Vimicro Electronics, a joint venture company of Tianjin government and Vimicro International, has entered into a definitive agreement to acquire video surveillance system business from Alcatel-Lucent Shanghai Bell.

Vimicro Electronics (Vimicro Tianjin) will acquire the complete video surveillance system (ViSS) business including all property, plant and equipment, inventories, business contracts, intellectual property and service and development capabilities in China.

Vimicro and Alcatel-Lucent Shanghai Bell (ASB) will continue the cooperation on solution and marketing developments in the future. As part of this acquisition, Vimicro Tianjin also gained the use of its brand name for a certain period as well as a R&D team.

John Deng, chairman and CEO of Vimicro, said: "We are very excited to reach this agreement with ASB. The established telecom and government customers base and the prestigious brand name of ASB will provide us strong leverage to expand in the fast growing surveillance market in China.

"The acquisition and the partnership with ASB will further enrich our product portfolio to address the fast growing market needs, position us strongly as leading surveillance solution provider in China and build upon our growth."