Nokia has revealed it plans to raise $US972 million by issuing bonds in order to finance a comeback campaign during the Christmas sales season.
According to Reuters, the bonds can be converted into a maximum 287.2 million shares, representing 7.74% of the company’s current shares.
The decision comes despite ratings agency Standard & Poor’s downgrading the company to junk bond status in May.
The company hopes that its Lumia 920 and 820 smartphones, running Windows Phone 8, will claw back smartphone marketshare from key rivals including Apple and Samsung.
However, the Windows Phone strategy of Nokia’s current CEO, Stephen Elop, was recently criticised by former executive Tomi Ahonen, following weak third-quarter results.