Finland’s Nokia has today completed the buyout of its German partner from telecoms equipment vendor Nokia Siemens Networks.
The former JV is being renamed as NSN, which is now short for Nokia Solutions and Networks, after Siemens’ 50% stake was…
Finland’s Nokia has today completed the buyout of its German partner from telecoms equipment vendor Nokia Siemens Networks.
The former JV is being renamed as NSN, which is now short for Nokia Solutions and Networks, after Siemens’ 50% stake was acquired in a €1.7bn (US$2.26bn) deal.
NSN CEO Rajeev Suri said: “While our name and brand have changed, I would like to emphasise that our overall strategy and our focus on mobile broadband remain the same.
“Our customers will not notice any difference in our unstinting commitment to delivering superior technology and services across the world. Today’s announcement is, however, an exciting new chapter in our transformation story.”
Nokia is understood to have secured a €1.2bn loan with JP Morgan to pay a portion of the deal in cash. The remaining €500m is in the form of a secured loan from Siemens, which is due to close this time next year.
Siemens has been withdrawing from the telecoms sector over the last decade and NSN represented its last major investment in the market. However, it still owns a 49% stake in another telecoms-related JV called Siemens Enterprise Communications, which it shares with US private equity firm Gores.
