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NOK-ALU: Merging different
cultures is a big obstacle
and re-assuring customers of Wireless equipment as it relates which
of the two sides will be en-of-lifed is another obstacle. Not
impossible to do, but could lengthened the transition. Both
companies have dealt with this in the past, when they were in much
deeper problems, so one could hope t will be handled better given
the experience with these matters. Am article on these
subject: Nokia Still Faces Risks in Alcatel Merger -- Market
Talk11:26 AM ET 4/15/15 | Dow Jones 1526 GMT A merger with
Alcatel-Lucent carries big risks for Nokia, notably because of the
difficulty to combine different cultures, say analysts.
Alcatel-Lucent itself was formed through a 2006 Franco-U.S.
marriage that had a tumultuous start and yielded years of losses.
"Even if everything works out reasonably well, combining the two
companies will take a couple of years," said Sami Sarkamies, an
analyst with Nordea Bank in Helsinki. Nokia shares are down 1.1% at
EUR7.41, Alcatel shares down 14% at EUR3.84, having risen 16% on
Tuesday. (juhana.rossi@wsj.com)
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