Will it be Avaya ? Siemens ? Either way, it’s good bye to Nortel, Canada’s Telecom giant.

by Jeff Wiener on September 13, 2009

GoodbyeIt’s almost like watching a really long sports game, but in this case, the game is played behind closed doors, the fans awaiting news of the outcome.

The news of the fate of Nortel’s Enterprise business unit should have been determined on Friday, and, for some as yet unreported reason, there have been delays. The speculation is that the bidding is still on going, however, there could of course be other related complications, the Verizon issue being one.

There certainly is an energy that has surrounded the news, the unfortunate end result is the dismantling of Canada’s Telecom giant.

For continued updates on the news as it progresses, Twitter seems to be the best spot.

P.S. For those looking to pass some Sunday morning time, I wrote a post on Twitter and how I, just recently, realized it’s importance.

P.P.S. It seems the best spot to follow updates is through Bo Gowan’s Twitter account.

Will it be Avaya ? Siemens ? What do you think ?

Written by: Jeff Wiener. www.digitcom.ca. Follow TheTelecomBlog.com by: RSS, Twitter, Identi.ca, or Friendfeed

{ 3 comments… read them below or add one }

UCChangeAgent September 13, 2009 at 11:19 am

One consideration here is that Avaya, as the Stalking Horse Agreement holder, has the right to review the last bid. Each bid is reviewed by The Monitor, The Committee of Unsecured Creditors and the Bondholder Committee, along with all other bidders. Nortel has limited jurisdiction in that part of the auction proceedings.

So, if SEN delivers a bid that fundamentally changes a major term or condition, such as the number of employees retained or provisions for Assignment & Acceptance of Existing Contracts, then those T&C changes will go through a substantial review by the parties.

There is a lot more to this process than the price bid. In the end, I think that SEN wants the business more than Avaya and that they are looking at Terms & Conditions changes that will result in a win for them.

Michael McNamara September 13, 2009 at 3:54 pm

It’s litterally the never ending story… just when you think the end is near there’s a new twist or turn. You could almost liken it to Fox’s hit show 24 where they always keep you guessing.

Originally I had thought the bid process was suspended because of Verizon’s late play but I guess the bidding is going forward. That would have been a great event to simulcast, I’m sure quite a few of us would have paid a few dollars to see it in action.

I like the blog Jeff please keep up the good work!
Mike

Jeff Wiener September 13, 2009 at 6:22 pm

Thanks for the compliment Mike regarding the blog.

Hopefully this gets sorted out tomorrow.

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