This was a shock. I always expected Certicom to be taken over by another security company, but RIMM never occurred to me.
UPDATE 1-RIM to offer C$65.6 million to buy Certicom
Wed Dec 3, 2008 8:35am EST
OTTAWA, Dec 3 (Reuters) - BlackBerry maker Research In Motion (RIM.TO: Quote, Profile, Research, Stock Buzz) (RIMM.O: Quote, Profile, Research, Stock Buzz) said on Wednesday it plans to offer C$1.50 a share in cash to buy encryption software company Certicom Corp (CIC.TO: Quote, Profile, Research, Stock Buzz) in a deal worth about C$66 million ($52 million).
The offer, which comes one day after RIM cut its third-quarter profit and revenue outlook, represents a 76.5 percent premium over the closing price of Certicom stock on Dec 2, said RIM.
RIM said it is making the offer directly to Certicom shareholders because it has been unable to advance the transaction with management since starting talks in February 2007.
The offer is not subject to financing conditions and will be funded by cash on hand, said RIM. It expects to formally commence the offer by Dec 12. ($1=1.26 Canadian) (Reporting by Susan Taylor; Editing by Derek Caney) |
