Lenovo plans to build a mobile Internet production base in Wuhan and will invest of about 16.7 billion yuan ($2.7 billion) in the following three years. This news recently came from Liu Chuanzhi, chairman of the board and director general of the Legend Holdings in Wuhan, the provincial capital of Hubei.

Of the 16.7 billion yuan, the Lenovo Group will invest $320 million and 5 billion yuan. The rest of the investment capital will be contributed by other member companies of Legend Hodings, including Hony Capital in the private equity sector, Raycom Real Estate, and Legend Capital in the venture capital sector.

Wuhan city enjoys favorable government policies and a comparatively lower labor force cost, attracting Lenovo to look for more cooperation in the city.

Lenovo has two other bases in Hefei, the capital city of Anhui province, and Chengdu, the provincial capital of Sichuan.

Edited by Rakhee M