International Business Machines has offered to sell up to HK$669 million worth of Lenovo Group shares, the second such share sale by the US computer company in about two months, market sources say. IBM has hired Citibank to arrange the sale of 116.2 million Lenovo shares at HK$5.61 to HK$5.76 each, representing discounts of 3.5 per cent to 6 per cent to yesterday's closing of HK$5.97, a sale document obtained by fund managers shows. IBM's stake in Lenovo will decrease to 6.5 per cent from 7.8 per cent after the sale. The firm agrees not to sell additional Lenovo shares until June 30, the document shows. The deal came only a few weeks after the lock-up period for IBM's previous sale expired on March 31. The computer maker raised HK$627 million in a block trade in late February that was also arranged by Citi. It also reaped HK$1.6 billion from two sales of Lenovo shares last year. IBM obtained 18.9 per cent of Lenovo as part of the US$1.25 billion payment by the mainland computer maker for its personal computer unit in May 2005. Lenovo agreed to let IBM gradually offload up to two-thirds of its stake within a certain period. Institutional and strategic investors have been rushing to tap the Hong Kong equity market since early last week amid a strong market rebound. The Hang Seng Index rose 2.2 per cent to close at an 11-week high of 24,721.67 points yesterday, from as low as 20,572.92 on March 18. Five deals worth more than HK$10 billion were launched recently, including sales by controlling shareholders of Belle International and Gome Electrical Appliances Holdings. 'It would be the best time for them to offload part of their portfolio to realise profit. No one knows what will happen in coming weeks as the HSI may peak in the medium term,' said a fund manager who was invited to invest in a share offering last week.