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Why Fairfax's Prem Watsa Wants to Buy BlackBerry for $4.7 Billion?

Sep 24 2013, 8:16am CDT | by , in News | Technology News

Why BlackBerry Signed $4.7 Billion Buyout Offer Letter with Fairfax?
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The company known to give the ailment “BlackBerry Thumb” to its addicts is today itself suffering from a malady of sorts. BlackBerry has been signed a letter of intent agreement with Fairfax for $4.7 billion on Monday after its failure in the global competitive environment.

It is off to the auctioneers for BlackBerry Limited. Since the last few years or so it had faced a time of troubles. Finally, after much dilly-dallying it has found a customer in Fairfax. The financial firm offered a cool $4.7 billion for the failing setup. 

Fairfax Financial Holdings Limited is headed by Prem Watsa, who owns 10% of BlackBerry shares. Watsa is popularly called the Warren Buffet of Canada. He became a billionaire via the buying and selling of commercial enterprises.

According to Prem Watsa, he was hopeful the phenomenon would take off after the acquisition. The scheme would take some work but would surely be a success in the future. 

BlackBerry ruled the roost once upon a time. But then terrible times took over. Apple and Samsung snatched the market share from this technological company. 

The firm did try its best to level the playing field but to no avail. It faced all sorts of hurdles which weakened its resolve instead of strengthening its ambition. 

Finally, after the failure of the Z10 and Z30 there was no way out of the conundrum but to put the company up for sale. It has acquired a buyer with some effort. 

BlackBerry has seen better days with its smoothly streamlined rectangular mobile devices being all the rage. But the competitive times we are living in have dealt BlackBerry a hard blow from which it has yet to recover. 

Source: NYT

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