Nokia hopes to raise $980 million ahead of new phones launch

Nokia president and CEO Stephen Elop introduces the Lumia 900 smartphone during a CES news conference on, Jan. 9, 2012, in Las Vegas. (AP Photo/Julie Jacobson)

HELSINKI -- Nokia Corp. is planning to raise (EURO)750 million ($980 million) via an issue of bonds as part of an effort to build up its reserves ahead of next month's launch of phones running Microsoft's new Windows 8 software.

The launch is a hugely important event for the struggling cellphone maker, which has seen its stock plunge a further 5 per cent to (EURO)2.04 by midday Tuesday in Helsinki.

Last week, Nokia posted a third-quarter net loss of (EURO)969 million as sales dwindled 20 per cent to (EURO)7.2 billion. Its net cash assets fell to (EURO)3.5 billion, from (EURO)5 billion a year earlier, as it continued to struggle against the dominance of Samsung, Apple's iPhone and other phone makers using Google's Android software.