Is Juniper The Next Takeover Target?
Chris DeMuth Jr. • 64 Comments
Chris DeMuth Jr. • 64 Comments
Wed, Oct. 5, 7:26 AM
- Nokia (NYSE:NOK) has acquired Eta Devices, a U.S.-based start-up specializing in power amplifier efficiency solutions for network base stations.
- The company will bolster Nokia's push to enhance base station energy efficiency, an increasingly important area for operators on the path to 4.9G and 5G.
- Financial terms of the deal were not disclosed.
Mon, Aug. 1, 10:07 AM
- Nokia (NOK -1.6%) has closed its acquisition of Gainspeed, a cable-industry infrastructure provider working on cable access innovations.
- Terms were undisclosed. Gainspeed becomes part of Nokia's Fixed Networks business unit.
- The company focuses on a virtual Converged Cable Access Platform, an approach that should give Nokia a stronger foothold in cable access vs. competitors including Arris and Cisco.
- "With this acquisition, Nokia is able to offer a turnkey solution for the cable industry that includes products for routing, transport, wireless and analytics," Nokia says.
Tue, Apr. 26, 4:48 AM
- Nokia (NYSE:NOK) has agreed to pay €170M ($191M) to buy French fitness-gadget maker Withings as the Finish company looks to kickstart its return into the consumer market with a move into digital health.
- "With this acquisition, Nokia is strengthening its position in the Internet of Things," says CEO Rajeev Suri, adding that the deal "puts us at the heart of a very large addressable market."
- Withings products include a Wi-fi connected scale and fitness-tracking wearables.
- Nokia shares are +1.5% in Helsinki. (PR)
Wed, Feb. 10, 6:33 AM
- Nokia (NYSE:NOK) has failed to get its hands on 100% of shares in newly-acquired rival Alcatel-Lucent (NYSE:ALU), after winning nearly 80% of the French-American company last month.
- Following a second round of bidding, Nokia was still left with only 91.25% in Alcatel-Lucent, thus failing to reach the 95% threshold that would have allowed it to make a clean sweep by delisting all remaining shares from the Paris stock exchange.
- Nokia now has the option of buying those shares in the open market, but probably at a higher price than its original offer.
- NOK +1.7%; ALU -3.3% premarket
Mon, Jan. 4, 3:51 AM
- Nokia (NYSE:NOK) has officially gained control of French rival Alcatel-Lucent (NYSE:ALU) through a €15.6B all-share deal after the French stock market authority declared the offer successful.
- "The two companies will begin to progress their integration plans, with the first day as an operationally combined group on January 14, 2016," Nokia said in a statement.
- According to interim results, the Finnish firm will hold around 79% of Alcatel shares.
Dec. 4, 2015, 8:58 AM
- Nokia (NYSE:NOK) has completed the sale of its HERE mapping business to a consortium of German carmakers, including BMW (OTCPK:BAMXY), Daimler (OTCPK:DDAIY) and Audi (OTCPK:AUDVF).
- The transaction valued HERE at an enterprise value of €2.8B, subject to certain purchase price adjustments.
- Based on the current estimates of such adjustments, Nokia received net proceeds from the transaction of approximately €2.55B at closing.
- Previously: Nokia sells HERE maps unit for $3.07B (Aug. 03 2015)
Dec. 2, 2015, 4:08 AM
- Nokia (NYSE:NOK) shareholders are widely expected to approve the $16.6B takeover of French-American rival Alcatel-Lucent (NYSE:ALU) today at an extraordinary general meeting in Helsinki.
- The deal comes after the company obtained all necessary regulatory approvals last month from the U.S., France and China.
- Once the world's top mobile phone maker, Nokia hopes the merger will help it become the number one network equipment/service provider, with a combined revenue of nearly €25B ($26.5B).
Oct. 21, 2015, 12:10 PM
- With China's Ministry of Commerce having approved earlier this week (follows an August announcement regarding a JV between Nokia and China Huaxin) and France's Ministry of Economy having signed off today, Nokia (NOK +0.4%) states it has received all the regulatory approvals needed for its all-stock purchase of Alcatel-Lucent (ALU +0.7%) to proceed with its exchange offer to Alcatel shareholders.
- As previously announced, Nokia is offering 0.55 shares for each Alcatel share. 50% of Alcatel shares need to be tendered - settlement is expected to happen in Q1 - and Nokia shareholders need to approve the deal.
- The post-merger company will contain a Mobile Networks unit consisting of Nokia/Alcatel's mobile infrastructure hardware and software; a Fixed Networks unit containing Alcatel's broadband access products; an Applications & Analytics unit containing both companies' telecom software and analytics assets, an IP/Optical unit containing Alcatel's routing, optical transport, and IP video hardware, as well as Alcatel SDN software startup Nuage; and the Nokia Technologies IP licensing/R&D unit.
- Both Nokia and Alcatel's Q3 reports arrive on Oct. 29.
Oct. 7, 2015, 3:46 AM
- Nokia (NYSE:NOK) executives are set to dominate the new leadership team that will arise following its proposed acquisition of Alcatel-Lucent (NYSE:ALU).
