Telecommunications giant Nokia on Wednesday announced an agreement under which Lumine Group Inc. will buy Nokia’s Device Management (DM) and Service Management Platform (SMP) businesses, said Nokia in a press release.
The deal will enable Nokia DM and SMP customers to benefit from Lumine’s telecom industry expertise, financial resources, and strategy to invest in a long-term product roadmap.
The agreement reflects Cloud and Network Services (CNS)’s investment focus on technology leadership areas, and the active portfolio management of others.
The deal follows Nokia announcements earlier this year to divest its VitalQIP products to Cygna Labs Corp and to make Red Hat the primary infrastructure platform for Nokia Core Network applications.
Lumine Group acquires, manages, and builds industry-specific software, focused in the telecom and media space.
With its strong balance sheet and market capitalization, Lumine Group intends to operate DM and SMP as a standalone business, which will be called Motive.
Approximately 500 Nokia Device Management and Service Management Platform employees are expected to transfer to Lumine Group as part of the deal. Both companies will work closely together to ensure a smooth transition and business continuity.
The deal is valued at EUR 185 million, which includes a contingent consideration of up to EUR 35 million based on the performance of the business during the first year following close.
The deal is expected to close in the first quarter of 2024, subject to certain terms, conditions, and consultations with works council or other employee representative bodies where required by law.
- Nokia
- Lumine Group
Source: www.dailyfinland.fi
