Nokia appears to have found a new buyer for its stake in TD Tech, a Beijing-headquartered joint venture with Huawei.
Local news outlets reported that a consortium consisting of the state-owned Chengdu Gaoxin Jicui Technology and Chengdu Hi-Tech Investment Group, as well as private investment company Huagai Capital, had expressed interest in acquiring Nokia’s 51% stake in TD Tech.
The South China Morning Post (SCMP) noted that the Chinese State Administration for Market Regulation had invited public feedback on the proposal after expressing no concerns over the deal, which would see Huawei take ownership of the unit together with the consortium.
Nokia made an attempt to sell the unit in 2023, with New East Materials keen to acquire the stake. Huawei hit out at the choice, arguing that it did not approve of the partner and had no capacity to run the business with the proposed buyer. New East Materials backed out of the deal in December 2023.
Formed in 2005, TD Tech’s initial remit was to create 3G systems for the Chinese market, but this has expanded to include specialist 5G equipment as well as industrial IoT and associated systems. Nokia describes the unit as a ‘legacy’ venture, with SCMP reporting that Huawei largely controls the venture despite technically being the smaller partner.
