Blackberry Settles Securities Lawsuit For US$165 Million But Still Claims Case “Without Merit”

BlackBerry Limited (TSX: BB) announced today that it has reached a settlement agreement with the plaintiffs of a class-action lawsuit pertaining to defrauding its shareholders. The settlement is reportedly worth US$165 million.

In the case Pearlstein v. Blackberry Limited, the plaintiffs are suing the company for misrepresenting the prospect and profitability of the BlackBerry 10 smartphone model. The petitioners represent the group of shareholders between March 28, 2013 and September 20, 2013.

But even after the settlement, the now software security firm still believes that the case was “without merit.”

“While BlackBerry believes that the allegations in the case were without merit, it also believes that eliminating the distraction, expense and risk of continued litigation is in the best interests of the Company and its shareholders,” said the firm in its statement.

The US$165-million settlement is expected to reflect on the company’s financials for the fiscal quarter ending May 31, 2022.

In January 2022, the company was looking to sell its non-core patents, which are related to mobile devices, messaging, and wireless networking for US$600 million, as it moves to become a full-fledged security firm.

BlackBerry last traded at $8.68 on the TSX.


Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Baselode Energy To Acquire Forum Energy: The Merger Of Equals Deal

TriStar Gold: The Revised Castelo de Sonhos Prefeasibility Study

Gold is Up 30%, But the Real Bull Market is Only Starting Now! | Adrian Day

Recommended

ESGold To Expand Mine Building At Montauban In Advance Of Gold & Silver Production

Goliath Resources Expands 2025 Drill Program To 60,000 Metres

Related News

RBC Downgrades Blackberry Stock Following Reddit-Inspired Frenzy

Following what has been a historic speculative frenzy driven by retail investors posting on a...

Tuesday, January 26, 2021, 02:34:00 PM

BlackBerry Looks For Alternative Buyers For Legacy Patents After Catapult Fails To Secure Funds

It appears that a significant monetization event for BlackBerry Limited (TSX: BB) may not be...

Wednesday, June 1, 2022, 08:25:08 AM

BlackBerry: Canaccord Downgrades To Sell After 50% Run

On June 24th, BlackBerry (TSX: BB) reported its first quarter financial results. The company reported...

Saturday, June 26, 2021, 01:18:00 PM

Canaccord Reiterates $10 Price Target On Blackberry Following Results

On September 22, BlackBerry Limited (TSX: BB) reported their second quarter financial results for the...

Friday, September 24, 2021, 10:52:00 AM

Blackberry Looks To Sell Non-Core Patents For US$600 Million

After switching its focus to security software, BlackBerry Limited (TSX: BB) is looking to cash...

Monday, January 31, 2022, 10:13:00 AM