Nortel Networks Corporation (OTC BB: NRTLQ) has closed the sale of all of Nortel’s remaining patents and patent applications to Rockstar Bidco, LP, a single purpose entity formed by a consortium of technology companies consisting of Apple Inc., EMC Corporation, Telefonaktiebolaget L M Ericsson, Microsoft Corporation, Research In Motion Limited and Sony Corporation, for a cash purchase price of US $4.5 billion.
The sale includes approximately 6,000 patents and patent applications, covering wireless, wireless 4G, data networking, optical, voice, Internet, service provider, semiconductors and other patent portfolios.
On April 4, 2011, Nortel Networks Corporation announced a stalking horse asset sale agreement with Ranger Inc., a wholly owned subsidiary of Google Inc. (NASDAQ: GOOG), for the sale of its patent portfolio for US $900 million in cash.
After a delay, on June 30, a joint bid submitted by Apple Inc. and the original Rockstar Bidco, LP emerged as the winning bidder. Apple joined original Rockstar Bidco to form new Rockstar Bidco.
Paul, Weiss, Rifkind, Wharton & Garrison LLP and Weil, Gotshal & Manges LLP acted as legal counsel to Rockstar Bidco. Cleary Gottlieb Steen & Hamilton LLP and Norton Rose OR LLP acted for Nortel.
