Nokia Confirms Alcatel-Lucent Acquisition For $16.6 bn In Stock

Nokia has confirmed that it plans to buy rival network gear manufacturer Alcatel-Lucent for $16.6 billion in stock, and expects the deal to close in the first half of 2016.

Image Credit: Shutterstock.com
Image Credit: Shutterstock.com

While the move has been approved by the boards of both companies, it still needs regulatory approvals to be finalized.
Nokia’s acquisition of Alcatel-Lucent is the biggest move the company has made since it sold its handset division to Microsoft.
The company did say that it was conducting a review of its Here mapping unit, but declined to confirm whether it would sell the service.
Shareholders of Alcatel will get 0.55 shares of Nokia for each Alcatel-Lucent share they own, meaning Nokia shareholders will own nearly two thirds of the company, while Alcatel would own the rest.
Nokia will maintain its headquarters in Finland, while current CEO Rajeev Suri will hold the same position in the combined company. It added that Alcatel’s key offices in France, Germany, the U.S. and China will be retained.

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