Nortel to sell its enterprise business

The enterprise unit that makes network equipment will be auctioned under court supervision.
US-based Avaya Inc. is one of the bidders with an offer of $475 million.  Friday was the last day to place bids.

The 124-year-old Canadian icon has been operating under bankruptcy protection since January after suffering losses of $5 billion last year.
On July 28, Nortel sold its next-generation wireless business to Sweden’s Ericsson under a court-supervised auction for $1.13 billion.

But the deal is being reviewed after BlackBerry maker Research In Motion (RIM) and political parties pressured the Canadian government not to let “sensitive technology” falls into foreign hands.

Now Nortel’s enterprise unit that makes network equipment - routers, IP phones, switches and other security products - for big corporations goes under the hammer next Friday under court supervision.
Like the sale of Nortel’s next-generation wireless business in July, the auction of the second biggest division will also have to be approved by bankruptcy courts in the US and Canada.