Nokia Corporation has signed an agreement to acquire Infinera Corporation, with the transaction expected to close in the first half of 2025. The acquisition, announced on June 26, 2024, is valued at $2.3 billion, with Nokia offering $6.65 per share for Infinera. The deal is anticipated to enhance Nokia's network infrastructure business and is aligned with its strategy to increase scale in optical networks and expand its presence in the enterprise and Webscale markets. Nokia's President and CEO, Pekka Lundmark, emphasized the strategic and financial rationale behind the acquisition, citing the opportunity to accelerate the journey to a double-digit operating margin in optical and to deliver better products for customers. The acquisition is expected to be accretive to Nokia's comparable operating...Show More

Nokia Corporation has signed an agreement to acquire Infinera Corporation, with the transaction expected to close in the first half of 2025. The acquisition, announced on June 26, 2024, is valued at $2.3 billion, with Nokia offering $6.65 per share for Infinera. The deal is anticipated to enhance Nokia's network infrastructure business and is aligned with its strategy to increase scale in optical networks and expand its presence in the enterprise and Webscale markets. Nokia's President and CEO, Pekka Lundmark, emphasized the strategic and financial rationale behind the acquisition, citing the opportunity to accelerate the journey to a double-digit operating margin in optical and to deliver better products for customers. The acquisition is expected to be accretive to Nokia's comparable operating profit and EPS in the first year and deliver over 10% comparable EPS accretion in 2027. Infinera's CEO, David Heard, expressed excitement about the combination, which is expected to set the pace of innovation in optical networking. The transaction aims to create shareholder value and is supported by Nokia's board, which has committed to increasing the share buyback program to mitigate dilution from the transaction. The acquisition is subject to customary closing conditions, including regulatory approvals and approval by Infinera's shareholders.