Alat, Lenovo break ground on $2bn manufacturing facility in Saudi Arabia

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NOHA.GAD
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Feb 9, 2025
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Riyadh - Sharikat Mubasher: Alat, the Saudi manufacturing company owned by the Public Investment Fund (PIF), and the global technology powerhouse Lenovo broke the ground on a major new manufacturing facility in Saudi Arabia.

The new facility will be built on a total area of 200,000 square meters at the Riyadh Integrated Special Logistics Zone 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, Lenovo announced in a press release today.

This milestone marks the completion of the $2 billion investment (via three-year zero-coupon convertible bonds) alongside the strategic collaboration agreement that was initially announced in May 2024.

Expected to start production in 2026, the facility will enable Lenovo to better serve customers in the Middle East and Africa (MEA) region, complementing its extensive manufacturing footprint of over 30 factories around the world.

Alat and Lenovo have also entered a business development partnership which will leverage Alat’s extensive relationships in the region and local market insight. 

“We are incredibly proud to become a strategic investor in Lenovo and partner with them on their continued journey as a leading global technology company,” said Amit Midha, CEO of Alat. “With the establishment of a regional headquarters in Riyadh and a world-class manufacturing hub, powered by clean energy, in the Kingdom of Saudi Arabia, we expect the Lenovo team to further their potential across the MEA region.”

Lenovo will also establish a regional headquarters in Riyadh as part of this partnership.

On his part, Yuanqing Yang, Chairman and CEO of Lenovo, affirmed that the partnership with Alat will enable Lenovo to gain a greater global presence, a strong regional foothold, and the ability to capitalize on the incredible growth momentum in Saudi Arabia and MEA region.

Moreover, the manufacturing facility is anticipated to create up to 15,000 direct jobs and 45,000 indirect jobs, supporting sustainable growth and national development.


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