Lenovo intends to buy control of Germany's Medion

Author: admin Date: June 2, 2011 Categorys: Default

BEIJING, June 2 (Xinhua) -- Lenovo Group Ltd., China's biggest maker of personal computer, aimed to buy control of Medion AG, a multimedia and consumer electronics maker, to double its market share in Germany, the China Daily reported Thursday.

The purchase will be Lenovo's biggest acquisition since it acquired International Business Machines Corp's PC business in 2004.

Lenovo estimated that after the acquisition, it will be the third-largest PC company in Germany, which is Europe's largest PC market. Lenovo will have more than 14 percent of the German and 7.5 percent of the Western European PC market, the newspaper said.

Chief Executive Officer Yang Yuanqing said the deal will complement both Lenovo's core PC business and new businesses, which are key areas for development.

The Chinese PC maker said it hopes the deal will be completed in August and that it will acquire 50 to 75 percent of the Medion AG's stock, according to the newspaper.

Lenovo was ranked the fourth-largest PC company and held a 9.9 percent market share worldwide in the first quarter of 2011.

Tab: Lenovo

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