IBM sells 3.5% stake in Lenovo

The placement is comfortably covered after a surge in the PC company's share price.

Following an almost 10% run-up in LenovoÆs share price over the past few days, sole bookrunner Citigroup executed a private placement on behalf of IBM on Monday afternoon and evening. The 300 million shares sold in the transaction amount to a 3.5% stake.

IBM raised HK$960 million $123 million through the deal.

Following the sale, IBM û which sold its personal computer division to Lenovo in April 2005 in return for cash and a 15% stake in Lenovo û...

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