Nokia Approved for Infinera Acquisition by FTC
Deal News | Feb 13, 2025 | EIN
The Fair Trade Commission (FTC) has granted approval for Nokia’s acquisition of California-based Infinera Corp. While primarily an extraterritorial merger, the FTC's approval was mandatory due to both companies operating subsidiaries in Taiwan. This merger, valued at $2.3 billion, intends for Nokia to obtain full control over Infinera’s business operations and workforce. Despite concerns of horizontal competition, the FTC concluded that market competition would not be significantly impaired, citing the existence of other competitors and powerful downstream trade partners. The optical transmission equipment sector, where both companies operate, may see accelerated innovation and development benefits resulting from this acquisition.
Sectors
- Telecommunications
- Technology
Geography
- Taiwan – The approval was necessary due to both Nokia and Infinera having subsidiaries in Taiwan.
- United States – Infinera is based in California, marking relevance to the US geography.
- Finland – Nokia is a company headquartered in Finland, marking relevance to the Finnish geography.
Industry
- Telecommunications – The article focuses on the acquisition of Infinera, a company that operates in the optical transmission equipment, part of the telecommunications sector.
- Technology – Nokia and Infinera are both heavily involved in technological advancements in optical equipment, indicating relevance to the technology industry.
Financials
- $2.3 billion – The deal price for Nokia’s acquisition of Infinera.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Nokia | Bidding Company | Companies | A Finnish multinational telecommunications and technology corporation. |
| Infinera Corp | Target Company | Companies | A California-based provider of optical transmission equipment. |
| Fair Trade Commission (FTC) | Regulatory Body | Government | The commission responsible for approving the merger under the Fair Trade Act. |