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Lenovo stock falls to its lowest level in more than a decade

Lenovo stock plunges 18% after withdrawing its application for listing in Shanghai

China’s Lenovo Group witnessed the largest intraday drop in its shares in more than a decade and the least in three years on the Hong Kong Stock Exchange after the world’s largest personal computer maker withdrew its application to list its shares in Shanghai through an IPO of 10 billion yuan ($ 1.55 billion) after obtaining regulatory approval, as the share price of the Chinese computer giant plunged 18% in Hong Kong trading, hitting its lowest level since October 2018.

Lenovo on Friday withdrew its subscription application, a few days after it received approval from the STAR Market Board, which runs the Shanghai Stock Exchange. Note that the Chinese company said on Sunday that it did so due to the possibility that the financial information in the prospectus might expire during the verification of the request, but it did not reveal details of the reasons for the lack of validity of the information, in addition to Lenovo’s reference to capital market conditions as the recent consequences associated with the stock listing.

Lenovo announced that its business projects remain in good shape, and that the withdrawal of the order will not have any negative impact on the company’s financial health.

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