year on year, with profit growing 20 percent, maintaining a steady growth momentum.