RIM kicks off hostile bid for Certicom

A subsidiary of BlackBerry maker Research In Motion has started the hostile takeover bid for security vendor Certicom that it disclosed plans for last week.

A subsidiary of BlackBerry maker Research In Motion has started the hostile takeover bid for security vendor Certicom that it disclosed plans for last week.

RIM said Wednesday the subsidiary filed a circular on the bid and made formal announcements in two Canadian newspapers, The Globe and Mail and Le Devoir. Both RIM and Certicom are based in Ontario.

Security is a strong point for the BlackBerry system, in which all e-mail goes through RIM's network operations center and is encrypted for transit over wireless networks. But BlackBerry devices are not certified for the highest levels of government security, a fact that has been raised recently with the election of BlackBerry user Barack Obama as U.S. president.

The bid of C$1.50 (US$1.19) per share, or about C$66 million, represents a premium of about 76.5 percent over the closing price of Certicom shares on Dec. 2, the day before RIM's public notice that it intended to make the bid.

Certicom, best known for its Elliptic Curve Cryptography technology, provides security software for wireless devices and other products. RIM started talking with Certicom management in February 2007 about a possible acquisition, it said last week. RIM said it hadn't been able to engage Certicom in a "meaningful dialogue" but still believed the company was a perfect fit for RIM and would benefit shareholders, employees and customers. As a result, RIM made its offer directly to Certicom shareholders.

The buyout would be financed with cash on hand, with no need for financing conditions, according to RIM. The offer is open until Jan. 15 or until withdrawn, RIM said.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection

Tags RIM

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Stephen Lawson

IDG News Service
Show Comments

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

David Coyle

Brother PocketJet PJ-773 A4 Portable Thermal Printer

I rate the printer as a 5 out of 5 stars as it has been able to fit seamlessly into my busy and mobile lifestyle.

Kurt Hegetschweiler

Brother PocketJet PJ-773 A4 Portable Thermal Printer

It’s perfect for mobile workers. Just take it out — it’s small enough to sit anywhere — turn it on, load a sheet of paper, and start printing.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?