Nokia (NOK) Aims to Sell Unique Luxury Branch as Economies Tumble
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Nokia (NYSE: NOK) is really looking to trim down costs.
According to reports in the Financial Times (FT), Nokia is in talks with Goldman Sachs (NYSE: GS) in evaluation of potential outcomes for it's luxury arm -- Vertu -- which may include a sale.
Created in 1998 to meet demand in the niche market for overtly expensive phones, recent global economic slumps have caused Nokia to re-think the branch, which is currently valued at about $268 million to $402 million.
Some private-equity groups have also expressed interest in the brand, FT notes, and may attract the interest of luxury goods brands.
Aside from the diamonds and metal, the phones are fairly standard. The only upgrade is a button which allows the user to access a team of dedicated concierge service people, which can make bookings for things like taxis and restaurants.
Nokia is said to have reported double-digit revenue growth for the brand, of which it keeps 100 percent. Vertu phones have not adopted Microsoft (Nasdaq: MSFT) software.
Shares of Nokia are 4 percent lower Thursday.
According to reports in the Financial Times (FT), Nokia is in talks with Goldman Sachs (NYSE: GS) in evaluation of potential outcomes for it's luxury arm -- Vertu -- which may include a sale.
Created in 1998 to meet demand in the niche market for overtly expensive phones, recent global economic slumps have caused Nokia to re-think the branch, which is currently valued at about $268 million to $402 million.
Some private-equity groups have also expressed interest in the brand, FT notes, and may attract the interest of luxury goods brands.
Aside from the diamonds and metal, the phones are fairly standard. The only upgrade is a button which allows the user to access a team of dedicated concierge service people, which can make bookings for things like taxis and restaurants.
Nokia is said to have reported double-digit revenue growth for the brand, of which it keeps 100 percent. Vertu phones have not adopted Microsoft (Nasdaq: MSFT) software.
Shares of Nokia are 4 percent lower Thursday.
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