BUZZ-Nokia shares jump on deal to buy Infinera in North America

Reuters06-28 15:33

** Shares in Nokia rise 4% after the Finnish network equipment maker signed a deal to acquire California-based optical semiconductor maker Infinera on Thursday

** Nokia expects the $2.3 billion deal to help expand its presence in the optical network business in North America and to increase its profits by 10% until 2027

** The combined company would have a 20% market share relative to Ciena's 20% and Huawei's 31%, J.P.Morgan analysts say

** "Historical precedent for Optical industry M&A points to heightened integration risk of competing Optical portfolios," JPM says, adding this would "limit the appetite" for Ciena to make a competing bid

** Nokia's shares are among top gainers on Europe's benchmark STOXX 600 index

(Reporting by Boleslaw Lasocki)

((boleslaw.lasocki@thomsonreuters.com; +48 58 769 66 00;))

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