Nokia to acquire Intellisync for $430mn

11/17/05 - newratings.com

LONDON, November 17 (newratings.com) – The world's largest mobile-phone maker, Nokia (NIA-EUR), Thursday announced its plans to acquire wireless messaging and e-mail management firm Intellisync Inc to strengthen its position in the enterprise market.

The Espoo, Finland-based mobile giant said in a statement that it had agreed to pay $5.25 for each common share of Intellisync, implying an acquisition price of about $430 million. Nokia is targeting the enterprise market to boost its sales, since the consumer markets in Europe and the US are close to saturation. Nokia’s acquisition of San Jose, California-based Intellisync poses potential competition for Canada's Research in Motion (RIM) in the market for its Blackberry devices. Nokia’s share price declined 19¢, or 1.3%, to €14.44 in Helsinki.