Wednesday, October 1st10.2°C
22738
22805

BlackBerry to sell most of its Canadian real estate holdings; no price disclosed

WATERLOO, Ont. - BlackBerry is selling the majority of its commercial real estate holdings in Canada, but the struggling smartphone maker refused Tuesday to say how much it expects to make from the deals.

Waterloo, Ont.,-based BlackBerry (TSX:BB) said it plans to use a combination of vacant sales and sale-leaseback arrangements in divesting the properties.

The company said the properties being offered for sale comprise more than three million square feet of space.

"BlackBerry will not comment on the potential value of a sale and will disclose further information as required in connection with any definitive sale transaction," it said in a release after markets closed.

The company is working with CBRE, a commercial real estate company that provides financing and management services in conducting the sales.

"BlackBerry remains committed to being headquartered in Waterloo and having a strong presence in Canada along with other global hubs," CEO and executive chairman John Chen said.

"This initiative will further enhance BlackBerry's financial flexibility, and will provide additional resources to support our operations as our business continues to evolve."

Shortly before Christmas, the University of Waterloo announced it had purchased five buildings and land from BlackBerry for $41 million.

The deal, which is expected to close Feb. 14, will add an additional 300,000 square feet and more than 1,000 parking spaces to the school's property holdings.

The university said it planned on using three of the buildings as soon as the deal closes, while the remaining two would be leased to the smartphone maker for up to five years.

BlackBerry pioneered the smartphone in 1999 and dominated the market for years but has since been eclipsed by Apple's iPhone as well as Android-based rivals.

Under new CEO Chen, the company has been working to turn around its business and last month entered into a five-year partnership with a Taiwanese company in an agreement that will offload much of its manufacturing costs.

On Monday, the company's shares rose more than eight per cent after it got a vote of confidence from the U.S. Defence Department, which said about 80,000 BlackBerrys would be deployed on its new mobile device management system by the end of the month.

The number represents about 98 per cent of the initial haul of devices, which includes another 1,800 devices like Apple's iPad, iPhone and tablets and phones on the Android operating system.

The disclosure last week also shows the U.S. government still considers BlackBerry part of its stringent security infrastructure.

The Canadian Press


Read more Business News




Recent Trending




Today's Market
S&P TSX14912.44-48.069
S&P CDNX908.51-0.78
DJIA16851.97-190.93
Nasdaq4442.392-50.998
S&P 5001955.95-16.34
CDN Dollar0.8952+0.0022
Gold1218.40+6.80
Oil91.13+1.37
Lumber333.60+0.70
Natural Gas4.139+0.018

 
Okanagan Companies
Pacific Safety0.13-0.005
Knighthawk0.01-0.005
QHR Technologies Inc1.25-0.01
Cantex0.065-0.025
Anavex Life Sciences0.19+0.006
Metalex Ventures0.0550.00
Russel Metals34.58+0.01
Copper Mountain Mining2.38-0.04
Colorado Resources0.165+0.015
ReliaBrand Inc0.019-0.001
Sunrise Resources Ltd0.065+0.045
Mission Ready Services0.31-0.01

 



23607

FEATURED Property
1623086996 Manhattan Drive
4 bedrooms 3 baths
$2,775,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


Power-save your way to a down payment

Part 2 of 2 to read Part 1, click here. 5. Dial down your vacations. New York is out. Maybe Buffalo. For West coast, maybe Seattle instead of Hawaii. Use sites like Airbnb (aribnb.ca) to find ch...


A wildly successful manufacturer

Niche food producer “Sweets from the Earth” thrives using innovation, uniqueness and an unwavering focus on quality. A neighbour’s stew turned Ilana Kadonoff off meat at the age of s...


Finding the smart money

Recently I had the privilege of working alongside André Voskuil, a local guru in the world of Alternative Financing. André has quite the reputation in the world of direct investments as ...

_



23545




Member of BC Press Council


23391