Riyadh, 9 February 2025 - Alat Enat, an innovative company committed to transforming global industries by creating a world-class manufacturing hub in Saudi Arabia, and global technology leader Lenovo Group today held a groundbreaking ceremony for a new manufacturing base in Riyadh. Located within the Riyadh Complex campus operated by the Saudi Special Integrated Logistics Zone (SILZ), the new facility will cover an area of 200,000 square meters and will be designed, built and operated with a high standard of sustainability, with an expected annual production capacity of millions of "made in Saudi Arabia" laptops, desktops and servers.
After obtaining shareholder and regulatory approval, the two parties announced on January 8 the completion of the three-year US $2 billion non-interest-bearing convertible bond investment and the strategic cooperation agreement announced in May 2024. This important development marks a solid step forward in the strategic cooperation between the two parties, and Lenovo's growth in Saudi Arabia and the Middle East region is expected to accelerate again. Amit Midha, CEO of Alat Enet, attended the ceremony with Yang Yuanqing, CEO of Lenovo Group.
Yang Yuanqing (sixth from left), CEO of Lenovo Group, and Amit Midha (fifth from left), CEO of Alat Enat, lay the foundation stone of the new plant in Riyadh
According to the plan, the new plant is expected to start production in 2026 and will be located in the Saudi Special Integrated Logistics Zone (SILZ), just a 15-minute drive from Riyadh International Airport. When completed, the plant will become an integral part of Lenovo's global manufacturing network with manufacturing sites in more than 30 markets, including China, Argentina, Brazil, Germany, Hungary, India, Japan, Mexico and the United States. At the same time, the new facility will enhance the resilience and flexibility of its global supply chain, while providing more agile service to customers in the Middle East and Africa region.
Lenovo Group has been praised for its excellence in global supply chain operations and has been ranked among the top supply chains in various industries around the world - ranked 10th in Gartner's Global Supply Chain Top 25 list. The new facility in Riyadh will further expand Lenovo's presence in the region, bringing industry-leading products, services and solutions to the local market more quickly, and taking full advantage of the high growth opportunities in the information technology and enterprise services industry in the Middle East and Africa.
This strong strategic partnership and investment will help Lenovo further strengthen its global presence and fully grasp the huge growth opportunities in Saudi Arabia and the Middle East - Africa region. We are very pleased to form a long-term strategic partnership with Alat Enat, and with our leading global supply chain and innovation capabilities, Lenovo will help Saudi Arabia achieve its Vision 2030 of economic diversification, industrial development, technological innovation and job growth."
-- Yang Yuanqing, Chairman and CEO of Lenovo Group
We are very proud to be a strategic investor in Lenovo Group and work with them to help them continue to maintain their leading position in the global technology industry. Alat and Lenovo have also entered into a business development and expansion agreement to leverage Alat's extensive local network and rich market insights. With the establishment of Lenovo's regional headquarters in Riyadh and a world-class manufacturing base in Saudi Arabia powered by clean energy, we look forward to seeing Lenovo further unlock its potential in the Middle East and Africa region."
-- Amit MidhaAlat, CEO of Ennett
On the same day, Yang Yuanqing also attended LEAP 2025, the largest science and technology event in the Middle East, in Riyadh. Yang Yuanqing said at the opening ceremony, "Lenovo Group will also set up its regional headquarters for the Middle East and Africa in Riyadh and establish a new flagship retail store to be closer to local customers." We are proud to embark on a new chapter of growth, innovation and collaboration, and look forward to working with all parties to build a smarter future."
Yang Yuanqing attended LEAP 2025, the largest technology event in the Middle East, held in Riyadh
The Middle East and Africa market is becoming a competitive hot spot for global IT companies, and Saudi Arabia is the economic and technological hub of the Middle East region. This year's LEAP 2025 has attracted many of the world's leading technology companies, including Lenovo Group, to participate in the exhibition, and the Middle East craze continues to heat up.
Yang Yuanqing attended LEAP 2025, the largest technology event in the Middle East, held in Riyadh
The investment of Lenovo Group and Alat Enat in Saudi Arabia will greatly contribute to the achievement of Saudi Arabia's economic goals and is highly aligned with the strategic plan of Saudi Arabia's Public Investment Fund (PIF) and Saudi Arabia's Vision 2030. The partnership is expected to create up to 15,000 direct jobs and 45,000 indirect jobs, laying a solid foundation for sustainable growth and national development in Saudi Arabia. By 2030, the cooperation between the two sides is expected to contribute $10 billion to Saudi Arabia's non-oil GDP.
The Lenovo investment is one of Alat Enat's many investment plans through 2030, aiming to build on Saudi Arabia's rapid development momentum in the technology sector and enhance the kingdom's capabilities in this field. Alat Enat will also further empower private enterprises and optimize the business environment through its own business systems and partnerships with leading global technology manufacturers.
Today, Alat is focusing on building innovation and manufacturing capabilities in nine business segments, including semiconductors, smart devices, smart buildings, smart appliances, smart healthcare, electrification, advanced industries, next generation and AI infrastructure. The company will produce 34 product categories in these nine areas and has hired top global industry experts to lead each business segment.
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