By Gustav Sandstrom
Network equipment vendor Nokia Siemens Networks said Wednesday
it plans to sell its Business Support Systems unit to Canadian
telecommunications software and service company Redknee Solutions
Inc. (RKN.T) as the company shifts its focus more towards mobile
broadband services.
If the deal is finalized, Redknee will pay a total consideration
of 15 million euros ($19.6 million) in cash at closing, plus a
maximum of EUR25 million over 12 to 36 months after the deal's
closure, it said.
The sale, which is expected to close in the first half of 2013,
is subject to approval by regulators and exchanges and a
consultation process with trade union representatives, Nokia
Siemens said.
Around 1,200 employees would transfer to Redknee, the company
said, adding that it would also involve a transfer of customers and
supplier contracts, intellectual property rights and fixed
assets.
The Business Support Systems business provides services
including real-time charging, rating, policy and customer care to
mobile operators.
Nokia Siemens is a joint venture between Finland's Nokia Corp.
(NOK) and Germany's Siemens AG (SI).
At 0818 GMT, shares in Nokia were up 6.3% at EUR2.68 against a
1.5% rise in the wider Helsinki market.
Write to Gustav Sandstrom at gustav.sandstrom@dowjones.com
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