Nokia (NOK) has reached a deal to buy Siemens' (SI) 50% stake in Nokia Siemens for a price below...

|About: Nokia Corporation (NOK)|By:, SA News Editor

Nokia (NOK) has reached a deal to buy Siemens' (SI) 50% stake in Nokia Siemens for a price below €2B ($2.6B), 3 sources tell Bloomberg. Nokia will reportedly use a bridge loan to help finance the deal, which gives a lower valuation to the telecom equipment JV than those typically provided by analysts (I, II). Though the deal will affect Nokia's net cash position (€4.5B at the end of Q1), investors might react favorably, given the price, NSN's profitability, and that fact the business is seen as having less risk attached than Nokia's phone ops. (Reuters report) (WSJ report)