Nokia Oyj agreed to buy Siemens AG’s share in a six-year venture for 1.7 billion euros ($2.2 billion), giving the Finnish company full access to the phone- equipment maker’s cashflow for a less-than-estimated price.

Nokia will pay 1.2 billion euros for Siemens’s 50 percent stake in Nokia Siemens Networks, with the remainder as a secured loan from Siemens due a year after the deal is completed, the companies said today. Nokia doesn’t plan to integrate Nokia Siemens and may still decide to seek partners, Chief Executive Officer Stephen Elop said on a conference call.

Subscribe Now

Complete access to real-time information and analysis of news and trends in the industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.