Thanks @chrish for all the help. So here is how i did it:

final SpannableStringBuilder sb = new SpannableStringBuilder();
TextView tv = createContactTextView(contactName);
BitmapDrawable bd = (BitmapDrawable) convertViewToDrawable(tv);
bd.setBounds(0, 0, bd.getIntrinsicWidth(),bd.getIntrinsicHeight());

sb.append(contactName + ",");
sb.setSpan(new ImageSpan(bd), sb.length()-(contactName.length()+1), sb.length()-1,Spannable.SPAN_EXCLUSIVE_EXCLUSIVE);
to_input.setText(sb);

public TextView createContactTextView(String text){
  //creating textview dynamically
  TextView tv = new TextView(this);
  tv.setText(text);
  tv.setTextSize(20);
  tv.setBackgroundResource(R.drawable.oval);
  tv.setCompoundDrawablesWithIntrinsicBounds(0, 0, R.drawable.ic_clear_search_api_holo_light, 0);
  return tv;
}

public static Object convertViewToDrawable(View view) {
  int spec = MeasureSpec.makeMeasureSpec(0, MeasureSpec.UNSPECIFIED);
  view.measure(spec, spec);
  view.layout(0, 0, view.getMeasuredWidth(), view.getMeasuredHeight());
  Bitmap b = Bitmap.createBitmap(view.getMeasuredWidth(), view.getMeasuredHeight(),
            Bitmap.Config.ARGB_8888);
  Canvas c = new Canvas(b);
  c.translate(-view.getScrollX(), -view.getScrollY());
  view.draw(c);
  view.setDrawingCacheEnabled(true);
  Bitmap cacheBmp = view.getDrawingCache();
  Bitmap viewBmp = cacheBmp.copy(Bitmap.Config.ARGB_8888, true);
  view.destroyDrawingCache();
  return new BitmapDrawable(viewBmp);

}

Here is a complete Solution for you

//creating textview dynamicalyy
TextView textView=new TextView(context);
textview.setText("Lauren amos");
textview.setbackgroundResource(r.color.urovalshape);
textView.setCompoundDrawablesWithIntrinsicBounds(0, 0, R.drawable.icon_cross, 0);


BitmapDrawable dd = (BitmapDrawable) SmsUtil.getDrawableFromTExtView(textView);
edittext.settext(addSmily(dd));

//convert image to spannableString
public SpannableStringBuilder addSmily(Drawable dd) {
 dd.setBounds(0, 0, dd.getIntrinsicWidth(),dd.getIntrinsicHeight());
SpannableStringBuilder builder = new SpannableStringBuilder();
builder.append(":-)");
builder.setSpan(new ImageSpan(dd), builder.length() - ":-)".length(),builder.length(),Spannable.SPAN_EXCLUSIVE_EXCLUSIVE);

return builder;
}

  //convert view to drawable
  public static Object getDrawableFromTExtView(View view) {

    int spec = MeasureSpec.makeMeasureSpec(0, MeasureSpec.UNSPECIFIED);
    view.measure(spec, spec);
    view.layout(0, 0, view.getMeasuredWidth(), view.getMeasuredHeight());
    Bitmap b = Bitmap.createBitmap(view.getWidth(), view.getHeight(),
            Bitmap.Config.ARGB_8888);
    Canvas c = new Canvas(b);
    c.translate(-view.getScrollX(), -view.getScrollY());
    view.draw(c);
    view.setDrawingCacheEnabled(true);
    Bitmap cacheBmp = view.getDrawingCache();
    Bitmap viewBmp = cacheBmp.copy(Bitmap.Config.ARGB_8888, true);
    view.destroyDrawingCache();
    return new BitmapDrawable(viewBmp);

}

Here is the complete project file ,if any of you want to use Spannble


I got a library which does what you're looking for with :

  • Default or fully customizable (you can even use your own layout)
  • Multiline support
  • Click listener

Have a look here

Here a quickstart :

Add ChipView to your layout or create it programmatically :

<com.plumillonforge.android.chipview.ChipView
    android:id="@+id/chipview"
    android:layout_width="match_parent"
    android:layout_height="wrap_content" />

Init it with a list of data which extend abstract Chip and a click listener (if you want) :

List<Chip> chipList = new ArrayList<>();
chipList.add(new Tag("Lorem"));
chipList.add(new Tag("Ipsum dolor"));
chipList.add(new Tag("Sit amet"));
chipList.add(new Tag("Consectetur"));
chipList.add(new Tag("adipiscing elit"));
ChipView chipDefault = (ChipView) findViewById(R.id.chipview);
chipDefault.setChipList(chipList);
chipDefault.setOnChipClickListener(new OnChipClickListener() {
        @Override
        public void onChipClick(Chip chip) {
            // Action here !
        }
    });

Default ChipView is rendered like this :

Default ChipView

But you can customise as you like from overall to Chip level :

Overall ChipView Custom ChipView

This isn't a MultiAutocomplete but you can manage to mimic it (I'm actually using it like that)