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Finland's Nokia buys back 150 million euros of March 2021 notes

Published 2020-05-14, 03:21 a/m
© Reuters. Nokia logo is seen at the Mobile World Congress in Barcelona
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(Reuters) - Finnish telecom equipment maker Nokia (HE:NOKIA) said on Thursday it would buy back 150 million euros ($162 million) of its March 2021 notes as it restructures its finances.

Nokia, which axed its dividend after a profit warning in October to preserve cash, is battling with China's Huawei [HWT.UL] and Sweden's Ericsson (BS:ERICAs) in the race to build next-generation 5G networks.

"We are pleased to have pre-financed our 2021 and 2022 maturities in-line with our prudent capital structure management," Chief Financial Officer Kristian Pullola said in a statement.

He said Nokia was positioning the business well to continue to fund research and development needed in the industry.

Nokia said it accepted 66% of notes tendered and 350 million euros of its March 2021 notes would remain outstanding after settlement of the offer.

Barclays (LON:BARC) Bank, Citigroup (NYSE:C) Global Markets, Goldman Sachs (NYSE:GS) International and Nordea Bank acted as joint dealer managers for the tender offer.

© Reuters. Nokia logo is seen at the Mobile World Congress in Barcelona

Last week Nokia issued two new euro-denominated fixed-rate notes, raising 1 billion euros in total.

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