Nokia Siemens Networks B.V. may sell as much as 750 million euros or about $1 billion of bonds to support its finances, media reported Monday, citing people familiar with the plans.
The 50/50 phone- equipment joint venture of Finnish communications firm Nokia Corp. (NOK: Quote) and German diversified manufacturer Siemens AG (SI: Quote) is said to be planning its first bond sale to raise funds, aiming to tap investor demand for high- yield assets. However, the company’s board still needs to approve the sale of the debt.
The Netherlands -based network equipment maker has been cutting jobs and costs amid the slowing global economy that tightened spending on mobile-network infrastructure. The firm returned to profit last year.
According to Bloomberg, European companies sold 3.5 billion euros of speculative- grade debt in 2013 as of last week, more than 10 times to last year.
Nokia closed Friday’s trading at $4.43, down $0.10 or 2.21 percent, while Siemens settled at $110.97, up $0.04 or 0.04 percent.
Click here to receive FREE breaking news email alerts for Nokia Corp. and others in your portfolio
by RTT Staff Writer
For comments and feedback: editorial@rttnews.comBusiness News