Samsung Might Takeover Nokia !!!

Mashhood Riaz / News4399Nokia Reviews Category / 8th June, 2012 / 0 Comments
Samsung Might Takeover Nokia !!!

Well, if you are a Finnish investor then at this time you are hoping that only you could go back a few days ago and buy some Nokia shares. The reason behind this is that yesterday, the value of Nokia’s shares rose to 6%. Well, the reason behind this rise is rumors that Nokia will be getting a takeover bid from Samsung. You have to keep in mind that this is not the first time we have heard about it, as you might remember that almost a whole year ago exactly same rumor appeared. But in the last year, Nokia’s worth was around $24 billion while the current market capital of the Finnish manufacturer is $11 billion which shows that the value of the shares have also dropped 40% in the last six months.


So, there is no doubt that Samsung will have no problem acquiring Nokia. We all know that the Korean manufacturer is in a very good financial position, all thanks to the recently launch of Samsung Galaxy S III. Samsung took 9 million pre orders for that device only in the last month all around the world.

But the important question is that why Samsung would buy Nokia? I mean of course Samsung will be getting its hands on the large patents portfolio and manufacturing facilities of Nokia but still it will be very hard for Samsung to integrate both companies.

According to a report published by a Swedish newspaper, Samsung has already offered 4 Euros per share for Nokia. It means that Samsung is ready to $18.7 billion to the company, which will make 70% premium over the current price. Nokia has not confirmed the bid yet.

Now according to many analysts, it should be Microsoft not Samsung who should be buying Nokia. It really makes sense, as Nokia is already making various devices that runs on Windows platform. While it will also give Microsoft a chance to compete with other big companies like Apple and Google. Similarly, Google recently acquired Motorola mobility for the same purpose.

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