Nokia Corporation (ADR) (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) has sold two properties in the city of Oulu for 30.5 million euros ($40.8 million) to domestic business space provider Technopolis as part of its restructuring plans.
According to the deal filing, Technopolis Oyj (HEL:TPS1V) will acquire 37,600 square meters of office space but Nokia will lease back almost half of that on a long-term lease.
The property leasing and business services company confirmed on Tuesday that it has bought the two properties from Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V).
The rentable space of the campus is approximately 37,600 sqm, including a parking garage with 800 parking spaces. The total investment is EUR 31.7 million, of which the purchase price is EUR 30.5 million.
“As we have said, we are focusing on our core business and evaluating the sale of non-core assets like real estate,” says Juha Olkinuora, Vice President, Nokia. “Nokia and Technopolis Oyj (HEL:TPS1V) have collaborated in Oulu for more than 20 years, so they are a natural partner for us. We will continue our operations at the campus as before.”
Technopolis believes that almost a 64% of its campus space will be occupied by the second half of 2013, while the financial occupancy rate of the campus to more tha 90% within two years.
“We believe in Oulu’s growth potential and we believe in the Peltola campus,” says Keith Silverang, CEO of Technopolis. “Oulu’s economic foundation has diversified strongly and start-ups are already among the largest private employers. The Peltola campus is especially suitable for serving the growth companies in the area.”
Announcing its Q4 earnings last month, the Finnish mobile maker reported a rise in its net cash — adding €800 million over the quarter to a total of $5.9 billion (€4.4 billion) net cash. Analysts believe that Nokia has been carrying out an Asset sale with a view to bolster its net cash.
Last year, Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) sold Espoo headquarters for 170 million euros and later leased it back from Exilion.