China's computer producer Lenovo Group Limited concluded revolving credit and term loan facility (facility) of US$400 million with 20 financial institutions, the group announced Monday.

 

"The purpose of the facility is to refinance Lenovo's exiting US$600 million acquisition financing in connection with Lenovo's acquisition of IBM's personal computer business," said a statement issued in Hong Kong by the group on Monday.

 

The loan was arranged with a group of 20 banks and financial institutions from 12 countries, including by ABN AMRO Bank N.V., BNP Paribas Hong Kong Branch, Citigroup, the HKSB Co. Limited, the Industrial and Commercial Bank of China (Asia) Limited and Standard Chartered Bank (Hong Kong) Limited.

 

The loan has a tenor of five years and the interest margin is 0.52 percent per year.

 

The success of this syndication reflects a positive view and confidence that the banking community has on Lenovo and its future development after the acquisition of IBM's personal computer business, said the group.

 

Lenovo purchased IBM's personal computer division last May.

 

(Xinhua News Agency March 14, 2006)