Nortel Selling Chinese Joint Venture

NEW YORK (AP) -- Telecommunications equipment maker Nortel Networks Corp. said Wednesday that its Chinese joint venture has agreed to be sold to Ericsson (China) Communications Company Ltd. for $50 million in cash.

The joint venture, Guangdong Nortel Telecommunication Equipment, is between Nortel Networks Ltd., Nortel China Ltd. and certain third parties. The sale is expected to close in the first quarter of 2011.

Nortel is in the midst of selling off divisions as it works through Canadian bankruptcy. The company said the joint venture sale is the last of its significant business divestitures.

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