DOW JONES NEWSWIRES
Ciena Corp. (CIEN) is in advanced talks to acquire substantially all optical networking and carrier Ethernet assets from a Nortel Networks Corp. (NRTLQ) unit.
The telecom-equipment company is looking to acquire assets under Nortel's Metro Ethernet Networks business, which reported revenue of $1.39 billion last year, down 8.7% from 2007. It wasn't immediately clear how big a part of that unit the assets in question are.
The outcome of the discussions were "uncertain and subject to negotiation of definitive agreements," Ciena said in a statement Monday.
Representatives from Ciena and Nortel weren't immediately available for comment.
Nortel, also a telecom-equipment maker, filed for bankruptcy protection in January and has been selling off assets as it works to streamline its structure.
Ciena's shares were down 1.1% to $14.50 in recent trading. The stock has more than doubled in value this year.
-By John Kell, Dow Jones Newswires; 212-416-2480; john.kell@dowjones.com