BlackBerry Announces Completion of Debt Refinancing

Rhea-AI Summary

BlackBerry Limited (NYSE: BB; TSX: BB) announced the redemption of all its 3.75% unsecured convertible debentures on September 1, 2020. No debentures were converted into common shares prior to this redemption. Alongside this, the company completed a private placement of US$365 million in 1.75% unsecured convertible debentures with Hamblin Watsa Investment Counsel Ltd. and another institutional investor. This strategic move aims to strengthen its financial position as it continues to secure endpoints globally.

Positive

• Completion of redemption of 3.75% convertible debentures strengthens financial stability.
• Successful private placement of US$365 million in 1.75% convertible debentures enhances liquidity.

Negative

• None.

WATERLOO, ON, Sept. 1, 2020 /PRNewswire/ -- BlackBerry Limited (NYSE: BB; TSX: BB) today announced that it completed the redemption of all of its 3.75% unsecured convertible debentures (TSX: BB.DB.V) (the "3.75% Debentures") on September 1, 2020. The redemption was announced and a notice of redemption was issued on August 28, 2020. None of the 3.75% Debentures were converted into common shares of BlackBerry prior to redemption.

BlackBerry also announced that it has completed the previously announced private placement of US$365,000,000 aggregate principal amount of 1.75% unsecured convertible debentures to Hamblin Watsa Investment Counsel Ltd., in its capacity as investment manager of Fairfax Financial Holdings Limited and another institutional investor. RBC Capital Markets acted for BlackBerry in the completion of the transaction.

About BlackBerry

BlackBerry (NYSE: BB; TSX: BB) provides intelligent security software and services to enterprises and governments around the world. The company secures more than 500M endpoints including over 175M cars on the road today. Based in Waterloo, Ontario, the company leverages AI and machine learning to deliver innovative solutions in the areas of cybersecurity, safety and data privacy solutions, and is a leader in the areas of endpoint security management, encryption, and embedded systems. BlackBerry's vision is clear – to secure a connected future you can trust.  

BlackBerry. Intelligent Security. Everywhere.

For more information, visit BlackBerry.com and follow @BlackBerry.

Investor Contact:
BlackBerry Media Relations
(519) 597-7273
mediarelations@BlackBerry.com 

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SOURCE BlackBerry Limited

FAQ

When did BlackBerry redeem its 3.75% unsecured convertible debentures?

BlackBerry redeemed its 3.75% unsecured convertible debentures on September 1, 2020.

What amount was raised in BlackBerry's recent private placement?

BlackBerry raised US$365 million in its recent private placement of 1.75% unsecured convertible debentures.

What type of debentures did BlackBerry redeem recently?

BlackBerry redeemed all its 3.75% unsecured convertible debentures.

Who were the investors in BlackBerry's private placement?

The private placement involved Hamblin Watsa Investment Counsel Ltd. and another institutional investor.