Nokia Looks to Sell Vertu

Nokia is to sell its luxury subsidiary Vertu, as the Finnish handset manufacturer overhauls its business to compete with other smartphone makers, the Financial Times reported on Thursday, writes Reuters. Vertu has attracted interest from private equity groups, according to one person with knowledge of the business cited in the article published on the FT website, writes Reuters.

(Reuters) – Nokia is to sell its luxury subsidiary Vertu, as the Finnish handset manufacturer overhauls its business to compete with other smartphone makers, the Financial Times reported on Thursday.

The newspaper cited one person familiar with the process as saying Nokia has appointed Goldman Sachs to oversee the sale of its UK subsidiary, but talks are still at an early stage.

A Nokia spokesman declined to comment, while one person familiar with the situation said a sale was not yet certain.

Vertu, which makes some of the most expensive handsets in the world, has yet to be given a value. Annual revenue is estimated to be between 200 million euros and 300 million euros ($268 million and $402 million) although Nokia does not officially provide details on Vertu sales.

Vertu has attracted interest from private equity groups, according to one person with knowledge of the business cited in the article published on the FT website.

The person cited by the FT said Vertu is also likely to attract attention from luxury goods brands, given its emerging market customer base and the potential for cross-selling.