BlackBerry Ltd (NASDAQ:BBRY) looks at Samsung, HTC, Huawei and Apple Inc. (NASDAQ:AAPL) as its Potential Buyers
Finding a buyer has become quite a problem for BlackBerry Ltd (NASDAQ:BBRY). However with its latest jump in shares, investors have become a bit more interested in the prospect of BlackBerry’s sale. The company’s shares went up by 13% in the past three weeks after it announced that a board will be formed to evaluate BlackBerry’s “strategic options”, which involved the possibility of the company being sold. Despite this 13% jump, BlackBerry is still over 20% behind its level; the company sales report revealed on the 28th of June showed disastrous results. BlackBerry shares hit their highest peak at $18 back in January; this was before the handsets powered by BlackBerry 10 Operating System saw disappointing sales.
According to The Wall Street Journal’s Wednesday’s report, BlackBerry’s efforts to improve its sales are showing a positive impact on the company’s shares in the market. BlackBerry stopped considering the two big names of Nokia and Microsoft as its potential partners after Microsoft acquired Nokia’s handset business. After crossing off these two names from the list, BlackBerry could look at HTC Corp (TPE:2498), Samsung Electronics Co., Ltd (KRX:005930), Apple Inc. (NASDAQ:AAPL) and Huawei Technology Co Ltd (SHE:002502) as its potential partners.
Even though Apple Inc. (AAPL) possesses all the necessary funds to invest its money, but has no apparent reason to do so. For a company that likes to keep its purchases quiet and small, such an investment is highly unlikely. Samsung too has the money to become BlackBerry’s partner and despite its heavy investment in Android, it might have some interest in owning BlackBerry’s platform as well. However, there is a huge possibility that any foreign investor will have to put up with strict reviews and checks from regulators because of the interest Canadian government has in BlackBerry’s future, a fact that might take Samsung’s interest away.
Huawei might also be crossed of the potential partner list because on Wednesday it announced to Reuters that Huawei prefers to expand its business without any outside interference. Moreover, like Samsung Huawei might also have to face strong political resistance. HTC on the other hand is already facing problems to sustain its dwindling share in the smartphone market and does not have the cash to invest in a $7 billion acquisition venture.
In afterhours, shares of BlackBerry Ltd (NASDAQ:BBRY) went up by 0.32% ($11.03) in afterhours, whereas in Friday’s premarket shares of Apple Inc. (NASDAQ:AAPL) also went up by 0.44%.