Nokia to Acquire Infinera in $2.3 Billion Deal: What to Know
Nokia will acquire Infinera as it looks to expand its optical-networking presence. Here's what you need to know.


Nokia (NOK) announced it will buy Infinera (INFN) in a deal that values the global supplier of open optical networking solutions and advanced optical semiconductors at approximately $2.3 billion, or about $6.65 per share.
The purchase price represents a roughly 26.4% premium to Infinera stock’s June 27 close at $5.26, sending its share price up by more than 18% Friday. NOK stock, meanwhile, is higher by about 2%.
Nokia said that the transaction is expected to be accretive to its comparable operating profit and earnings per share (EPS) in the first year post-close and will deliver 10% comparable EPS accretion by 2027. It also expects to achieve 200 million euros of net comparable operating profit synergies by 2027.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
"We believe now is the right time to take a compelling inorganic step to further expand Nokia's scale in optical networks," Nokia CEO Pekka Lundmark said in a statement. "The combined businesses have a strong strategic fit given their highly complementary customer, geographic and technology profiles. With the opportunity to deliver over 10% comparable EPS accretion, we believe this will create significant value for shareholders."
Under the agreement, Infinera shareholders have three options – for each Infinera share they own, they can receive:
- $6.65 in cash
- 1.7896 shares of Nokia
- A combination of $4.66 in cash and 0.5355 share of Nokia
"We believe Nokia is an excellent partner and together we will have greater scale and deeper resources to set the pace of innovation and address rapidly changing customer needs at a time when optics are more important than ever – across telecom networks, inter-data center applications, and now inside the data center," Infinera CEO David Heard said in a statement. "This combination will further leverage our vertically integrated optical semiconductor technologies."
The transaction is subject to approval by Infinera shareholders, regulatory clearance and other closing conditions, Nokia said. If all goes as planned, the transaction is expected to close during the first half of calendar year 2025.
Following completion of the transaction, Nokia said it will increase and accelerate its stock buyback program "to mitigate any dilution from the equity component of the acquisition."
Is Nokia stock a buy, sell or hold?
Nokia is up nearly 11% for the year to date and Wall Street remains bullish on the tech stock.
According to S&P Global Market Intelligence, the average analyst target price for NOK stock is $4.78, representing implied upside of more than 25% to current levels. Additionally, the consensus recommendation is Buy. However, analysts may revise their price targets on the stock following the deal announcement.
Related Content
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

Joey Solitro is a freelance financial journalist at Kiplinger with more than a decade of experience. A longtime equity analyst, Joey has covered a range of industries for media outlets including The Motley Fool, Seeking Alpha, Market Realist, and TipRanks. Joey holds a bachelor's degree in business administration.
-
Cord Cutting Could Help You Save Over $10,000 in 10 Years
How cutting the cord can save you money and how those savings can grow over time.
-
The '8-Year Rule of Social Security' — A Retirement Rule
The '8-Year Rule of Social Security' holds that it's best to be like Ike — Eisenhower, that is. The five-star General knew a thing or two about good timing.
-
Cord Cutting Could Help You Save Over $10,000 in 10 Years
How cutting the cord can save you money and how those savings can grow over time.
-
Should I Buy Stocks or Should I Buy Bonds Right Now?
Generally speaking, stocks provide reasonable growth while bonds provide stable income. Each play important roles in diversified portfolios.
-
You Were Planning to Retire This Year: Should You Go Ahead?
If the economic climate is making you doubt whether you should retire this year, these three questions will help you make up your mind.
-
Are You Owed Money Thanks to the SSFA? You Might Need to Do Something to Get It
The Social Security Fairness Act removed restrictions on benefits for people with government pensions. If you're one of them, don't leave money on the table. Here's how you can be proactive in claiming what you're due.
-
From Wills to Wishes: An Expert Guide to Your Estate Planning Playbook
Consider supplementing your traditional legal documents with this essential road map to guide your loved ones through the emotional and logistical details that will follow your loss.
-
Why Investing Abroad Could Pay Off
Countries overseas are stimulating their economies, and their stocks are compelling bargains.
-
Are These the Next Stocks to Split?
Interactive Brokers' recently split its stock to makes its shares more accessible to investors. Could these high-priced stocks be next?
-
Your Home + Your IRA = Your Long-Term Care Solution
If you're worried that long-term care costs will drain your retirement savings, consider a personalized retirement plan that could solve your problem.