Nortel may be close to receiving an offer for its voice applications unit, according to a company executive.
The company expects to receive a “stalking horse” bid soon for the unit, which generates around $800 million in annual revenue, the executive in charge of the unit told Canada's Financial Post.
The division is still winning major contracts in Britain, Australia and Austria even while under bankruptcy protection, executive Samih Elhage said.
The unit is a market leader, with a 16% share of the voice app market, he added. It has around 2,500 employees.
Vendor Sonus networks is rumored to be considering making the first offer. But the company recently announced a restructuring effort in an attempt to shave $10 million in costs.
Meanwhile, Canadian prime minister Stephen Harper has effectively ruled out intervening in the sale of Nortel wireless assets to Ericsson, striking a blow to Research In Motion's campaign to block the sale and keep the assets Canadian-owned.