Nortel offloads CRM unit

Amdocs snaps up Clarify for $200m

Nortel Networks plans to sell its Clarify customer relationship management (CRM) unit to Amdocs for about $200m (£135.7m) as it tries to focus more on core business.

The company will sell Clarify's assets including patents, intellectual property and trademarks.

Both firms' boards of directors have approved the transaction, but it is still subject to regulatory approval. The deal is expected to go through by the end of the fourth quarter of 2001.

The move is part of Nortel's effort to streamline its business and focus on high-growth markets. Frank Plastina, president of service provider and corporate networks at Nortel, said: "We are making excellent progress against the work plan we laid out earlier this year, and this sale is further evidence of that."

Amdocs provides CRM, billing and order management systems for communications providers, as well as business support systems for directory publishing firms. Nortel said existing customer contracts will be taken on by Amdocs, as well as certain leased office space.

"We are streamlining our business around our core markets to align our cost structure, and to strengthen our financial position," Plastina said.