Nokia has quashed rumours it is eyeing a bid for network vendor rival Juniper Networks in a bid that would have reportedly been worth around $16 billion.
A report from CNBC earlier this week claimed the Finnish vendor was preparing a bid to acquire smaller rival Juniper in order to turn around falling revenues, with Nokia now issuing a firm denial.
Nokia said: “Nokia is not currently in talks with, nor is it preparing an offer for, Juniper Networks related to an acquisition of that company.” It added that although it would not normally comment on rumours, the “specificity” of the reports meant it felt compelled to issue a rebuttal.
Nokia has form acquiring rivals, having snapped up Alcatel-Lucent for around $17 billion last year in order to boost its fixed network business. The Finnish firm has been trying to strengthen its infrastructure division after it offloaded its handset arm to Microsoft in 2014.
Juniper has long been named as a potential acquisition target for the bigger vendors in the telecoms space, with Nokia previously linked in 2014.
With sales down 10% in 2016, and falling a further 4% during the first three quarters of 2017, market conditions have not favoured Nokia, while Juniper has seen revenues and profits grow. Sales at the US-based vendor grew from $3.6 billion in the first three quarters of 2016 to $3.8 billion across the same period in 2017.