June 30, 2013 / 11:47 PM / 6 years ago

Nokia agrees to buy Siemens' stake in NSN joint venture: Bloomberg

Picture shows a Nokia logo at a shop in Warsaw, January 26, 2012. REUTERS/Kacper Pempel

(Reuters) - Mobile handset maker Nokia NOK1V.HE has reached a deal to buy German industrial conglomerate Siemens’ (SIEGn.DE) stake in their telecoms equipment joint venture, Nokia Siemens Networks, Bloomberg reported on Sunday, citing three people familiar with the situation.

The deal, which will see Nokia pay less than 2 billion euros ($2.60 billion) for Siemens’ 50 percent stake in the joint venture, could be announced as soon as Monday, Bloomberg reported.

Nokia will use a bridge loan to help finance the purchase, Bloomberg said.

Nokia, Siemens and NSN could not be reached for comment outside regular business hours.

A founding six-year pact binding Siemens and Nokia in NSN expired in April and both companies have been looking to exit the joint venture through a buyout or public offering.

Earlier this month, three sources familiar with the matter said Siemens was seeking offers from private equity firms to buy its stake in the joint venture which has shown signs of a turnaround in recent quarters, helped by a massive restructuring drive last year.

Reporting by Abhishek Takle in Bangalore; Editing by Marguerita Choy

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below