Nortel Gets $17.65-Million for Alteon Sale

By Mark Evans | Published: February 22, 2009

Alteon
So, Alteon pulled in a cool $17.65-million for selling some of Alteon’s technology to Radware – a far cry from the speculated $30-million to $50-million.

Nortel told a bankruptcy court that the value of Alteon had fallen, and could decline even further, which is bad news for the potential sale of other Nortel assets in the campaign to raise cash at the insolvent company.

The company said it put Alteon on the block last September, and got two offers, including a near-deal with one purchaser. With the bankruptcy protection filing last month, Nortel said it had to reopen the process and seek bids from 30 potential buyers. (Note: Nortel paid $7.8-billion for Alteon at the height of the telecom boom in 2000.)

Source: Ottawa Citizen

Technorati Tags: , ,

[Slashdot] [Digg] [Reddit] [del.icio.us] [Facebook] [Technorati] [Google] [StumbleUpon]
This entry was posted in Financials, M&A. Bookmark the permalink. Post a comment or leave a trackback: Trackback URL.
← Older Comments
  • exnt_x_2

    LOL. BB, if employees gave away their patents to Nortel, signing over ownership and agreeing not to receive royalties, it was their choice.

    This is why you must retain part ownership and so continue to receive royalty payments regardless of Nortel's fate.

    It's also an outstanding method of judging the true value of patented on a resume. As an employer it's frustrating not to have that information when interviewing a potential employee. Most applicants seem to go by whoever has the most patents is the best. *sigh*

  • broadbandbill

    Not sure they had that option; employment contracts typically ensure that 'any invention developed on company’s time belongs to the company'…–bb

  • Anon7

    The Fire Sale is on! Everything must go! No unreasonable offer refused!

  • 1derY

    You think they will let outsiders come into the building to attend the townhall..I'm sure there will be a line-up of pensioners / retiress waiting to ask the question.

    I most definitely will ask if I'm still there :) )

  • NortelGal

    You've missed your calling, bb — brilliant post!

  • 3rd_world

    XD …sad, but true….

  • scalpcutter

    It isn't even worth that in todays market.

  • horace_grimswold

    For sale
    Fer sale
    Far' sale
    Fahr sale
    Fire sale!

  • broadbandbill

    perhaps not; I have just began and tnx, you are a gem…–bb

  • less

    far' dust

  • Another_Nortel_Watcher

    You would be correct. Standard stuff.

  • exnt_x_2

    Oh I know. It's in almost every employment contract. But that's why you negotiate. It blew away the interviewer at a final interview for another company, but I got it.

    It's amazing how people just seem to accept giving away their ideas without real compensation. And I don't mean the bit of a bone Nortel tossed for a job well done with a pat on the head. It's beyond insulting.

  • ToasterTank

    Once would think that given Nortel owns the IP address range of 47.0.0.0 – 47.255.255.255 along with the dwindling number of IP addresses now available, the company would considering converting their IT networks to private address' and sell off at least a part of this range of address. The address' for 16777214 hosts has got to be worth alot more than Nortel received for the Alteon Sale!!!

  • oldnt

    The trouble with that is most parts in the world are already using IPV6.

    Nortel still owns several class B & C networks that might bring something without touching the 47. class A network.

    Why not package some of these IP's with equipment sales?

  • less

    WIKI says this about IPv6:

    In December 2008, despite celebrating its 10-year anniversary as a Standards Track protocol, IPv6 was only in its infancy in terms of general worldwide deployment.
    IPv6 also implements new features that simplify aspects of address assignment.

    IPV6 is supposed to be business made simple, but, see, Nortel is again miles ahead of the competition with its IPZ6 (Z=Mike, 6 = months rollout) that eliminates the need for Nortel to use IP altogether

    And its doing so in its zleep.

  • Many

    As I recall Nortel got in trouble for selling class 1 addresses in the 47 range a number of years ago (I think it was an Operator Services platform?). These IPV4 addresses were awarded by IANA/ICANN/ARIN for *research* purposes to BNR and are not for sale. http://www.ietf.org/rfc/rfc2050.txt

    As an side note, I always thought one of the problems with Nortel was that they really never had to deal much with NAT and PAT because that had a whole class 1 network to play with. This caused a lack of awareness about CIDR and concern with what their customers had to go through not so much at the technical areas, but at the managerial and sales..

  • http://nortelinsider.wordpress.com/ Desk Jockey

    Haha, that was one of the most hilarious posts I've read in a long time. Definitely laughed out loud my friend, good stuff!

  • broadbandbill

    :) , tnx–bb

  • http://nortelinsider.wordpress.com/ Desk Jockey

    Haha, that was one of the most hilarious posts I've read in a long time. Definitely laughed out loud my friend, good stuff!

  • broadbandbill

    :) , tnx–bb

  • Pingback: Court Approves Radware Sale | All About Nortel

  • Pingback: Scant Interest in L4-7 Assets | All About Nortel

← Older Comments
  • TwitterCounter for @markevans
  • Seeking Alpha Certified