The two companies expect to complete closing activities by the end of 2010, subject to customary closing conditions including regulatory approvals.
"This is an exciting acquisition that I believe has significant benefits for customers, employees and our shareholders," said Rajeev Suri, CEO of Nokia Siemens Networks. "Motorola’s current customers will continue to get support for their installed base and a clear path for transitioning to next generation technologies while employees will join a company with global scale and reach.”
Nokia Siemens Networks will see the benefits the deal that is widely expected to enhance profitability and cash-flow and to have significant upside potential.
Nokia Siemens Networks and Motorola, have jointly announced that the companies have entered into an agreement under which Nokia Siemens Networks will acquire the majority of Motorola’s wireless network infrastructure assets for US$1.2 billion in cash.