* Ending one of TPG's landmark China investments
* Eyes pricing between HK$5.45-$HK5.53 per share - source
* Nomura sole bookrunner on deal - source
(Releads with detail, additional source comment)
By Shankar Ramakrishnan and Michael Smith
HONG KONG, Nov 15 Private equity firms TPG
Capital [TPG.UL] and General Atlantic are looking to exit the
world's No. 4 PC brand Lenovo (0992.HK), with a $201 million
share placement, sources said on Monday.
The placement would end another landmark investment in
China for TPG. The San Francisco-based firm, one of the world's
largest buyout companies, originally invested in Lenovo five
years ago to help the computer maker acquire IBM's (IBM.N)
personal computer business.
They are offering 282.26 million shares at between HK$5.45
and HK$5.53, a discount of 0-1.43 percent from Monday's closing
share price, according to one source familiar with the deal.
Nomura was sole bookrunner on the expected total
fundraising of up to HK$1.56 billion, a source said, confirming
an earlier IFR report on the sale.
The final price was expected later on Monday, a source
TPG invested $200 million in Lenovo in 2005, with TPG unit
Newbridge kicking in $50 million and General Atlantic another
$100 million. In November 2007, TPG, Newbridge and GA sold $360
million worth of shares.
The Lenovo selldown is another China exit for TPG, with
Newbridge exiting its Shenzhen Development Bank Co Ltd
(000001.SZ) stake earlier this year, in a two-part deal that
earned them around $2.4 billion cash.
Newbridge acquired 299.1 million Ping An Insurance (Group)
Co of China Ltd (2318.HK)(601318.SS) shares in May in exchange
for giving a stake in Shenzhen Development Bank to the Chinese
TPG got a 4 percent stake in Ping An, the world's second
largest insurer. TPG bought a 17 percent stake in the Shenzhen
bank in 2004 for $150 million.
(Editing by Jacqueline Wong and Muralikumar Anantharaman)