Microsoft and Nokia have received clearance from the regulatory body of the People's Republic of China for their deal which would result in Microsoft acquiring Nokia's devices business unit.
It was expected that the deal between Microsoft and Nokia would complete by March but was delayed until end of April as the two companies are still seeking approval from various government agencies in Asian countries such as China and India.
Now, Nokia has announced that it has received approval from the Chinese government which was concerned about higher patent license fees for the local OEMs after the completion of the deal. In a statement issued regarding patent fees, Nokia said that, "No authority has challenged Nokia's compliance with its ... undertakings related to standard-essential patents or requested that Nokia make changes to its licensing programme or royalty terms," Nokia's stock rose 2.9% when the news of the approval first broke and reached 5.48 Euros.
Nokia is still battling with tax authorities in India but has insisted that the delay in completion of its deal with Microsoft is not due to that issue. If the Finnish smartphone maker fails to reach a favourable verdict in India, it is set to lose one of its bigger manufacturing units to Indian authorities. Once the company gets approval from Indian authorities, the deal can be expected to complete soon after, as the European Union, United States and other countries have already cleared the path for the deal to go through.
Source: Yahoo! | Image via Nokia