Company Press Release:
Nokia to sell Devices & Services business to
EUR 5.44 billion all-cash transaction
~ Transaction expected to be significantly
accretive to Nokia earnings.
~ Nokia continues to develop, and sees significant value in, advanced
technologies, its patent portfolio and Nokia brand.
~ Nokia focusing on NSN, HERE and Advanced Technologies post-transaction. Each
business a leading player in its respective segment.
~ Nokia outlines changes to leadership and Board of Directors.
September 3, 2013: ESPOO, Finland - Nokia Corporation today
announced that it has signed an agreement to enter into a transaction whereby
Nokia will sell substantially all of its Devices & Services business and licence
its patents to Microsoft for EUR 5.44 billion in cash, payable at closing. Nokia
expects to book a gain on sale of approximately EUR 3.2 billion, and expects the
transaction to be significantly accretive to earnings.
The transaction is expected to close in the first quarter of 2014, subject to
approval by Nokia shareholders, regulatory approvals and other customary closing
Following the transaction, Nokia plans to focus on its three established
businesses, each of which is a leader in enabling mobility in its respective
market segment: NSN, a leader in network infrastructure and services; HERE, a
leader in mapping and location services; and Advanced Technologies, a leader in
technology development and licensing. At closing, this transaction is expected
to strengthen Nokia's financial position and provide a solid basis for future
investment in these three businesses.
"After a thorough assessment of how to maximize shareholder value, including
consideration of a variety of alternatives, we believe this transaction is the
best path forward for Nokia and its shareholders," said Risto Siilasmaa,
Chairman of the Nokia Board of Directors and, following today's announcement,
also Nokia interim CEO.