Siemens, Nokia combine equipment units

According to Wall Street Journal, Nokia and Siemens look set to let the world know about their phone equipment divisions merging together tomorrow. The entire deal is valued at an estimated $31.6 billion dollars and both companies will hold an equal 50% stake each. This will spawn a new company under a different name, but the stock will not be traded separately. Nokia executive Simon Beresford-Wylie will most probably be appointed to the role of chief executive. This move means Siemens will be a smaller player in the telecom business with Nokia playing a bigger role in the new entity.