Nokia Networks on Monday completed the acquisition of part of Panasonic’s wireless network operations.
The deal, struck in July, covers Panasonic’s LTE and 3G base station business and related mobile equipment, its fixed assets and business contracts, as well as 300 employees. Financial terms were not disclosed.
Nokia said the transaction will improve the efficiency and quality control for its product development and R&D, and increase its share of Japan’s mobile infrastructure market. It also described Panasonic as one of the most trusted brands in the Japanese telco market.
"With this acquisition, Nokia Networks will single-handedly contribute towards the domestic and overseas business of Japan’s operators, and also benefit from synergies in terms of efficient product operations and focused R&D efforts," said Ashish Chowdhary, chief business officer at Nokia Networks, in a statement.
The acquisition comes at a time of cautious optimism at Nokia Networks.
In November, it raised its operating margin guidance for 2015 and beyond to between 8% and 11% from a previous forecast of 5%-10%. It also re-entered the consumer device market with the unveiling of an Android tablet, which is being produced under licence by contract device maker Foxconn.
