Fairfax Financial rebalances Blackberry Position
Fairfax Financial (FFH.CA) sold about 5.2 million shares in Blackberry according to their SC 13D/A filed today. The amended statement of beneficial ownership details the ownership of Blackberry (BBRY) (BB.CA) shares by Fairfax and its subsidiaries. The transaction is best characterized as an adjustment or rebalancing due to the fact it was made to comply with terms of a previously agreed to lockup.
Fairfax Financial agreed to a lockup regarding Blackberry shares
“Under the terms of a subscription agreement with BlackBerry dated November 4, 2013, Fairfax agreed that until November 13, 2014 neither it nor its affiliates would beneficially own more than 19.9% or less than 9.9% of the outstanding Shares. As previously announced on January 8, 2014, Fairfax determined to sell Shares over time in order to rebalance its ownership in BlackBerry, subject to the above-noted restrictions.”
The transaction today was merely keeping in line with this agreement.