Various reports have thrown light on the sad situation of the company. The weekly Helsinki Times mentioned in its latest edition that Nokia stocks were now below book value — a situation described as “worth more dead than alive” rhetorically. It even added, “The investment community is fertile ground for rumours, and there are plenty about what could happen to Nokia. One of the most persistent rumours is that Microsoft may buy the company.”
A Wall Street Journal report stated that, “The alliance with Microsoft is a powerful one. Maybe Apple and Google have already won the mobile-phone business, and everyone else is doomed. But that’s what they once said about Nokia. Things change in this industry. Microsoft, which is desperate to play catch-up in smart-phones, could buy Nokia today out of petty cash.”
The edition also mentioned that Microsoft has about 46 billion euros in cash equivalent, while Nokia’s market value is 8.4 billion euros, hinting at ruling out any other buyer for Nokia.
Article by: Kalpana Sharma, EFYTIMES News Network
