Michael_Malice;6147817 said:
@Sion
After today. What's next for BlackBerry? What do you think? Going private? Merger? Sell? Is BlackBerry dead?
*Looks left looks right*
hhmmm I shouldn't say anything but since it's the IC who's really gonna care ? Besides it doesn't matter since everybody is talking about it anyways but -
Fairfax Financial's CEO Prem Watsa (who happens to own 10% of BlackBerry) is trying to take BlackBerry private. The only issue tho is that they can't find anybody with enough coin AND is in the technology business to complete a deal. To take BlackBerry private even if he threw up another $1.5 billion and BlackBerry put up another $3-5 billion they'd still need 10-15 billion just to satisfy shareholders and make it happen. There was talk of getting Ontario Teacher's Pension Plan but BlackBerry said no (OTPP is a private equity company), their whole thing is that if they're to merge why not go with someone who is also in the tech business too ? Which makes sense...
This is HUGE for both shareholders of BlackBerry and Fairfax Financial especially in the long term. BlackBerry over time will make a killing for Fairfax and would grossly shoot up it's equity value per share tremendously.
*stops... and continues*
The list of candidates is short but the likely names you'll hear in the near future are IBM, Lenovo, Hitachi, and possibly Microsoft (who expressed interest but said no the first time cuz they didn't like the price). I know Prem and Prem is trying to become a multi-billionaire, he's going to fight for this to happen and given his reputation and clout there's a 75% chance it happens BUT don't put your chips on the idea that it WILL happen cuz that 25% is still a strong chance it dont happen. If Prem does this he'll become one of Canada's top 5 wealthiest people. Prem left the board at BlackBerry (but will still stay on as a director) so that in the event of a merger or acquisition there isn't a conflict of interest. Him originally investing was the precursor for him to buy out BlackBerry if not now then in the future it's just that I guess things sped up and happened a lot faster for him.
If one of Canada's greatest companies falls well below it's par value you think guys like Prem are gonna turn the other way ? He's gonna swoop in and try to buy it for much less.
You could hear an announcement sometime in October or November or as early as January (most people for the life of me I don't understand - sell down in December for tax reasons, they might want to get a deal in stone by October so there isn't a fuss come December and shareholders sell). Stay tuned tho....