- Chief Financial Officer Timo Ihamuotila will stay in his job and altogether 10 out of a total 13 members in the planned leadership group will come from Nokia.
- The €15.6B all-share acquisition is still on track to close in the first half of 2016.
Sep. 23, 2015, 4:16 PM
- Nokia (NYSE:NOK) finished up 2% in U.S. trading after gaining French approval for its €15.6B merger with Alcatel-Lucent (ALU +2%), an OK it secured by committing to R&D work in France.
- The company will use Alcatel-Lucent's French facilities to work on technologies including 5G and small cells, cyber-security and privacy, and optical transmission, among others. It will also establish a long-term investment fund of about €100M for research.
- Progress with approvals is "remarkable," Nokia CEO Rajeev Suri said, and months ahead of a planned 2016 closing. The key remaining approval is to come from China; Nokia moved to smooth that road by creating a joint venture with China Huaxin.
Sep. 14, 2015, 9:51 AM
- Three months after the DOJ signed off on the Nokia's (NOK +1.8%) merger with Alcatel-Lucent (ALU +1.7%), the Committee on Foreign Investment in the United States has done so.
- EU regulators have already approved the deal, which is still expected to close in 1H16. A JV has been launched with China's Huaxin to help secure Chinese regulatory approval.
- Separately, Goldman's Alexander Duval has upgraded Nokia to Conviction Buy, and set an €8.70 ($9.50) target. He expects strong merger synergies, and thinks major post-merger capital returns are possible.
- Duval: "[W]e see scope for margin improvement given industry consolidation, while Nokia should have a competitive advantage vs. Ericsson given its converged portfolio. Moreover, Nokia’s management has a strong track record in cost control, underpinning our confidence in its synergy target. Finally, we see scope for sizeable capital returns following the deal. In this context, we view the current PF 9x 2018E EPS (6x ex-cash) as attractive..."
Aug. 28, 2015, 11:09 AM
- Nokia (NYSE:NOK) will create a joint venture with China Huaxin that may clear the biggest remaining jurisdiction and win it China's approval in a €15.6B takeover of Alcatel-Lucent (NYSE:ALU).
- Nokia will hold 50% plus one share of the Nokia Shanghai Bell JV. The deal is similar to a longtime JV between Alcatel-Lucent and state-owned Huaxin, which presages a green light for the takeover.
- The EU had given approval to the deal late last month, and the U.S. Justice Dept. OK'd it in June.
Aug. 3, 2015, 1:57 AM
- A consortium of German carmakers, including BMW (OTCPK:BAMXY), Daimler (OTCPK:DDAIY) and Audi (OTCPK:AUDVF), have agreed to buy Nokia's (NYSE:NOK) maps business HERE for an enterprise value of €2.8B ($3.07B), as they look to extend their reach into digital services for connected cars.
- The sale will also help Nokia focus on integrating its €15.6B purchase of Alcatel-Lucent, a deal that will create the world's second largest network equipment maker.
- Previously: Bloomberg: Nokia close to HERE maps unit sale (Jul. 21 2015)
Jul. 24, 2015, 6:50 AM
- The European Commission has given the green light to Nokia's (NYSE:NOK) €15.6B acquisition of Alcatel-Lucent (NYSE:ALU), stating "the parties are not close competitors [and] a number of strong global competitors will remain active."
- The new deal marks Nokia's latest transition from a company with major interests in consumer markets to an operation focused primarily on business and industry clients.
- NOK +2.1%; ALU +3.1% premarket.
Jul. 21, 2015, 11:32 AM
- The WSJ and Germany's Manager Magazin report Nokia (NOK -0.7%) has reached a deal with a consortium featuring Daimler (OTCPK:DDAIY), BMW (OTCPK:BAMXY), and Audi (OTCPK:AUDVF) to sell its HERE mapping/navigation software unit for about €2.5B ($2.72B).
- The deal will reportedly be finalized by month's end, with the automakers subsequently running HERE, the top player in the automotive navigation software space, as an open platform. The reported sale price is less than the ~$4B Nokia was believed to be seeking.
- With HERE having 2014 revenue of €969M (+6% Y/Y), Nokia appears to be selling the unit for roughly 2.6x trailing sales. Bloomberg reported overnight Nokia and the automakers were close to a deal.
- Update: More details from the WSJ. Sources state the automakers "intend to purchase all of Nokia Here and then invite other global auto makers to take stakes in the company."
- Update 2: Reuters reports a deal worth between €2.5B-€3B is close, while adding the issue of patent ownership still needs to be worked out. The automakers want full ownership of Nokia's mapping patents; Nokia wants to keep control of some of the patents related to "how mobile devices connect to networks."
Jul. 21, 2015, 6:19 AM
- Nokia (NYSE:NOK) is nearing an agreement to sell its maps business HERE to a group of German luxury-car makers, including BMW (OTCPK:BAMXY), Daimler (OTCPK:DDAIY) and Audi (OTCPK:AUDVF).
- An agreement could be reached as early as next week, with an announcement targeted for around July 31, Bloomberg reports.
- Sources say Nokia has sought as much as $4B for the unit.
- NOK +1.3% premarket
- Previously: The latest on the Nokia HERE unit sale (Jul. 09 2015)