Key investors include Google, Nokia, and Qualcomm.

HMD Global, the maker of Nokia phones, announced Tuesday the closure of a $230 million fundraising. The company said investors included some of its top global strategic partners. The company did not name these investors in its press release. However, according to a Reuters report, these strategic investors included Google (NASDAQ: GOOGL), Qualcomm (NASDAQ: QCOM) and Nokia (HEL: NOKIA). (Deccan Herald)

Use of funds

HMD will use the money to expand the marketing reach of its 5G smartphones globally, and particularly to US carriers.

HMD’s first 5G device – the Nokia 8.3 5G – goes on sale next month, according to Reuters.

It will also further develop its key growth markets such as Africa, India, and Brazil.

In a third objective, HMD will expand into mobile services such as international data roaming service, mobile cybersecurity, and others.

“This significant investment with some of the closest strategic partners really allows us to accelerate our journey going forward,” Chief Executive Florian Seiche said in the Reuters interview.

Though he did not disclose the investment amounts from the majors, he said they were “each very sizeable parts of the total.”

“Our unique business model, based on asset-light global deployment and strong partnerships with the best in the industry, is entering a new level of maturity with the valued support of some of the most influential market-makers in mobile devices,” said Jean-Francois Baril, Executive Chairman and Co-Founder, HMD Global.

China-US tensions

According to TechCrunch, the tensions between the West and China are likely to prove beneficial to HMD’s business.

HMD is a pure European play. It can, therefore, position its products as more secure and of higher quality than those of China.

“Security, reliability, and dependability are the cornerstones of our offering and we will ensure we are using these funds to deliver the best experiences people have come to expect from a Nokia phone,” the company said.

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