Nordic cuts 8 percent of staff, cancels Novelda acquisition

Wireless communications chip company Nordic Semicoductor ASA has announced that it is laying off approximately 8 percent of its total workforce or about 120 people.

The company has also reportedly decided to cancel the planned acquisition of Novelda (see Nordic agrees to buy UWB specialist Novelda).

As of December 31, 2023, Nordic employed 1,426 people reflecting steady growth over previous years.

“We have made the difficult decision to reduce the size of our workforce, and we are also re-balancing and re-organizing our teams, as part of our broader strategy to deliver Nordic’s target business model,” said Vegard Wollan, CEO of Nordic Semiconductor, in a statement.

“The re-balancing of resources reflects ongoing initiatives to sharpen Nordic’s focus towards strategically critical programs, improve operating efficiency, and optimize operating expenses,” he said.

Nordic said it expects to add US$5 million in charge to its 4Q24 and full year financial results.

“We are committed to supporting our outgoing colleagues and thank these employees for their contributions to the development of Nordic,” Wollan concluded.

Wollan replaced the previous CEO, Svenn-Tore Larsen, with effect from January 1, 2024.