Transaction marks Lenovo’s first-ever capital raising exercise in the Middle East
Emirates NBD Capital acted as Sole Initial Mandated Lead Arranger and Bookrunner
Dubai, 01 April2024: Emirates NBD Capital, the investment banking arm of Emirates NBD, a leading banking group in the MENAT (Middle East, North Africa and Türkiye) region, has successfully arranged a USD 500 million Syndicated Revolving Credit Facility (RCF) for Lenovo Group Limited. The facility represents Lenovo’s first entry into the Middle East Syndicate Loan Market and is aimed at supporting the technology leader’s corporate and operational financing needs.

The credit agreement aligns with Lenovo’s ongoing commitment to innovation in PC manufacturing and smartphone production, aimed at delivering cutting-edge technology solutions for businesses and consumers alike. The funds are earmarked for a range of corporate objectives, including general corporate purposes, working capital needs and other refinancing requirements. The facility will be instrumental for Lenovo as it strives to uphold and fortify its commanding position in the PC market in the Middle East and Africa, where it currently holds a market share of 29.1% in unit, which is even more pronounced in the Arabian Gulf at 33.8%.

The offering was met with substantial market interest, resulting in a demand that exceeded more than twice the initial launch amount of USD 300 million. Fuelled by robust regional demand from 11 financial institutions spanning the UAE, Jordan, Kuwait and Bahrain, Lenovo decided to expand the facilities. After a considerable scale-back, the transaction concluded at a final size of USD 500 million.

Commenting on the announcement, Hitesh Asarpota, Chief Executive Officer, Emirates NBD Capital, said: “We are proud to have played a pivotal role in facilitating Lenovo’s inaugural venture into the Middle East syndicated loan markets. This landmark transaction also underscores our strategy to be the go-to bank for international issuers looking to access regional liquidity.”

Hugh WU, Vice President and Treasurer, Lenovo added: “This inaugural transaction in the Middle East demonstrates Lenovo’s strength as a major well-diversified IT vendor in attracting global capital. We are pleased to have Emirates NBD Capital led this landmark transaction and facilitated in our path to have a more diversified funding source.”

The following banks joined in the general syndication:

Sole Initial Mandated Lead Arranger and Bookrunner:

Emirates NBD Capital Limited
Mandated Lead Arrangers and Bookrunners:

AL Ahli Bank of Kuwait K.S.C.P.
Mashreqbank P.S.C.
Abu Dhabi Commercial Bank PJSC
Gulf Bank K.S.C.P
Mandated Lead Arrangers

Arab Banking Corporation (B.S.C.)
Union Bank of India, DIFC, Dubai
Lead Arrangers

National Bank of Kuwait S.A.K.P
Arab Bank Plc
State Bank of India, DIFC Branch
Burgan Bank K.P.S.C.