Finnish firm Nokia's acquisition of Alcatel-lucent will create an entity with revenues of $28 billion (about Rs1.75 lakh crore), with Asia-Pacific, Japan and India (APJ/India) contributing 18 per cent.
last week, the Finnish telecom gear maker said it will acquire its Franco-American rival in an all-stock deal valued at 15.6 billion euros ($6.6 billion). This will create an entity with a combined market cap of about 45 billion euro (close to$49 billion) and a revenue base of around 26 billion euro (about $28 billion).
Based on annualised revenue figures of 2014 fiscal, Nokia earned a revenue of 12.7 billion euro, with 26 per cent (about euro 3.4 billion) coming in from APJ/India. In the case of Alcatel-lucent, whose 2014 revenue stood at 13.2 billion euro, 10 per cent (about 1.3 billion euro) flowed from APJ/India, according to data with the US Securities and Exchange Commission (SEC).
If the deal goes through, the firm's combined revenue base will hit 26 billion euro, with APJ/India contributing 18 per cent or 4.7 billion euro (about $billion or close to Rs 31,300 crore). Interacting with reporters after making the announcement, Nokia President and CEO Rajeev Suri said: “Our strengthened presence in all geographies —- particularly in the US, China, Europe and Asia-Pacific —- would give us the scale and reach to better serve our customers' global needs.” Nokia Group will lead the new firm -- Nokia Corporation -- with Risto Siilasmaa to serve as Chairman and Suri as Chief Executive Officer.