Document says that Samsung is looking to buy BlackBerry despite denial

Document says that Samsung is looking to buy BlackBerry despite denial
Last week, a rumor that Samsung was going to pay $7.5 billion for BlackBerry staring making the rounds. Quickly, both sides denied that a deal was being worked on. Despite these denials, Canada's Financial Post is reporting that Samsung is still looking to buy the entire company, or a substantial stake in it.

A document obtained by the Financial Post, and written in Q4 2014 by investment bank Evercore Partners for Samsung, laid out the reasons for an acquisition of BlackBerry. The document also reveals the potential terms of such a deal. A source close to Samsung says that the manufacturer is still evaluating its options. This insider says that "It’s still being pursued right now...it’s still very much an open deal."

Samsung has been struggling recently and BlackBerry has been trying to turn itself around and make itself relevant again. To that end, it has released the business-centric BlackBerry Passport and the old school BlackBerry Classic. Security is an issue with both firms as Samsung has its secure container app KNOX and BlackBerry's network is considered one of the most secure available.

According to the document written by Evercore, Samsung would consider trying to involve BlackBerry's largest shareholder, Prem Watsa, in the acquisition. Watsa, CEO of Fairfax Financial, had previously been involved in a $4.7 billion deal to buy BlackBerry in 2013. Under the terms of that transaction, Fairfax would have paid $9 a share for the company. But the deal feel through, resulting in the firing of CEO Thorsten Heins, who was later replaced by John Chen.

Samsung, which was momentarily stunned by the leak that it was working on a deal, is said to be planning on offering a price between $13.35 and $15.49 for BlackBerry, according to the document. The latter's shares closed on Wednesday at $9.93. The document also employs graphs to show that Samsung sees BlackBerry's hardware sales stabilizing. The charts show software revenue nearly tripling from $235 million last year, to $636 million in 2017.

source: FinancialPost via Crackberry

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37 Comments

1. AfterShock

Posts: 4146; Member since: Nov 02, 2012

Crtc will block sale. Thankfully.

2. joey_sfb

Posts: 6794; Member since: Mar 29, 2012

I think a partnership would be more beneficial to both parties. BlackBerry needs Samsung manufacturing and distribution power while blackberry could license out security, software and network related technology. I think BlackBerry would lose more if they failed to capitalise on Samsung's interest. Samsung profits in Android are still the region of billons and still the number one in the industry.

4. AfterShock

Posts: 4146; Member since: Nov 02, 2012

I can't see BB back end software being sold or shared outside of NA. This is of course ignoring any benefit to be had via over seas backing. It needs to stay put IMO. I don't need another phone right but am thinking of getting one, and it'd be BB before WP by a mile.

13. Dr.Phil

Posts: 2299; Member since: Feb 14, 2011

I wouldn't necessarily say that Blackberry needs Samsung's manufacturing power. Blackberry makes high quality devices already and can do so in large quantities, but I could see them finding use in Samsung-built chipsets and screens. I mean if the Blackberry Passport can last around 30 hours using an LCD screen, I could only imagine the longevity of it if it were using an AMOLED one. I also wouldn't mind seeing one running an Exynos processor. Ah, wouldn't the future look grand if you combined the design/exterior of a Blackberry with the internals of Samsung?

17. BobbyBuster

Posts: 854; Member since: Jan 13, 2015

They will go down hand in hand...

3. greenelektron

Posts: 537; Member since: Sep 10, 2014

I have more confidence in BB than in Sammy right now. I wonder which part of BB Sammy's aiming to have.

6. iushnt

Posts: 3062; Member since: Feb 06, 2013

The whole BB?

5. itsdeepak4u2000

Posts: 3718; Member since: Nov 03, 2012

Don't know, what to say! :|

7. Mxyzptlk unregistered

I think Apple should buy them.

8. dTone

Posts: 69; Member since: Jan 09, 2015

Apple should and could buy all of them, then we wouldn't be listening to your most excellent and high regarded comments

9. saucexD

Posts: 62; Member since: Jan 20, 2015

Did he upset you?

10. dTone

Posts: 69; Member since: Jan 09, 2015

No, did I upset you?

26. saucexD

Posts: 62; Member since: Jan 20, 2015

Looks like he did xD

11. SPASE

Posts: 257; Member since: May 03, 2013

Why? I seriously want to know.

12. dTone

Posts: 69; Member since: Jan 09, 2015

I dont think he knows why they should buy them,,, just cause they have the money??? How would their platforms combine, just a troll

16. tech2

Posts: 3487; Member since: Oct 26, 2012

Exactly ! Smartphone world would be pretty boring if everything was owned by either Samsung or Apple. Lets embrace diversity while it lasts.

23. Mxyzptlk unregistered

Same reason Google bought Motorola and Android.

15. sipha

Posts: 439; Member since: May 12, 2012

Apple has ALOT of money , but they still can't afford Samsung buddy!

24. Mxyzptlk unregistered

Who said anything about Samsung?

19. meanestgenius

Posts: 21485; Member since: May 28, 2014

Trolling as usual, I see....it's so lame now, Mxyzptlk.

25. Mxyzptlk unregistered

Yawn. Can't you come up with anything else?

27. saucexD

Posts: 62; Member since: Jan 20, 2015

Notice how they get mad because they disagree with you or becayse you like/mention Apple.... This community userbase is a pathetic joke :(

28. meanestgenius

Posts: 21485; Member since: May 28, 2014

We disagree with him because he's trolling and off topic. Learn the difference.

31. saucexD

Posts: 62; Member since: Jan 20, 2015

Troling because you don't agree with him. Yes, if you call that trolling then of course, by all means, he is trolling.

32. meanestgenius

Posts: 21485; Member since: May 28, 2014

He's trolling because he's off topic. Is Apple mentioned in this article? Absolutely not. That's called trolling Learn the difference. Be careful, sauce. You may just get banned again.

33. saucexD

Posts: 62; Member since: Jan 20, 2015

So because a company is not mentioned in the article, one can not bring said other company into topic? I see this happen in Android articles from Android fans. Does that mean all Android fans are trolling? Because they mention Apple? Or BB? Or Lenovo? Etc? You should retouch your knowledge on the definition of trolling, before you troll yourself.

34. meanestgenius

Posts: 21485; Member since: May 28, 2014

Yes, if the article has nothing to do with said company mentioned or said company isn't even mentioned in the article but a known troll wants to throw it in there for no reason whatsoever, that's trolling. It's also off topic and against PA rules. Apple didn't relate to this article one bit. But a known troll like you, sauce, would come to the aid of another known troll. Typical. I think you're the one that needs to learn the meaning of troll. You know what else is against PA rules? Duplicate accounts. As I said, be careful. You may just wind up being banned again.

35. saucexD

Posts: 62; Member since: Jan 20, 2015

So you are trolling? Duplicate accounts? This is my new favorite website :)

36. meanestgenius

Posts: 21485; Member since: May 28, 2014

We all know that you're the same troll named sauce that was banned already. Pretty stupid to use the same username in your new one.

30. Mxyzptlk unregistered

I Know right? It's kind of pathetic yet funny at the same time.

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