Prem Watsa also known as the “Canada Warren Buffet” has been reported to be the leading bidder for BlackBerry. Prem Watsa resigned from BlackBerry’s board on Monday, seven months after joining, and is now expected to try to orchestrate the company’s stockmarket exit.
Being the company’s largest shareholder buying nearly 10% of shares at around $17, he is sitting on a potential $270m loss but still sees a way to maneuver this market going forward.
Prem Watsa has made his fortune by taking on what are known as “lost causes” and turning them around, we will see if he does indeed plan on turning BlackBerry around.
“Hearing the announcement from BlackBerry accompanied by Prem’s departure from the board should indicate something will happen this time on the strategic front,” said Todd Johnson, a portfolio manager at Winnipeg-based BCV Financial, which owns Fairfax debt. “We have a lot of respect for the investment acumen and long-term track record Prem Watsa has established at Fairfax – via The Guardian
“To have Prem Watsa resign from the board is a very positive thing because it would give him the freedom to pull together a club deal,” said Vic Alboini, an activist investor in BlackBerry via his fund Jaguar Financial, who is hoping for a sale at $15 a share.
While not all of Prem Watsa’s business moves have been successful in the past he does have a good track record, only time will tell how the company will unfold.