Nokia (NYSE:NOK) is selling its headquarters. But it won’t be moving out.
The struggling Finnish handset maker announced on Tuesday that it has agreed to sell the 48,000-square-foot building in Espoo, Finland, to Exilion Capital Oy for $220.4 million. It will lease the facility back from the new owner, Dow Jones noted.
Though once the world’s largest handset maker, Nokia has been battered in recent years by soaring sales of Apple‘s (NASDAQ:AAPL) iPhones and smartphones running Google‘s (NASDAQ:GOOG) Android operating system. That competition has caused its market share to crumble.
The company is looking to raise cash to support operations, including its partnership to develop and market smartphones running Microsoft‘s (NASDAQ:MSFT) Windows operating system. Nokia is hoping that sales of Windows-based smartphones like its Lumia 920 will help it regain lost market share.
In addition to selling its headquarters, Nokia is reviewing its other holdings to identify additional potential asset sales. The credit rating on its debt has been lowered to junk status.
Nokia completed its headquarters complex, which provides space for 1,800 workers, in 2001. Its shares rose about 1% in Tuesday morning trading.