Lenovo Group Limited, the leading personal computer brand in China and across Asia, inked an agreement on Dec. 8 in Beijing with IBM to acquire the latter's Personal Computing Division.
Lenovo Group Limited, the leading personal computer brand in China and across Asia, inked an agreement on Dec. 8 in Beijing with IBM to acquire the latter's Personal Computing Division. The total transaction is valued at about US$1.75 billion.
The purchase will make Lenovo the third largest PC maker worldwide with an annual revenue exceeding US$ 10 billion," Lenovo Chairman Liu Chuanzhi was quoted as saying after signing the agreement along with IBM Vice President John Joyce.
Formerly named Legend, the parent company of Lenovo was created in 1984 by 11 researchers with an initial capital of 200,000 yuan from the Chinese Academy of Sciences (CAS). Then the firm was listed on the Stock Exchange of Hong Kong in 1994. After the deal, the firm will have some 19,000 employees and account for 8% of the world PC market share.
As a major shareholder, says CAS Vice President Shi Erwei at the signing ceremony, the Academy pays close attention to Lenovo's cooperation with IBM and will render support to its further development.
