- Collaboration to speed up Lenovo’s ongoing transformation, additional improve international presence, and enhance geographic diversification of worldwide manufacturing footprint
- Partnership will seize great development alternatives in Center East and Africa (MEA) area and assist Saudi 2030 imaginative and prescient
Hong Kong – 8 January, 2025 – The worldwide expertise powerhouse Lenovo Group Restricted (HKSE: 992) (ADR: LNVGY) and Alat, a PIF firm, have introduced the completion of the US$2 billion funding (by way of three-year zero-coupon convertible bonds) alongside reaching the strategic collaboration agreements that had been initially introduced in Might 2024. The deal has obtained shareholders’ approval and all regulatory approvals required for completion.
The strategic collaboration and funding will allow Lenovo to additional speed up its ongoing transformation, improve its international presence, and enhance geographic diversification of its manufacturing footprint. Moreover, Lenovo will construct on its present MEA enterprise and seize the important development alternatives within the MEA area, deliver its world class provide chain, expertise, and manufacturing capabilities to Saudi Arabia, and assist the creation of 1,000s of latest jobs.
Following the completion, Lenovo will set up a regional Center East and Africa headquarters (RHQ) in Riyadh, Kingdom of Saudi Arabia (KSA), and a sustainable manufacturing facility within the Kingdom to serve clients within the area and past. The manufacturing unit will manufacture thousands and thousands of PCs and servers yearly utilizing native analysis and growth (R&D) groups for absolutely end-to-end ‘Saudi Made’ merchandise and is anticipated to start manufacturing by 2026. The manufacturing unit will be part of Lenovo’s in depth footprint of 30+ manufacturing websites world wide, spanning Argentina, Brazil, China, Germany, Hungary, India, Japan, Mexico, and the USA.
Moreover, Alat and Lenovo have entered a enterprise growth partnership which can leverage Alat’s in depth relationships within the area and native market perception. The RHQ may also put money into flagship retail house within the Kingdom and develop investments in R&D in addition to advertising and marketing and strategic partnerships in each KSA and the MEA area.
Yuanqing Yang, Chairman and CEO of Lenovo, mentioned: “Via this highly effective strategic collaboration and funding, Lenovo could have important assets and monetary flexibility to additional speed up our transformation and develop our enterprise by capitalizing on the unbelievable development momentum in KSA and the broader MEA area. We’re excited to have Alat as our long-term strategic accomplice and are assured that our world-class provide chain, expertise, and manufacturing capabilities might be a profit to KSA because it drives its Imaginative and prescient 2030 targets of financial diversification, industrial growth, innovation, and job creation.”
Amit Midha, CEO at Alat, mentioned: “We’re extremely proud to develop into a strategic investor in Lenovo and accomplice with them on their continued journey as a number one international expertise firm. With the institution of a regional headquarters in Riyadh and a world class manufacturing hub, powered by clear power, within the Kingdom of Saudi Arabia, we anticipate the Lenovo crew to additional their potential throughout the MEA area.”
On the time the strategic collaboration and funding with Alat had been introduced in Might 2024, Lenovo additionally introduced its proposed three-year 1.15 billion Warrants Issuance to lift further funds to assist future development and broaden its capital base. The Warrants have been absolutely subscribed, together with 43% subscribed by Lenovo management, demonstrating confidence in Lenovo’s ongoing transformation, international market management, and development momentum.
In relation to this transaction, Citi and Cleary Gottlieb Steen & Hamilton (Hong Kong) suggested Lenovo, and Morgan Stanley and Latham & Watkins suggested Alat.
About Lenovo
Lenovo is a US$57 billion income international expertise powerhouse, ranked #248 within the Fortune International 500, and serving thousands and thousands of consumers on daily basis in 180 markets. Targeted on a daring imaginative and prescient to ship Smarter Know-how for All, Lenovo has constructed on its success because the world’s largest PC firm with a full-stack portfolio of AI-enabled, AI-ready, and AI-optimized units (PCs, workstations, smartphones, tablets), infrastructure (server, storage, edge, excessive efficiency computing and software program outlined infrastructure), software program, options, and providers. Lenovo’s continued funding in world-changing innovation is constructing a extra equitable, reliable, and smarter future for everybody, in every single place. Lenovo is listed on the Hong Kong inventory alternate underneath Lenovo Group Restricted (HKSE: 992) (ADR: LNVGY). To search out out extra go to , and skim concerning the newest information by way of our .
About Alat
Alat is an organization targeted on reworking international industries (electronics and industrials) and making a world class manufacturing hub within the Kingdom of Saudi Arabia powered by clear power to construct a greater tomorrow. Alat will ship sustainable manufacturing to assist international firms cut back their emissions and transfer in the direction of carbon zero manufacturing. Alat, a PIF firm, is a vital enabler of the Imaginative and prescient 2030 targets for financial diversification, industrial growth, innovation, and job creation.
Alat´s major objective is to make sure that international firms arrange sustainable manufacturing options within the Kingdom of Saudi Arabia, benefitting from considerable inexperienced power assets, the nation´s distinctive geolocation and its investments in expertise. Alat is partnering with greatest in-class firms from across the globe, in its key strategic enterprise areas of semiconductors, good units, good buildings, good home equipment, good well being, superior industrials, subsequent gen infrastructure, electrification & AI infrastructure. For extra data go to www.alat.com ©Alat, Tomorrow Made Higher.
