BlackBerry Announces Partial Extension of Convertible Debentures
WATERLOO, ON, Nov. 13, 2023 /PRNewswire/ -- BlackBerry Limited (NYSE: BB; TSX: BB) today announced that it has entered into an agreement with certain controlled affiliates of Fairfax Financial Holdings Limited (together, "Fairfax"), pursuant to which Fairfax will subscribe for US$150 million aggregate principal amount of 1.75% extendable convertible unsecured debentures of BlackBerry (the "Extension Debentures") on a private placement basis (the "Transaction"). The Transaction is expected to be completed on or before November 17, 2023.
- BlackBerry also announced that it has paid all amounts due upon the maturity of its outstanding 1.75% unsecured convertible debentures issued September 1, 2020 (TSX: BB.DB.U) (the "2020 Debentures").
- The outstanding principal amount of the 2020 Debentures was US$365 million and none of the 2020 Debentures had been converted into common shares of BlackBerry ("Common Shares") prior to repayment.
- Aside from the maturity date, the terms of the Extension Debentures will be substantially identical to those of the 2020 Debentures, except that the Extension Debentures will not be listed on any stock exchange and will not involve an indenture trustee.
- The Extension Debentures will be guaranteed on a senior unsecured basis by BlackBerry Corporation and BlackBerry UK Limited (the "Subsidiary Guarantees").