Home / Tech & Systems / Nokia Corporation (NYSE:NOK) Plans to Acquire Alcatel-Lucent Bonds Convertible Into New Shares

Nokia Corporation (NYSE:NOK) Plans to Acquire Alcatel-Lucent Bonds Convertible Into New Shares

Nokia Corporation (NYSE:NOK) [Trend Analysis] regains street interests, as shares collapsed -1.89% on Friday and it traded at $5.18. The 52-week high of the share price is -32.11% and 52-week low of the share price is -1.33%.

Nokia (NOK) plans to acquire 72 994 133 of the EUR 688 425 000.00 Alcatel-Lucent bonds convertible into new Alcatel-Lucent shares or exchangeable for existing Alcatel-Lucent shares due on January 30, 2019 and 19 943 533 of the EUR 460 289 979.90 Alcatel-Lucent bonds convertible into new Alcatel-Lucent shares or exchangeable for existing Alcatel-Lucent shares due on January 30, 2020. Nokia has agreed to acquire the OCEANEs through a privately negotiated transaction in consideration for an aggregate cash payment of EUR 418 949 438.33. The settlement of the transaction is expected to occur on or around May 16, 2016.

Following this transaction Nokia is expected to own 94.64% of the share capital and 94.57% of the voting rights of Alcatel-Lucent, corresponding to 94.17% of the Alcatel-Lucent shares on a fully diluted basis.

Moving toward technical analysis, the current ratio, or the liquidity ratio of a company was calculated 2.50 as compared to its debt to equity ratio stands at 0.21. This is an important indicator as a higher ratio typically suggests that investors are investing more confidently as compared to companies in the same industry has lower ratios. When calculating in the EPS estimates for the current year from sell-side analysts, the Price to current year EPS stands at -53.90%. Investors looking further ahead will note that the Price to next year’s EPS is 23.65%.

Major bullish and bearish trends reflect in rating research, from pool of WSJ analyst gave 12.58 as a highest price target, medium point hits to 7.14, while the lowest share price targets assigned 5.24. The data compelled by Wall Street Journal average suggest average price target would by 7.31, where as current price stood at 5.18. ¬†Moderately analysts issue miscellaneous recommendation for NOK, as 22 experts rated as “BUY” security, 3 analyst have faith on stocks as “Overweight,” moreover 11 experts rated as “Hold”.

As for as concerns shares volumes, in share capital Nokia Corporation (NYSE:NOK) has 5890.05 million outstanding shares among them 5763.55 million shares have been floated in market exchange. The firm’s institutional ownership remained 3.90%.

The stock showed weekly upbeat performance of -8.96%, which maintained for the month at -14.66%. Likewise the positive performance for the quarter recorded as -11.90% and for the year was -24.60%, while the YTD performance remained at -26.21%.

 

About Blake Escott

Blake Escott holds junior writer position in SWR. Before joining Streetwise Report, he was a freelance content Writer. He has high-level copywriting experience and particularly experienced in proofreading and editing. He covers news about different companies including all US market sectors. Interests: Commodities, Energy stocks, Sector-wise Stocks analysis, Utilities

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