Nokia sells its headquarters
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Nokia's waterfront headquarters is located near the Finnish capital of Helsinki.
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Nokia is now leasing the giant main office building in Espoo, Finland, that it has called home for 15 years. The 48,000 square-meter (517,000 square-feet) building sold to Finnish property management firm Exillion for €170 million.
Things are not looking good for the former mobile leader. This selling of assets comes after Nokia reported huge losses over the last year. According to the Wall Street Journal, Nokia’s net cash position has shrunk from €4.2 billion in June to €3.6 billion in September. Nokia has laid off over 10,000 workers in 2012 and jut last week, Nokia lost the head of their digital imaging team to Jaguar.
Full Press Release:
NOKIA TO SELL AND LEASE BACK HEAD OFFICE BUILDING
Nokia has agreed to sell and lease back its head office building in Espoo, Finland on a long-term lease to Finland-based Exilion. We expect to complete the sale by the end of 2012. The selling price is EUR 170 million.
“We had a comprehensive sales process with both Finnish and foreign investors and we are very pleased with this outcome. As we have said before, owning real estate is not part of Nokia’s core business and when good opportunities arise we are willing to exit these types of non-core assets. We are naturally continuing to operate in our head office building on a long-term basis,” said Timo Ihamuotila, CFO, Nokia.
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