Investing.com -- Sony Group Corp. is close to reaching a binding agreement to sell a majority stake in its home entertainment business to TCL Electronics Holdings Ltd. in a deal valued at approximately $1 billion, Bloomberg reported Monday.

The companies have reportedly advanced in their negotiations and are working to announce a transaction as soon as this month. While discussions are at an advanced stage, no final decision has been made.

Sony and TCL announced in January their plan to establish a joint venture for the Japanese company's home entertainment business, which includes its Bravia television brand. Under the memorandum of understanding, Sony would hold 49% of the venture and TCL the remaining 51%.

The new joint venture will start operations in April 2027 and produce television sets carrying the Sony and Bravia names but using TCL's display technology, according to the January statement.