Nokia to buy out NSN partner Siemens in €1.7bn deal

Nokia to buy out NSN partner Siemens in €1.7bn dealNokia has announced it will buy out its partner Siemens for €1.7bn to take full control of Nokia Siemens Network.

It was always seen as the most likely result after Siemens announced its intention to sell, with the telecoms equipment venture having been consistently profitable for Nokia throughout its handset division's troubles.

It's not clear what Nokia's plans are yet in terms of rebranding, though going forward it's obviously not still going to be called Nokia Siemens Network.

The deal is expected to be finalised within the next three months, and will see Nokia paying €1.2bn in cash and the rest via a secured loan.

“With its clear strategic focus and strong leadership team, Nokia Siemens Networks has structurally improved its operational and financial performance,” Nokia boss Stephen Elop said in a statement.

“Furthermore, Nokia Siemens Networks has established a clear leadership position in LTE, which provides an attractive growth opportunity.

“Nokia is pleased with these developments and looks forward to continue supporting these efforts to create more shareholder value for the Nokia group.”

Via TheNextWeb

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