BlackBerry Confirmation: Company Is Seeking A Buyer
BlackBerry is seeking a buyer. Company officials announced on Monday that they have formed a special committee to explore various options. Among those options are joint ventures with tech partners and a full outright sale of the company.
In a public statement, Blackberry told investors “there can be no assurance that this process will result in any transaction.”
After announcing plans to partner or sell the company Prem Watsa, chairman and CEO of Fairfax Financial stepped down from his post at BlackBerry. Watsa left to avoid “potential conflicts that may arise during the process.” Fairfax Financial is the largest BlackBerry shareholder.
After Reuters reported from “several sources” that BlackBerry may attempt to go private, the company’s stock increased by 5% on Friday.
BlackBerry 10 launched in early 2013, and, by the quarter ending March 2, Blackberry reported sales of just over 1 million units.
Executives at the once cutting edge hardware/software manufacturer said before the release of BB10 that the company was banking its future on the new OS.
At current levels, BlackBerry has a market capitalization of $5.6 billion.
There is still the chance that BlackBerry could license its OS and BlackBerry email capabilities to other manufacturers. While the company has failed to impress with its hardware, its software — specifically enterprise options — are still considered some of the best in class.
Do you think BlackBerry will find a buyer or go private and continue much of its focus on emerging markets who still purchase BlackBerry devices with some regularity?
