Slashdot Mirror

← Back to Stories (view on slashdot.org)

Nokia Buys Navteq for $8.1 Billion

Posted by ryuzaki0 on from the better-to-track-you-with-my-dear dept.

mytrip writes to mention that Nokia has agreed to buy Navteq, Chicago-based maker of digital mapping and navigational software, for $8.1 billion. "Nokia's president and chief executive, Olli-Pekka Kallasvuo, said that location-based services were a cornerstone of Nokia's Internet services strategy, which is part of an overall plan to expand beyond the production of cellphones into user services like photos, video, music and games."

2 of 77 comments (clear)

  1. Google Maps et al affected? by trickonion · · Score: 2, Insightful

    I know Google Maps (and I believe others) use data provided by Navteq (so the bottom of the maps say). I wonder if this purchase will affect them in any way?

    --
    I got you an Andes mint, but it melted in my pocket
  2. Re:NavTeq made out like bandits here. by theskipper · · Score: 3, Insightful

    Fwiw, a few points for perspective:

    After the Tom-Tom purchase of TeleAtlas, Navteq almost doubled from July (wow!): http://clearstation.etrade.com/cgi-bin/details?Symbol=NVT&csize=10&PositionId=3072161788&Event=peek&period=d.

    You hit a home run because you owned a severely undervalued stock. A real value was applied to their nearest competitor and investors compared their market caps along with a premium. It's standard recognition of price disparity that all investors look for.

    As far as the shareholders go, anyone who bought at the last peak in early '06 (around $51) still managed a gain of over 50%.

    Btw, now is usually a good time to sell and book the gain. There will be a slight discount to the buyout price which represents the risk of the deal falling through. For a percent or two it's usually not worth waiting for the arbitrage to settle out.

    Congratulations on a great trade.