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WATERLOO, ON, Jan. 31, 2022 /PRNewswire/ — BlackBerry Restricted (NYSE: BB; TSX: BB), introduced right now that it has entered right into a patent sale settlement with Catapult IP Improvements Inc., a Delaware firm, pursuant to which BlackBerry has agreed to promote considerably all of its non-core patent property to Catapult for whole consideration of $600 million.
Patents which might be important to BlackBerry’s present core enterprise operations are excluded from the transaction. BlackBerry will obtain a license again to the patents being bought, which relate primarily to cell units, messaging and wi-fi networking. This transaction won’t affect clients’ use of any of BlackBerry’s merchandise, options or providers.
Catapult is a particular objective car fashioned to amass the BlackBerry patent property. Catapult’s principal funding for the acquisition shall be a $450 million senior secured time period mortgage, for which it has acquired $400 million of conditional commitments from a lending syndicate led by Toronto-based Third Eye Capital that features a Canadian pension fund.
At closing, BlackBerry will obtain $450 million in money and a promissory word within the principal quantity of $150 million. The promissory word shall be secured by a second lien on the property of the purchaser and shall be subordinated to the rights of the senior lending syndicate. The promissory word shall be payable in 5 equal annual installments of $30 million in money commencing on the third anniversary of the time limit, supplied that the senior mortgage just isn’t in default.
Completion of the transaction is conditional upon, amongst different issues, satisfaction of all regulatory situations beneath the Hart–Scott–Rodino Antitrust Enhancements Act in the US and the Funding Canada Act. This course of might take as much as 210 days.
BlackBerry has filed a Present Report on Kind 8-Ok with the U.S. Securities and Alternate Fee in reference to its entry into the patent sale settlement, which accommodates additional data together with an outline of the financing situations referring to the transaction.
About BlackBerry
BlackBerry (NYSE: BB; TSX: BB) offers clever safety software program and providers to enterprises and governments world wide. The corporate secures greater than 500M endpoints together with 195M autos. Based mostly in Waterloo, Ontario, the corporate leverages AI and machine studying to ship modern options within the areas of cybersecurity, security, and knowledge privateness options, and is a pacesetter within the areas of endpoint safety, endpoint administration, encryption, and embedded methods. BlackBerry’s imaginative and prescient is obvious – to safe a linked future you’ll be able to belief.
BlackBerry. Clever Safety. In every single place.
For extra data, go to BlackBerry.com and observe @BlackBerry.
Investor Contact:
BlackBerry Investor Relations
+1 (519) 888-7465
[email protected]
Media Contact:
BlackBerry Media Relations
+1 (519) 597-7273
[email protected]
This information launch accommodates forward-looking statements inside the that means of sure securities legal guidelines, together with beneath the U.S. Personal Securities Litigation Reform Act of 1995 and relevant Canadian securities legal guidelines, together with statements concerning the proposed transaction between BlackBerry and Catapult, the quantity of consideration BlackBerry will obtain in connection therewith, the anticipated timing and outcomes of the proposed transaction and regulatory approvals, the potential affect of the proposed transaction on BlackBerry’s clients, the expectations and beliefs of BlackBerry, and different statements that aren’t historic details.
The phrases “count on”, “anticipate”, “estimate”, “could”, “will”, “ought to”, “might”, “intend”, “imagine”, “goal”, “plan” and comparable expressions are supposed to determine these forward-looking statements. Ahead-looking statements are primarily based on BlackBerry’s present plans, targets, estimates, assumptions, expectations and intentions and inherently contain vital dangers and uncertainties, a lot of that are past BlackBerry’s management. Many elements might trigger precise achievements with respect to the transaction and the timing of occasions to vary materially from these expressed or implied by the forward-looking statements, together with, with out limitation, dangers and uncertainty related to Catapult’s and BlackBerry’s capability to finish the proposed transaction on the proposed phrases or on the anticipated timeline, or in any respect; dangers and uncertainties associated to the required financing and the satisfaction of the regulatory and different situations to consummate the proposed transaction; the incidence of any occasion, change or different circumstance that might give rise to the termination of the patent sale settlement referring to the proposed transaction; results referring to the announcement of the proposed transaction or any additional bulletins or the consummation of the proposed transaction in the marketplace value of BlackBerry’s frequent shares; failure to appreciate the anticipated advantages of the proposed transaction, together with dangers related to the fee of consideration post-closing and the provision of funds therefor; dangers associated to future alternatives and plans for BlackBerry’s enterprise and outcomes of BlackBerry following completion of the proposed transaction; the chance of litigation in reference to the proposed transaction, together with ensuing expense or delay; vital transaction prices and/or unknown or inestimable liabilities; dangers associated to diverting the eye of BlackBerry administration from ongoing enterprise operations; dangers associated to the proposed transaction disrupting BlackBerry’s operations and making it tougher to conduct enterprise as regular or for BlackBerry to take care of relationships with shoppers, resellers, channel companions or different third events; tax provision adjustments, the adoption of recent tax laws or publicity to extra tax liabilities and different adjustments in legal guidelines and regulatory initiatives; dangers associated to the COVID-19 pandemic; hostile financial, geopolitical and environmental situations; and different dangers and uncertainties affecting BlackBerry, together with these described every now and then beneath the caption “Danger Elements” and elsewhere in BlackBerry’s SEC filings and stories, together with these mentioned in BlackBerry’s Annual Report on Kind 10-Ok and the “Cautionary Notice Concerning Ahead-Wanting Statements” part of BlackBerry’s MD&A, in addition to BlackBerry’s Present Report on Kind 8-Ok filed right now which accommodates additional particulars on the patent sale settlement (copies of which filings could also be obtained at www.sedar.com or www.sec.gov). All of those elements must be thought-about rigorously and readers mustn’t place undue reliance on BlackBerry’s forward-looking statements. Furthermore, different dangers and uncertainties of which BlackBerry just isn’t presently conscious can also have an effect on its forward-looking statements and will trigger precise outcomes and the timing of occasions to vary materially from these anticipated.
The forward-looking statements made on this information launch are made solely as of the date hereof or as of the dates indicated within the forward-looking statements and mirror the views acknowledged therein with respect to future occasions as at such dates. BlackBerry has no intention and undertakes no obligation, and expressly disclaims any obligation, to replace or revise any forward-looking statements, whether or not because of new data, future occasions or in any other case, besides as required by relevant legislation.
SOURCE BlackBerry Restricted
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