Nokia has exercised its option to draw down the €1.5bn of financing Microsoft made available as part of its acquisition of Nokia's devices and services business.
Nokia announced plans on Friday to issue three tranches of senior unsecured convertible bonds with a value of €500m each in order to pre-pay the finance it had raised to in the Nokia Siemens Networks joint venture this August for €1.7bn.
The financing was made available to Nokia as part of Microsoft's agreement tolast week for about €3.79bn, along with a €1.65bn deal for licensing Nokia's patents.
Under the deal, Microsoft extended Nokia €1.5bn in the form of three €500m tranches of convertible bonds Nokia could draw down in whole or part at its own discretion, whether or not the transaction actually goes through.
Nokia expects to issue the bonds on or around 23 September.
The parts of Nokia that Microsoft didn't buy — NSN, Nokia's mapping business Here, and its Advanced Technologies unit — will continue to operate under the Nokia brand.