Deal Final: Nokia Will Buy Alcatel-Lucent  

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The deal that has been discussed for months is now happening. Reuters reported that Nokia will buy Alcatel-Lucent in al all-share deal that values its smaller French rival at 15.6 billion euros ($16.6 billion), building up its telecom equipment business to compete with market leader Ericsson. This deal will allow Nokia to have stronger exposure in the North American market, giving them access to major AT&T and Verizon contracts. “Nokia will give Alcatel-Lucent shareholders 0.55 shares in the combined company for each of their old shares, putting 33.5 percent of the entity in Alcatel shareholders’ hands if the tender offer is fully taken up. The deal will be finalized in the first half of 2016 and is expected to result in 900 million euros of operating cost savings by the end of 2019,” according to Reuters.

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