Nortel finalizes €6.7m unit sale to Hitachi

Nortel Networks has  completed the sale of the assets of its carrier networks business to Hitachi  for $10 million (€6.7m ).

The sale was subject to court approvals in the US and Canada as well as regulatory and other customary closing conditions.

The next-generation packet core assets are part of its carrier networks business, and include technology such as its next-generation serving GPRS support node and other solutions related to the advance telecomputing architecture, or ATCA. The product line supports the transfer of data over existing wireless networks and the next generation of wireless communications technology.

The transaction which was first announced in October, includes relevant non-patent intellectual property, equipment and other related
tangible assets, as well as a non-exclusive licence of certain relevant patents and other intellectual property.

The assets do not include legacy packet core components for Nortel's GSM and UMTS businesses.

Nortel also appointed John Ray as its principal officer of the US debtors, who will work with Nortel management, Canadian bankruptcy monitor Ernst & Young, the joint administrators in the Uk administration proceedings and various retained advisers to provide guidance on the US side of the bankruptcy proceedings.