Nokia-Microsoft deal hits delay
24 March 2014 | Kavit Majithia
Finnish vendor Nokia does not expect to close the sale of its mobile phone business to Microsoft until at least April, as talks with regulators continue.
The delay could indicate that further concessions may need be made to push the deal through, with analysts suggesting Nokia might have to adjust the licence fees it will charge on patents after it closes.
Reports suggest that Google and Samsung have asked Chinese regulators to look into the €5.44 billion deal, in a bid to ensure that it will not lead to higher fees.
The European Commission and the US Department of Justice have approved the deal, but Asian regulators are continuing to conduct reviews.
Both companies are still committed to the deal and Microsoft said it was now nearing the final stages.
“We are awaiting approval confirmation in the final markets,” said Brad Smith of Microsoft’s general counsel.
Nokia has faced issues in Asia in recent weeks and was hit with a $414 million tax claim in India, but the company maintains that this has had no effect on its deal schedule.
Microsoft took over five months to complete its deal to acquire Skype in 2011.
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