Nokia Corporation on Tuesday announced that it has signed an agreement to sell substantially all of its Devices & Services business and licence its patents to Microsoft for €5.44 billion in cash. It expects to gain €3.2 billion from the deal.

The transaction is expected to close in the first quarter of 2014, subject to approval by Nokia shareholders, regulatory approvals and other customary closing conditions. After the deal closure Nokia Chief Executive Stephen Elop, will move to Microsoft Corp. Nokia board Chairman Risto Siilasmaa will take over CEO duties while the Finnish firm is looking for a new CEO.

“After a thorough assessment of how to maximize shareholder value, including consideration of a variety of alternatives, we believe this transaction is the best path forward for Nokia and its shareholders,” said Risto Siilasmaa, Chairman of the Nokia Board of Directors and interim CEO, following Tuesday’s announcement.

source: the hindu