Nokia to sell Digital Health business to Withings co-founder Carreel

News Wireless Global 2 MAY 2018
Nokia to sell Digital Health business to Withings co-founder Carreel

Nokia announced that it entered into exclusive negotiations for the sale of its Digital Health business, following a strategic review announced in mid-February. The company had expanded into the healthcare market in April 2016, acquiring French start-up Withings for EUR 170 million and integrating it within its Nokia Technologies operations. Two years on, it now plans to resell the assets to Withings’ co-founder Eric Carreel for an undisclosed sum.

Nokia is expected to make a significant loss on the sale after reporting a goodwill impairment charge of EUR 141 million for its digital health business in the second half of 2017. Its quarterly revenues related to digital health amounted to EUR 16 million for the three months to March.

Announcing the news, it said that the planned disposal was in line with its strategic focus on becoming a business-to-business and licensing company. The Digital Health business remained the only consumer-focused business line within the group.

The sale is expected to be finalised at the end of the second quarter, subject to a consultation process within the Works Council of Nokia Technologies France.



Categories:

Wireless

Companies:

Nokia,  Withings

Regions:

Global

Countries:

France

Tags:

Consumer devices, Wireless, Consumer, M&A buyouts & divestments

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