Nortel Networks, which has been struggling to sell off its assets since filing for bankruptcy in January, has accepted a $650 million bid from Nokia (NYSE: NOK) Siemens Networks, the second-largest telecom equipment maker in the world, reports WSJ.

Nokia Siemens, a joint venture between Nokia and Siemens, initially made the offer in April. If it is finalized, it will buy the company’s CDMA division, which would give Nokia Siemens a huge footprint in the U.S. through carriers Verizon Wireless (NYSE: VZ) and Sprint (NYSE: S) Nextel. In addition, Nokia Siemens would also buy a 400-person research unit, working on the 4G technology called LTE. The offer will be subject to an auction to see if a higher bid emerges, to comply with bankruptcy regulations. In addition to gaining the CDMA business, the buy-out makes sense since Nokia Siemens, wants to increase its chances of being selected for LTE rollouts around the world.

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