BlackBerry Ltd shares moved higher on Tuesday after the company revealed that it is considering the possible separation of one or more of its businesses as part of a Board-led review of its portfolio and business configuration.
The Waterloo, Ontario-based security software and services company said the review aims to identify and evaluate strategic alternatives to drive enhanced shareholder value.
"The Board and management believe it is an appropriate time to initiate a comprehensive review of the company's portfolio," said BlackBerry CEO John Chen in a statement.
The Board has not set a timeline for completing this process and does not intend to make public any developments until it has approved a specific agreement or transaction or it has cancelled its review.
The company will continue with its previously-announced sale of substantially all of its non-core patents and patent applications to Malikie Innovations Limited, a newly-formed subsidiary of Key Patent Innovations Limited, BlackBerry noted.
BlackBerry shares gained 8.4% at US$4.20 in the early afternoon on Tuesday.
Contact the author at emily.jarvie@proactiveinvestors.com
Follow her on Twitter @emilyjjarvie