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- Nokia (NYSE:NOK) is acquiring Infinera (NASDAQ:INFN) for $2.3B to strengthen its optical networking position, particularly in North America, the companies announced Thursday afternoon.
- Infinera stocks soared more than 25% during early post-market trading following the announcement.
- The transaction represents a premium of 28% to Infinera’s share price at the close of June. 26. The deal is expected to close during the first half of 2025.
- “The combined businesses have a strong strategic fit given their highly complementary customer, geographic and technology profiles,” said Nokia CEO Pekka Lundmark, in a statement. “With the opportunity to deliver over 10% comparable EPS accretion, we believe this will create significant value for shareholders.”
- The acquisition is expected to increase the scale of Nokia’s Optical Networks business by 75%.