BlackBerry may be selling, but is anyone buying?

BlackBerry Company Sale Analysis

Now that BlackBerry has announced that it’s exploring alternative strategies that include selling off the company, talk among financial analysts has naturally turned to what firm would potentially buy the troubled device manufacturer. Per Barron’s, Canaccord Genuity analyst Mike Walkley thinks that BlackBerry’s options may be limited because no company will buy it at its current market cap.

“We struggle to identify potential buyers that would pay a premium to the current share price,” Walkley writes while reiterating a Sell rating on BlackBerry shares.

Nomura analyst Stuart Jeffrey, meanwhile, thinks that BlackBerry is unlikely to find a partner that will license its BlackBerry 10 operating system while noting that “the fact that the press release ends with a comment warning that a transaction may not happen suggests to us that the focus is on selling the company or taking it private.”

BlackBerry shares shot up by more than 6% after the company’s announcement Monday morning.

Source:
Barron's
blog comments powered by Disqus