Ericsson to Battle for Nortel Wireless Unit

Nortel Networks Corp.’s (NT) wireless unit goes up for auction tomorrow in Canada and at least three foreign companies will battle one another for the division’s assets.

Nokia Siemens Networks was the first corporation to say it wanted Nortel’s wireless business. But then MatlinPatterson stepped in with a higher bid and now Ericsson (ERIC) will take on both parties, yet won’t say what it’s willing to pay.

“We will pursue this opportunity to the point it makes sense,” Ericsson said in a prepared statement. Canada’s Globe and Mail said people familiar with Nortel’s bankruptcy proceedings said Ericsson is prepared to pay up to $730 million – that’s $5 million more than MatlinPatterson’s bid.