As every new day after the big news on Monday that Fairfax Financial invested $1 Billion into BlackBerry dawns, a few more details find the light of day. It has now been revealed that a whopping 80% of the investment comes from Canadian companies, and Fairfax is not the biggest investor after all.
Several companies have teamed up to contribute to the convertible debenture; we gave you a list of those companies yesterday. Now we are getting a few more details on what Prem Watsa plans to do with BlackBerry now that he’s the man behind the curtain.
The Globe And Mail reported this Friday several interesting tidbits about those plans. It’s an interesting read that you should definitely check out. For the time being, here are a few of the highlights.
Watsa’s main focus is, “Great management,” and concerning the new interm CEO he said, “Once we saw John Chen we had to work to make sure we could attract him… He takes over, within a year it becomes profitable and it never loses money after that. Every year he’s improving it.”
“When there’s fear it’s difficult to raise money,” Mr. Watsa says. “The marketplace is driven by greed and fear. Greed you can see in Twitter and fear you can see in BlackBerry.”
After discussing some of the finer details in how Fairfax was able to decide on the final numbers of the deal, Watsa once again states his utmost confidence in Chen’s ability to turn BlackBerry around.
“It’s a changing world, changing business, and my role is very simply to support him. I’ll help him on anything that comes up – financing, strategic things that come up – but there’s only one decision-maker in my mind, and it’s John Chen.”[Source]