It now looks like according to the reports that Nokia is very much keen in selling its HERE maps business, which by means approached Uber for possible buyout. Nokia tipped to contemplating a sale of its Maps business, and apparently, wants to focus its efforts on growing its wireless network division, as well to improve its credit rating on the go. More details on the Nokia HERE maps app acquisition can be found below.
Reports surfaced suggesting that the Finnish brand has hired a financial adviser, as it does not seem much synergy in its HERE maps business after the sale of its handset unit. The current survey says that the current valuation of the maps division is almost €2 billion, and as the Bloomberg reports that HERE made a full-year sales of €970 million and an operating loss of €1.24 billion, including a goodwill impairment of €1.21 billion.
Remind you that Nokia has in 2007 bought Navteq for €5.7 billion and says, “We have estimated that HERE’s value is around €3.3-4.8 billion, and in a possible deal the price should be more than that,” Inderes Equity Research said on its Twitter account.”
Although, Nokia has evidently reached the Cab service company Uber and other private firms, “a group of German carmakers” are reportedly among the potential buyers of the highly capable HERE maps. Bids for the Maps service could be submitted as early as this month, April 2015.
If the sale goes through, Nokia will look forward in growing its network segment, and even consider buying rival firm ‘Alcatel-Lucent SA’. HERE maps currently provides services to Amazon, Microsoft, Yahoo and several other car-navigation systems, GPS as to go by.
Nokia’s HERE business is said to pack a $2.1 billion USD, but worth noting that the former Finnish giant paid $8.1 billion to buy Navteq Corp in the past.
What do you think about Nokia move regarding its HERE maps business sellout?