London: Finnish telecom major Nokia will seek its shareholders approval on November 19 this year to its USD 7.2 billion deal to sell devices and services business to US software giant Microsoft.
"The purpose of the Extraordinary General Meeting is for you and our other shareholders to consider and vote on a proposal to confirm and approve the transactions ...By and between Nokia Corporation and Microsoft International," Nokia said in a statement.
It added that under the purchase agreement, Nokia will sell substantially all of its Devices and Services business, including assets and liabilities to Microsoft International for an aggregate purchase price of 3.79 billion Euro (Over USD 5 billion) in cash, subject to certain adjustments.
Post completion of deal Nokia will focus on its telecom equipment business Nokia Solutions and Network, navigation business HERE and patent business Advanced technologies.
Nokia said that upon completion of the sale of the deal with Microsoft, the US software giant will also become a strategic licensee of the HERE location platform and will pay Nokia separately for the services provided under this license.
The Finnish major expects Microsoft to become one of the top three customers of HERE. Nokia will retain the Nokia brand and all of its patents and patent applications worldwide, provided that certain registered design rights that are specific to the devices and services business will be included in the assets transferred to Microsoft.
PTI
First Published: Thursday, September 19, 2013, 22:17