Blackberry, no longer for sale, replaces CEO

Blackberry, no longer for sale, replaces CEO

Canadian smartphone producer Blackberry is no longer for sale. For a while, it seemed that shareholder Fairfax Financial Holding would purchase the entire company, but it has now decided to collaborate with several investors. Together, they will invest 1 billion dollars (750 million euro) in Blackberry, at the same time ousting CEO Thorsten Heins.

Fairfax taking important company positions

Former Sybase CEO John Chen will become the temporary CEO, taking over from CEO Thorsten Heins, who will receive a 55 million dollars (42 million euro) severance package. Fairfax CEO Prem Watsa will become lead director and chair of the compensation, nomination & governance committee, replacing David Kerr in the latter position. Watsa will however keep his position at Fairfax.

 

At the end of September, Fairfax was offering 9 dollars per share, resulting in a possible full purchase of some 4.7 billion dollars (3.5 billion euro). Blackberry had put itself on the market after it had succumbed to the endless pressure from parties like Samsung and Apple, which had resulted in bad financial numbers. It had placed its hopes on a new line of smartphones in September, but that did not help the bottom line.

 

 

(translated by Gary Peeters)

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