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Mobile Phone Giant Nokia Sell Their HQ

To free up some capital but stay in the HQ for the time being.

It looks like cash strapped Nokia have finally off loaded its headquarters for €170M ($222.5M USD) to Exilion in a deal to be closed by the end of the year, it's also going to stay in the headquarters on a "long-term" lease deal.

This move in similar in style to Ford Motor Company’s decision pre-recession to re-mortgage most of its North American properties, a move that gave it capital needed to weather the recent recession and become the only member of America's Big Three automakers not to enter government-guided bankruptcy.

Nokia's CFO Timo Ihamuotila remarked on the deal saying, "We had a comprehensive sales process with both Finnish and foreign investors and we are very pleased with this outcome. As we have said before, owning real estate is not part of Nokia's core business and when good opportunities arise we are willing to exit these types of non-core assets. We are naturally continuing to operate in our head office building on a long-term basis."

The decision to release the headquarters is also interesting as some industry experts have speculated Nokia might be looking to shift more of its management to North America, to be closer to software ally Microsoft Corp.