Legend Holdings, the parent of the world's biggest PC maker Lenovo, said it would buy a 15.9% stake in chipmaker Fullhan Microelectronics for 1.54 billion yuan ($236.9 million) in a push to diversify its portfolio.
Legend's unit Dongfangqihui bought 12.8 million shares between Sept. 1 and March 17 from privately held Quick Talent Holdings, the company said on Wednesday, with the last round of transaction for a 5.2% stake yet to settle.
Most well-known for its ownership of Lenovo, Legend, for years has sought to diversify its portfolio beyond the computer sector, including finance and car rental industries.
By investing in Fullhan, the Chinese firm "is eyeing on the long-term development potential of the semiconductor track and pan-security field, which is expected to increase the return on investment income of the company's financial investment segment," Legend said.
($1 = 6.5009 Chinese yuan renminbi)
(Reporting by Anushka Trivedi in Bengaluru)
