Electronics Production |
Ericsson: acquisition of Nortel's GSM assets complete
Ericsson has completed the acquisition of Nortel's North American GSM business. The closing follows the announcement on November 25, 2009, that Ericsson had entered into an asset purchase agreement for these assets.
"The addition of Nortel's skilled GSM experts adds additional depth to Ericsson's newest business unit," said Rima Qureshi, head of Ericsson's CDMA unit. "The CDMA team acquired from Nortel late last year has built a strong foundation already, and this new acquisition places us in a great position to support our growing list of North American and International customers."
The acquisition includes the transfer of important GSM business with North American operators and further strengthens Ericsson's ability to serve North America's leading wireless operators. More than 350 employees from Nortel will be integrated in the Ericsson group over the coming months.
The acquired operations are expected to be accretive to Ericsson's earnings within a year after closing.
Ericsson's bid for Nortel's GSM assets was made together with Kapsch CarrierCom AG of Austria. Under the two transactions Ericsson is acquiring certain assets of Nortel's GSM business in North America and Kapsch is acquiring certain assets outside North America.
In 2009, Ericsson also acquired Nortel's CDMA and LTE assets in North America.
