Lenovo Closes Acquisition of CCE in Brazil
Lenovo Group, a global leader in PCs and mobile Internet devices, today announced that it has completed its acquisition of CCE, widely known in Brazil as a leader in PCs and consumer electronics.
The closing took place January 2, 2013, with Lenovo acquiring 100% of CCE in a transaction consisting of Lenovo stock and cash totaling R$300 million (approximately US$147 million at today's exchange rates).
Announced on September 5, the acquisition more than doubles Lenovo's PC market share in Brazil, the world's third largest PC market, and immediately positions the company to execute its PC+ vision with a full suite of consumer products across all four screens – PC, tablet, smart phone and TV.
“Brazilian customers will see immediate benefit from this acquisition with products that embody Lenovo's heritage of innovation, quality and global supply chain efficiency, while building upon CCE's knowledge of Brazilian consumer needs and strong retail presence,” said Dan Stone, President and General Manager, Lenovo Brazil. “Following our announcement of new manufacturing and distribution capabilities in Itu, Sao Paulo, the addition of CCE's valuable manufacturing base and local management team demonstrates Lenovo's powerful “global-local” strategy in action, fostering rapid expansion that combines global reach with meaningful local investments that reflect our long-term commitment to the Brazilian market.”
Lenovo (HKSE: 0992) (PINK SHEETS: LNVGY) is a $US30 billion personal technology company – and one of the top two PC makers globally, serving customers in more than 160 countries. Dedicated to building exceptionally engineered PCs and mobile internet devices, Lenovo's business is built on product innovation, a highly efficient global supply chain and strong strategic execution. Formed by Lenovo Group's acquisition of the IBM Personal Computing Division, the Company develops, manufactures and markets reliable, high-quality, secure and easy-to-use technology products and services. Its product lines include legendary Think-branded commercial PCs and Idea-branded consumer PCs, as well as servers, workstations, and a family of mobile internet devices, including tablets and smart phones. Lenovo has major research centers in Yamato, Japan; Beijing, Shanghai and Shenzhen, China; and Raleigh, North Carolina. For more information, see www.lenovo.com.
With nearly 50 years of history in Brazil, CCE is a leading domestic manufacturer of personal computers and consumer electronics in Brazil. CCE's products are marketed under a portfolio of well recognized brands such as CCE, CCE Info and CCE Mobi, and its manufacturing facilities are located in the Free Trade Zone of Manaus (Zona Franca De Manaus). CCE, together with its affiliates, is the largest employer in personal computing and consumer electronics in the North Region of Brazil. Since 2006, CCE has had partnerships with major international technology players including Intel, Microsoft and Qualcomm, in the production of desktop and notebook computers.
Editor Note: the CCE business consists of three companies whose legal names are DIGIBRÁS INDÚSTRIA DO BRASIL S.A., DIGIBOARD ELETRÔNICA DA AMAZÔNIA LTDA. and DUAL MIX COMÉRCIO DE ELETRÔNICOS LTDA.
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