Lenovo Group Limited (SEHK:992) entered into the SPA to acquire an 80% stake in PCCW Lenovo Technology Solutions and a 20% stake in PCCW Network Services from PCCW Solutions Holdings Limited for approximately $600 on June 14, 2022. The consideration will be paid in combination of $513.6 in cash and 86,424,677 Lenovo shares. The cash portion will be funded from internal resources.

Completion is conditional upon certain conditions precedent having been fulfilled or waived, which include the completion of certain reorganization according to the SPA, the entering into of shareholders' agreement for each of PCCW Lenovo Technology Solutions and PCCW Network Services and agreements relating to certain transitional services, and guaranteed revenue amounts. Completion will take place on the fifth business day following the day the conditions under the SPA have been satisfied or waived and shall take place no later than October 31, 2022. The Lenovo and PCCW Solutions may agree mutually to extend such long stop date by no more than 2 months.

HSBC acted as exclusive financial adviser of Lenovo. J.P. Morgan Securities (Asia Pacific) Limited Acted as financial advisor to PCCW Solutions Holdings Limited. Peter Brien, Ben Heron and Laura Houston of Slaughter and May acted as legal advisor to PCCW Solutions Holdings Limited.

Cleary Gottlieb Steen & Hamilton LLP (Hong Kong) acted as legal advisor to Lenovo Group Limited (SEHK:992).