BlackBerry extends deadline for convertible debentures to Jan. 13

WATERLOO, Ont. – BlackBerry (TSX:BB) is extending until Jan. 13 the deadline for investors to buy up to an additional US$250 million of convertible debentures.

The deadline, which had been set to expire this month, was extended after consultation with Fairfax Financial Holdings (TSX:FFH) and other holders of a majority of the US$1 billion of convertible debentures issued by BlackBerry on Nov. 13.

BlackBerry said the extension will enable it to provide updated financial information to prospective investors after its third-quarter financial results are released Dec. 20.

Closing of the $1-billion debenture financing was announced on Nov. 18 after Fairfax Financial, BlackBerry’s biggest shareholder, decided against an earlier plan to buy the company outright.

According to regulatory filings, more than half of the money came from two institutional investors: $300 million from Canso Investment Counsel Ltd. of Richmond Hill, Ont., and $250 million from Fairfax.

Funds managed by Mackenzie Financial invested $200 million, $100 million came from Qatar’s sovereign wealth fund, $70 million from Virginia-based Markel Corp., $70 million from funds Managed by Manulife Financial Corp. (TSX:MFC) and $10 million from Brookfield Asset Management of Toronto (TSX:BAM.A), according to the filings.

Fairfax and other investors were originally given 30 days to buy an additional US$250 million of the interest-paying notes, which can be used to buy BlackBerry shares for US$10 each.