Ina Fried

Recent Posts by Ina Fried

Nokia Taps Option for Nearly $2 Billion in Bond Financing From Microsoft

One of the many terms of the Microsoft-Nokia megadeal is an option for Nokia to get 1.5 billion euros ($1.975 billion) from Microsoft ahead of the transaction’s closing.

james_bond

Nokia said on Friday that it indeed wants the full amount, which it will pay for by issuing a series of bonds to Microsoft.

If Microsoft’s deal to acquire Nokia’s device unit is completed, the bonds will be redeemed from the purchase price. Otherwise, they have different maturity dates, and are also convertible into Nokia shares.

In a statement, Nokia said it will use the money to pay down debt from its buyout of Siemens in their network equipment joint venture, as well as for the catch-all “general corporate purposes.”

RELATED POSTS:


Latest Video

View all videos »

Search »

The problem with the Billionaire Savior phase of the newspaper collapse has always been that billionaires don’t tend to like the kind of authority-questioning journalism that upsets the status quo.

— Ryan Chittum, writing in the Columbia Journalism Review about the promise of Pierre Omidyar’s new media venture with Glenn Greenwald