Nortel to Buy Software Firm Clarify

Nortel Networks Corp., North America’s No. 2 phone-equipment maker, agreed to buy San Jose-based Clarify Inc., a software company that makes products to support online sales and service, for about $2.1 billion in stock. Brampton, Canada-based Nortel will exchange 1.3 shares for each Clarify share and stock option in the deal, valuing Clarify at $68.09 a share. Clarify’s stock rose $1.63 to $45.31 on Nasdaq before trading was halted on the announcement. Nortel’s American depositary receipts fell 31 cents to $52.38 on the NYSE.