Nokia is in advanced talks to sell its mobile phone brand Vertu to private equity group Permira. The sale of its luxury mobile brand would raise about EUR 200 million, people familiar with the matter told the Financial Times. UK-based Vertu is an independently managed subsidiary launched by Nokia in 1998. The phones are made by hand and can cost more than GBP 200,000 due to the precious metal components. EQT, a Northern European private equity group, has also been in talks about buying the group, although those close to the process say that these are not progressing at this stage. There were also luxury goods companies interested in adding the Vertu name to their stables of upmarket brands. Goldman Sachs is advising Nokia on the sales process. Annual revenue for the Vertu business was estimated at EUR 200-300 million, with outlets selling Vertu phones in more than 60 countries. Nokia is looking to sell off non-core parts of the business and accelerate cost savings in its devices division as it focuses on driving sales of its Windows-based Lumia smartphone platform.
