Nokia gets shareholder approval for Microsoft deal

99.5 per cent of Nokia's 3,900 investors approve $7.2bn deal at shareholders meeting

Nokia's shareholders have approved the sale of its mobile phone business and the licensing of its patents to Microsoft.

Microsoft's outgoing CEO, Steve Ballmer, had revealed the technology giant's plans to acquire Nokia's Devices and Services business back in September, in a deal worth $7.2bn (£4.6bn).

He said that the deal was a "bold step into the future" for Microsoft, and that he expected it to close in the first quarter of 2014, following approval by shareholders, regulatory approvals, and other closing conditions.

The first of those formalities has now been completed, with 99.5 per cent of Nokia's 3,900 investors approving the deal at a shareholders meeting in Helsinki, Finland, Reuters reports.

As part of the deal, Nokia's former CEO and current European vice president Stephen Elop will be moving back to Microsoft, where he will be leading an "expanded devices team", Ballmer explained. Elop had previously headed up Microsoft's Business Division, being in charge of Microsoft Office. He has also been cited as one of several "favourite" names to succeed Ballmer when the Microsoft CEO steps down within the next year.

Elop is to receive €18.8m (£15.8m) from Nokia and Microsoft due to contractual clauses pertaining to a change in control of the company.

The payout, which has been criticised by outsiders, includes 18 months of his current salary plus a "management incentive", 70 per cent of which Microsoft will provide, with the other 30 per cent contributed by Nokia.

Nokia was once a leader in the mobile phone market - it had 40 per cent of the worldwide market in 2007 - but has seen its market share slip to major competitors such as Apple and Samsung.