BlackBerry is not for sale: Bins CEO and secures $1bn investment | Mobile Devices | Mobile Entertainment

BlackBerry is not for sale: Bins CEO and secures $1bn investment

BlackBerry is not for sale: Bins CEO and secures $1bn investment
Zen Terrelonge

by

Devices / Blackberry / November 4th 2013 at 2:54PM

Game over for Thorsten Heins.

BlackBerry announced plans to sell itself in August, which was met with a $4.7 billion offer from investor Fairfax Financial.

The deal was provisionally accepted with a period of due diligence until November 4th, but followed by talks with Google and Facebook.

However, with the deadline now reached, the sale is off. Instead, BlackBerry says Fairfax and others will invest $1 billion into the struggling smartphone company and Fairfax will plough $250 million into the business.

Furthermore, BlackBerry CEO Thorsten Heins has been dumped and firmer Sybase boss John Chen has been appointed executive chair of BlackBerry's board of directors to drive the strategic direction and relationships of the company and act as interim CEO.

Barbara Stymiest, chair of BlackBerry’s board, said: "This financing provides an immediate cash injection on terms favorable to BlackBerry, enhancing our substantial cash position. Some of the most important customers in the world rely on BlackBerry and we are implementing the changes necessary to strengthen the company and ensure we remain a strong and innovative partner for their needs."

Chen, added: "BlackBerry is an iconic brand with enormous potential – but it’s going to take time, discipline and tough decisions to reclaim our success. I look forward to leading BlackBerry in its turnaround and business model transformation for the benefit of all of its constituencies, including its customers, shareholders and employees."