Saturday 21 October 2017

BlackBerry boss Heins ousted, sale plan abandoned

CEO Thorsten Heins
CEO Thorsten Heins

BLACKBERRY is abandoning a plan to sell itself and instead will replace its chief executive officer and raise about $1bn from institutional investors, including its largest shareholder, the smartphone maker said today.

Shares of BlackBerry dropped 19pc to $6.33 on the news.

The company will raise the money with a private placement of convertible debentures.

Blackberry is also replacing chief executive Thorsten Heins.

The company's largest shareholder, Fairfax Financial Holdings, will take up $250m of the debentures.

Fairfax announced a tentative $9-a-share offer for the Waterloo, Ontario-based company in late September.

But Reuters said on Friday that Fairfax was struggling to finance the $4.7bn bid.



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