August 5, 2009
Nortel Networks Corp. announced its principal operating subsidiary, Nortel Networks Ltd.—and certain other subsidiaries, including Nortel Networks Inc.—have concluded a successful auction of substantially all of Nortel’s CDMA business and LTE (Long-Term Evolution) Access assets. Telefonaktiebolaget LM Ericsson has emerged the winning bidder with a purchase price of $1.13 billion US. The bid is subject to court approvals in Canada and the U.S., as well as regulatory and other customary closing conditions and certain post-closing purchase price adjustments.
If approved by the courts, Ericsson will purchase Nortel’s CDMA
business—the second-largest supplier of CDMA infrastructure in the
world, says Nortel, and substantially all of Nortel’s LTE Access
assets. Also as part of this agreement, a minimum of 2500 Nortel
employees supporting the CDMA and LTE Access business will receive
offers of employment from Ericsson.
CLICK HERE for Nortel.
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