BlackBerry cancels device launches, rising inventory costs hurt, BlackBerry Ltd. BBRY +3.48% co-founder Michael Lazaridis disclosed in a regulatory filing Tuesday he cut his combined stake with another company co-founder in the smartphone maker to just under 5%, and indicated he doesn't plan to pursue a joint bid to acquire the company outright.
In October, Mr. Lazaridis, and Douglas Fregin, another company co-founder, disclosed they owned a combined 8% stake of BlackBerry and said they were considering a joint bid to acquire the Waterloo, Ontario-based firm after it had put itself up for sale in August amid weak sales. In November, BlackBerry took itself off the market after failing to secure a deal, appointed a new management team and recommitted itself to try to revitalize its struggling operations.
In Tuesday's filing, Mr. Lazaridis said he now owns about a 4.99% stake in BlackBerry and indicated he and Mr. Fregin ended their partnership for a possible takeover bid.
A spokesman for Mr. Lazaridis couldn't be reached for comment. Mr. Fregin couldn't be reached. A BlackBerry spokeswoman declined to comment.
Disclosure of the reduced stake comes after BlackBerry last week announced a $4.4 billion quarterly loss as its new line of smartphones failed to gain traction in the market. Despite the loss, BlackBerry's stock still surged 15% that day after management pledged that a new manufacturing deal and a renewed focus on software and services will help the company eventually turn a profit.
Messrs. Lazaridis and Fregin started BlackBerry, formerly known as Research In Motion, in a small office in a Canadian strip mall in 1984 with a loan from Mr. Lazaridis's parents.
Mr. Lazaridis and fellow co-chief executive, Jim Balsillie, stepped down from their roles in early 2012 after several years of sinking shares and eroding smartphone market share, but Mr. Lazaridis stayed on the board until May 1 of this year.
In October, Mr. Lazaridis, and Douglas Fregin, another company co-founder, disclosed they owned a combined 8% stake of BlackBerry and said they were considering a joint bid to acquire the Waterloo, Ontario-based firm after it had put itself up for sale in August amid weak sales. In November, BlackBerry took itself off the market after failing to secure a deal, appointed a new management team and recommitted itself to try to revitalize its struggling operations.
In Tuesday's filing, Mr. Lazaridis said he now owns about a 4.99% stake in BlackBerry and indicated he and Mr. Fregin ended their partnership for a possible takeover bid.
A spokesman for Mr. Lazaridis couldn't be reached for comment. Mr. Fregin couldn't be reached. A BlackBerry spokeswoman declined to comment.
Disclosure of the reduced stake comes after BlackBerry last week announced a $4.4 billion quarterly loss as its new line of smartphones failed to gain traction in the market. Despite the loss, BlackBerry's stock still surged 15% that day after management pledged that a new manufacturing deal and a renewed focus on software and services will help the company eventually turn a profit.
Messrs. Lazaridis and Fregin started BlackBerry, formerly known as Research In Motion, in a small office in a Canadian strip mall in 1984 with a loan from Mr. Lazaridis's parents.
Mr. Lazaridis and fellow co-chief executive, Jim Balsillie, stepped down from their roles in early 2012 after several years of sinking shares and eroding smartphone market share, but Mr. Lazaridis stayed on the board until May 1 of this year.
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