Rusnano acquires 25% stake in WTC from NSN in bid to appease watchdog

11 Jul 2013

Rusnano, a state-owned investment corporation focused on developing the Russian nanotechnology sector, has acquired a 25% stake in Long Term Evolution (LTE) equipment vendor Wireless Technology Center (WTC) from Nokia Siemens Networks (NSN), for RUB330 million (USD10 million). The deal was prompted by rules stipulating that, in order to be considered Russian-made and cleared for use in domestic telecoms infrastructure, any given piece of equipment must be produced by a company at least 50% owned by Russian nationals. The issue was pushed to the fore in February this year when Chechnya-based Vainakh Telecom came unstuck in its bid to deploy WTC’s 4G equipment in Grozny. Founded in 2011, the LTE vendor is located in Tomsk, Siberia, with local partner Micran holding a 25% stake. Following NSN’s stake sale the Finnish firm has seen its own holding reduced to 50%.

Russia, Nokia Networks (formerly NSN), Vainakh Telecom (Chechen Republic)