Rusnano, a state-owned investment corporation focused on developing the Russian nanotechnology industry, has bought a 25% stake in the vendor of LTE equipment Wireless Technology Center (WTC) from Nokia Siemens Networks (NSN), the news agency Prime reported last week. Rusnano paid 330 million rubles (approximately $10 million) in the transaction which valued the joint venture at some $40 million.
Founded in 2011, the LTE vendor is located in Tomsk, Siberia. As a result of the deal, NSN will be left with a 50% stake, with Rusnano and the Russian company Micran owning the other two quarters.
The new ownership structure means that WTC will be eligible for the status of a domestic vendor. So far, according to Russian law, its LTE equipment has not been considered “Russian-made,” even though it was manufactured in Tomsk.
Earlier this year, this legal definition prevented Vainakh Telecom, a mobile operator in the Republic of Chechnya, in Russia’s Northern Caucasus area, from launching its new 4G network because it had been built using WTC’s equipment.
Rostelecom, Russia’s national telecom operator, is regarded as another potential customer for WTC’s equipment.
