BlackBerry sinks 16% after failed sale of the company - Economic

‘s shares sank BlackBerry smartphone maker after failing to sell the company to Fairfax Financial Holding.

‘s shares sank BlackBerry today 16.5% to $ 6.5 after Fairfax Financial Holding has abandoned its proposal for the purchase of smartphone maker for 4.7 billion dollars (3700 million), due to lack of funding.

With this, the BlackBerry has been forced to change plans. The company will no longer be sold, is looking for a new CEO with the departure of Thorsten Heins and will proceed with the issuance of convertible bonds worth one billion dollars (740 million euros). According to Bloomberg, Fairfax Financial Holding, the largest investor in the consortium of investors who wanted to buy the BlackBerry, will invest 250 million in the operation.

The plan does not seem yet to convince investors. “The most important question is, what is the strategy?” Questioned James Moorman, S & P Capital IQ, Bloomberg. “They need to start making smart decisions. Now have the possibility with additional money,” he added.

injection of billions of dollars from the bond issue will allow to stabilize the company’s finances, at a time when money box that features will be reducing rapidly with the failure of the results. On the table can also be a sale of patents as a way to ensure additional funding.

For now proceed with remodeling the management team. John Chen will be acting CEO until a new CEO takes the fortunes of the BlackBerry maker to take a trip to the complicated situation of the company.

Since the beginning of the year the shares of the BlackBerry has plummeted 35% before the loss of competitiveness with giants like Apple and Samsung.

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