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Hardware & electrical equipment

BlackBerry stock climbs on takeover talk reports

BlackBerry Ltd shares jumped 17% to $7.06 on Friday following media reports that private equity firm Veritas Capital is considering a potential offer for the Canadian technology company.

Discussions are still in the early stages and Veritas could still change its mind on an offer, while other suitors are also interested in the whole or parts of BlackBerry, Bloomberg reported, citing sources familiar with the talks.

BlackBerry has a unit that makes cybersecurity software that has faced intense competition, according to Bloomberg Intelligence.

The company also makes software for cars.

In May, BlackBerry announced it would review its portfolio of businesses and consider strategic alternatives to boost shareholder value, which might include a possible separation of some businesses, while also saying it will continue with the previously announced sale of the patents related to its mobile devices to Malikie Innovations Limited for up to $900 million.

Veritas Capital has been active in M&A recently, having acquired data energy company Wood Mackenzie earlier this year and is also participating in the pending buyout of Syneos Health Inc.

Shares of BlackBerry have gained 56% year to date.

Contact Sean at sean@proactiveinvestors.com

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