MzKittyKath 11,686 Posted April 15, 2015 Share Posted April 15, 2015 Nokia confirmed Wednesday that it will buy Alcatel-Lucent, a deal that will create a telecom-supply giant and possibly spur a wave of consolidation in the industry.The all-stock deal values the French firm at €15.6 billion ($16.6 billion). The combined company will be called Nokia Corporation, with headquarters in Finland. Alcatel (ALALF) shareholders will be paid 0.55 Nokia (NOK) shares per Alcatel share, a 28% premium over the company's three-month weighted stock price. Both firms provide equipment, infrastructure and support to the telecommunications industry. Alcatel shareholders will own 33.5% of the combined company. The marriage between Nokia and Alcatel should give the combined company more clout when competing with rivals like Sweden's Ericsson (ERIC) and China's Huawei. Nokia, which sold its handset unit to Microsoft last year, has a market capitalization of about €27.7 billion ($29.5 billion). Alcatel is less than half the size, with a market value around €12.6 billion ($13.4 billion). Nokia was once a giant in the mobile phone industry but was clobbered by Apple (AAPL, Tech30)and Samsung (SSNLF). Nokia shares hit a peak in 2007 and then tanked. Since selling its mobile phone business to Microsoft, the company has refocused on its telecommunications and broadband offerings. CNNMoney (Hong Kong) April 15, 2015: 2:45 AM ET source http://money.cnn.com/2015/04/15/investing/nokia-alcatel-lucent-merger/index.html?sr=fbmoney041515alcatel0300story Link to comment Share on other sites More sharing options...
Sad Party Queen 1,580 Posted April 15, 2015 Share Posted April 15, 2015 Nokia is being robbed, no way Alcatel is worth that much. RIP Nokia i miss them so much </3 Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.