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Alat, an innovative company focused on transforming global industries by creating a world-class manufacturing hub in the Kingdom of Saudi Arabia, and Lenovo, a global technology powerhouse, celebrated breaking ground at the new manufacturing base in Riyadh, Saudi Arabia. The factory will be constructed on a 200,000 sqm campus site at “Riyadh Integrated” operated by Special Integrated Logistics Zone (SILZ) and will produce millions of “Saudi Made” laptops and desktops, as well as servers in a factory designed, constructed, and operated to high standards of sustainability. The celebration follows the deal closing that was announced on January 8th 2025, following shareholder and regulatory approvals, and marks the completion of the US$2 billion investment (via three-year zero-coupon convertible bonds) alongside the strategic collaboration agreement that was initially announced in May 2024. The new manufacturing hub, which is expected to begin production in 2026, will be located just 15 minutes from Riyadh´s international airport in the Kingdom’s Special Integrated Logistics Zone (SILZ). It will complement Lenovo’s extensive manufacturing footprint of 30+ factories around the world spanning Argentina, Brazil, China, Germany, Hungary, India, Japan, Mexico, and the USA, and further increase supply chain resilience and flexibility. The new manufacturing hub will also enable Lenovo to be closer to customers in the Middle East and Africa (MEA) region. Lenovo is highly regarded for its supply chain excellence, consistently featuring as one of the world’s top supply chains, across all industries – recently being ranked by Gartner as #10 on its list of the world’s top 25 supply chains. The new factory in Riyadh will build on Lenovo’s existing presence in the region and enable the company to bring its industry-leading products, services, and solutions to market more quickly, capitalizing on the significant IT and business services industry growth momentum in the MEA region. This partnership’s commitment to Saudi Arabia will significantly contribute to the Kingdom’s economic goals, aligning directly with PIF’s strategy and Vision 2030. It is projected to create up to 15,000 direct jobs and 45,000 indirect jobs, supporting sustainable growth and national development, with a cumulative non-oil GDP contribution of up to $10 billion by 2030. In addition, Lenovo will establish a regional Middle East and Africa headquarters (RHQ) in Riyadh, Kingdom of Saudi Arabia (KSA), to serve customers in the region and beyond, a flagship retail space, and expand investments in R&D as well as marketing and strategic partnerships in both KSA and the MEA region. The Lenovo investment is one of Alat´s many planned investments by 2030 to enhance the capabilities of the technological sector, benefiting from the rapid development of this sector in Saudi Arabia. The company will also empower the private sector and enhance the commercial environment through its business systems and partnerships with leading international technology manufacturers. Alat is innovating and creating manufacturing capabilities across nine business units, these include semiconductors, smart devices, smart buildings, smart appliances, smart health, electrification, advanced industrials, next generation and AI infrastructure. The company will manufacture products in 34 categories in nine business units. Alat has appointed some of the world´s most experienced global industry experts to lead each of the Alat business units. |
