According to Bloomberg, Research In Motion Ltd. shareholder Fairfax Financial Holdings Ltd. has doubled down on the struggling smartphone company, nearly doubling its holdings in RIM. Fairfax is now the largest shareholder of RIM stock.
RIM's stock has cratered nearly 95 percent from its 2008 peak and the tech world has basically written off RIM as another casualty of the rise of iOS and Android. However, it appears that Fairfax believes RIM is undervalued. The move is a boost to RIM who is in need of some good news.
Fairfax, an insurer run by Toronto-based investor Prem Watsa, owns 51.9 million RIM shares, according to a regulatory filing today. It held 26.8 million shares as of April 1, according to data compiled by Bloomberg. The company raised its stake to 9.9 percent, worth about $351 million.
RIM's stock has cratered nearly 95 percent from its 2008 peak and the tech world has basically written off RIM as another casualty of the rise of iOS and Android. However, it appears that Fairfax believes RIM is undervalued. The move is a boost to RIM who is in need of some good news.