On October 10, Chinese language PC producer Lenovo Group responded to the termination of its itemizing to the Shanghai Sci-Tech Innovation Board (STAR Market). “Contemplating the dimensions and complexity of the corporate’s enterprise, the monetary data within the prospectus could expire through the utility evaluate course of. On the similar time, after rigorously contemplating the newest capital market situations, we determined to withdraw the itemizing utility,” Lenovo stated in a press release.
The announcement additionally affirmed that Lenovo’s enterprise operation is in good situation, and withdrawing the applying won’t have any opposed affect on its monetary scenario.
Lenovo submitted its STAR Market itemizing utility on September 30 and acquired approval on the identical day. In keeping with the prospectus, the corporate will provide lower than 10% of its whole share capital to lift 10 billion yuan ($1.54 billion).
Nonetheless, after seven days of the Nationwide Day vacation and one buying and selling day, the official web site of the Shanghai Inventory Change confirmed that Lenovo and its sponsor CICC had submitted paperwork for withdrawing the Shanghai itemizing.
SEE ALSO: Chinese language PC Maker Lenovo Withdraws Utility for Shanghai Itemizing, Eight Days After Utility Approval
Though the PC market is sizzling, producers together with Lenovo face challenges such because the scarcity of crucial parts within the provide chain. Yang Yuanqing, Chairman and CEO of Lenovo, stated in Could that “PCs, tablets, even electrical autos all have excessive necessities for chips. We anticipate that chip shortages will proceed for 12 to 18 months, and the availability scenario determines the expansion of PC gross sales.”
In 2020, the worldwide market share of Lenovo’s PCs was 24%. Within the smartphone market of Latin America and North America, Lenovo’s merchandise’ market share sits at 15.0% and 5.5%, respectively, rating second and fifth within the areas. When it comes to information middle enterprise, in line with IDC statistics, Lenovo’s information middle gear shipments reached 707,500 models in 2020, with a market share of 6% within the international market, rating fifth.