Roundup of Nortel bids: RIM exceeds highest bid by $375 million

Comments

nortel_broken

At the moment, there are three major bidders for Nortel’s technology: RIM, Nokia and MatlinPatterson. RIM’s bid exceeds the leading bid by $375 million and Nortel is still dragging its feet. While Nortel is clearly holding off in the hopes of getting a better bid, it may hurt the company’s prospects in the end. If the company does not accept RIM’s bid, it stands to lose the $375 million and accept the next lowest bid. Lets take a look at all three bids:

RIM

RIM has offered to pay $1.1 billion US for Nortel’s CDMA and LTE technology. RIM is not only the largest bidder by far, but it is also a Canadian company, just like Nortel. Canadians can still remember when Nortel’s stock plunged and investors lost millions of dollars. It would be great to see this failed company pass along a Canadian made technology to a company that will employ Canadians and keep the investment local.

Nokia

Nokia Siemens Networks, a joint European venture, has offered to bid $650 million. While they have said they would raise this bid, it is still $450 million short of what RIM is bidding.

MatlinPatterson

MatlinPatterson is a US private equity firm who have offered to pay $725 million US. MatlinPatterson currently owns about 10 per cent of Nortel’s $4.2 billion US of debt. What’s nice about the MatlinPatterson offer, is that the company ultimately wants keep Nortel, a 127-year-old Canadian technology icon, intact as a single company.

  • http://twitter.com/sikencide/statuses/2780770671 sikencide (Chris Rosa)

    RT: @BlackBerryCool Roundup of Nortel bids: RIM exceeds highest bid by $375 million http://bit.ly/7e08b

  • http://twitter.com/iskandar_ahmat/statuses/2788038300 iskandar_ahmat (Iskandar Ahmat

    RT @BlackBerryCool: Roundup of Nortel bids: RIM exceeds highest bid by $375 million http://bit.ly/7e08b

  • http://twitter.com/DeepBlade/statuses/2790609221 DeepBlade (Kelvin Ng)

    Roundup of Nortel bids: RIM exceeds highest bid by $375 million http://bit.ly/7e08b (via @BlackBerryCool) #RIM #Nortel

  • Dan

    Kyle – you need to read Nortel’s public press release on this topic. It looks to be pretty simple. Everyone else signed the NDA and RIM refused to sign it, so they are not a bidder. Besides, the $1.1 billion they tossed out is NOT for the same asset package. It includes some “other assets” that RIM wants, therefore an undefined variable. Thi

  • Dan

    Kyle – you need to read Nortel’s public press release on this topic. It looks to be pretty simple. Everyone else signed the NDA and RIM refused to sign it, so they are not a bidder. Besides, the $1.1 billion they tossed out is NOT for the same asset package. It includes some “other assets” that RIM wants, therefore an undefined variable. Thi

  • Dan

    Kyle – you need to read Nortel’s public press release on this topic. It looks to be pretty simple. Everyone else signed the NDA and RIM refused to sign it, so they are not a bidder. Besides, the $1.1 billion they tossed out is NOT for the same asset package. It includes some “other assets” that RIM wants, therefore an undefined variable. Thi