Why Investors Were Souring on BlackBerry Stock This Week
(NYSE: BB), a tech and telecom stock with quite an up-and-down history, was trading in one of its valleys over the past few days. According to data compiled by S&P Global Market Intelligence, the Canadian company's share price had eroded by 13% week to date as of Friday early morning. Much of the decline occurred on Wednesday, when the company announced a new financing measure.
BlackBerry revealed that day that it is floating $175 million worth of convertible senior notes, a type of debt security that is transferrable into equity under certain conditions. The issue was upsized from the previously planned $160 million.
The notes are being sold in a private placement to unidentified "persons reasonably believed to be qualified institutional buyers," according to applicable securities law, the company wrote in a press release.
Source Fool.com
