Lenovo Group Ltd. (SEHK: 0992; OTCBB: LNVGY) is investing tens of millions of dollars in the fourth fund of Vertex Venture Capital. The Chinese computer giant announced today that it would be investing in the venture capital fund. This move reflects Lenovo's strategy of strengthening its presence in Israel through indirect investments via Vertex.
Lenovo said, "The company will make a significant investment in Vertex Venture Capital to pursue new development opportunities in the areas of fixed and mobile broadband communications, digital media technology and applications, enterprise IT and infrastructure and greentech."
Vertex has $600 million under management and its portfolio includes GPS app company Waze, PV optimization company Solaredge, end-user monitoring tools company Aternity and many others.
Lenovo Senior VP and CTO George He said, "We have a very strong position in Israel that mirrors our worldwide results. Lenovo is the number one provider of commercial laptop PCs in the country and the second largest PC vendor overall. The investment in Vertex is aimed to continue our expansion in Israel by building a solid R&D presence in the country. We firmly believe in the great potential inherent in combining the innovative technology and entrepreneurship of Israel-based companies with Lenovo's global presence."
Vertex Venture Capital managing partner Ehud Levy said, "We are delighted to welcome Lenovo to our family of global investors. There is tremendous synergy between our investment focus and Lenovo's long-term business goals. We believe that our strategic partnership with Lenovo will significantly contribute to the further success of our companies as well as bolster the local Israeli high tech sector. Based on our history since inception over 15 years ago, we are confident that this relationship will prove to be a win-win-win situation: for Lenovo, for Vertex's portfolio companies and for Vertex's fund."
Published by Globes, Israel business news - www.globes-online.com - on February 27, 2012
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