Nortel Networks Corp. (NRTLQ.PK) said that its principal operating subsidiary Nortel Networks Ltd. and certain of its other subsidiaries, including Nortel Networks Inc. obtained orders from the U.S. Bankruptcy Court and the Ontario Superior Court of Justice approving the "stalking horse" asset sale agreement with GENBAND Inc.
Under the deal, the company will sell substantially all of the assets of its North America, Caribbean and Latin America and Asia Carrier VoIP and Application Solutions business.
The court orders also established bidding procedures for an auction that allows other qualified bidders to submit higher or otherwise better offers.
Qualified bidders will be required to submit offers for the CVAS business by February 23, 2010, subject to any permitted extensions. Competing qualified bids would then be expected to proceed to an auction, currently scheduled for February 25, 2010.
Following completion of the bidding process, the sale will require final approval of the U.S. and Canadian courts.
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