(Reuters) - Activist investor Daniel Loeb’s Third Point LLC said it took a stake in Nokia Oyj NOK1V.HE (NOK.N) late in the third quarter ended September 30.
Third Point said it “seized an opportunity to create new Nokia at a substantial discount to target value”, following the Finnish phonemaker’s decision to sell its devices and services business to Microsoft Corp (MSFT.O).
"The company will have approximately 8 billion euros ($11 billion) cash when the transaction closes, and we expect a meaningful portion of the excess will be distributed to shareholders in coming quarters," Third Point said in its quarterly investor letter. (link.reuters.com/xar93v)
Nokia shares were up 1.4 percent at $7.25 on the New York Stock Exchange on Tuesday.
Reporting by Sruthi Ramakrishnan in Bangalore; Editing by Maju Samuel