real-time news and commentary for investors
Friday, Aug 16
BlackBerry slips; Pac Crest notes purchase commitments
- BlackBerry (BBRY -3.5%) is giving back a portion of its recent gains. Shares still +15% since Reuters' Aug. 9 report about the company's willingness to go private.
- Pac Crest's James Faucette (previous) argues today BlackBerry's $5.3B in off-balance-sheet purchase obligations (inc. $4.3B in purchase order commitments) will limit the company's buyout premium.
- On the other hand, many think BlackBerry's patent portfolio could fetch a hefty sum. MDB Capital's Chris Marlett recently estimated the portfolio is worth $2B-$3B.
- On Wednesday, Nomura argued a bid above $12-$13/share in unlikely.