NSN to sell optical networks unit to Marlin Equity Partners
Telecoms equipment vendor Nokia Siemens Networks (NSN) has entered into an agreement to sell its optical networks unit to Marlin Equity Partners as it looks to focus on its core mobile broadband business.
NSN said that up to 1,900 employees, mostly in Germany, Portugal and China, would be transferred to the new independent company, which has the goal of a becoming a leader in the optical market.
The new company will be headquartered in Munich, Germany, and led by its existing management team, with Herbert Merz as CEO.
“Our strategic focus on our core markets has enabled us to concentrate our energy and investment in areas such as LTE where we have strengthened our global leadership position,” said Rajeev Suri, CEO at Nokia Siemens Networks.
“This transaction builds on that momentum and aims to provide a new home for the Optical Networks business with the focus, resources and strategic flexibility to address the opportunities in the optical market.”
The transaction is the latest in a series of asset sales by NSN having announced that it would be cutting 17,000 jobs at the end of last year.
The transaction is expected to close in the first quarter of 2013 and is subject to customary closing conditions.