Nokia, Microsoft to miss deadline for selling phone division
A wait for antitrust approvals in Asia delays the $7.2 billion deal beyond a planned first-quarter closing, but Microsoft and Nokia remain committed.
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Nokia won't sell its devices and services business to Microsoft by the first-quarter deadline the companies set last year, saying Sunday night that regulatory hurdles delayed the deal's closing until April.
"Nokia and Microsoft remain committed to the transaction," and the companies "continue to be confident that the transaction will close," Nokia said in a statement. The problem is that not all antitrust authorities around the world have given their approval.
"Nokia and Microsoft have already received most of the required regulatory approvals, including approvals from the European Commission and the U.S. Department of Justice. Furthermore, Nokia and Microsoft continue to make good progress related to the closing conditions and integration planning," Nokia said. "However, the transaction is pending approvals from certain antitrust authorities in Asia which are still conducting their reviews." In September, Microsoft announced its $7.2 billion plan to acquire Nokia's phone business and license some patents. Nokia became Microsoft's biggest and closest Windows Phone partner in a mutual bid for relevance in a market dominated by Apple's iOS and Google's Android.