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By | Kat Hall 4th September 2015 14:58

Cash-happy BlackBerry slurps one-time rival Good for $425m

Mobe-maker formerly known as RIM finds bundle of notes behind the sofa

BlackBerry has dug deep into its lint-filled pockets to buy its one-time legal adversary Good Technology for a cash sum of $425m (£280m).

BlackBerry hopes the deal will allow it to beef up its presence in the enterprise mobile management space.

John Chen, BlackBerry chief exec, said the acquisition will expand its offering in "securely managing devices across any platform".

Back in 2004, Good Technology settled its bitter legal dispute with Research in Motion – as BlackBerry was previously known – agreeing to cough up a lump sum and quarterly licensing fee.

It had accused Good of "misappropriation of trade secrets, breach of contract, and civil conspiracy."

Good was a privately held firm, with a list of investors that included Blueprint Ventures, DFJ, ePlanet Capital, GKM Newport, Meritech Capital Partners, Oak Investment Partners and Rustic Canyon Partners.

Many will also be surprised that BlackBerry had $425m in spare cash. Although the former phone giant appears to be having some success in turning its fortunes around, it's still not exactly flush with readies.

According to its first-quarter results this year, it made $73m in profit before tax, up from a $6m loss in the same period last year.

Revenue for the first quarter of fiscal 2016 was $658m, down from $966m in the same period last year.

John Chen said the cross-platform tech will allow customers greater choice of "operating systems, deployment models or any level of privacy and security".

Earlier this year Blackberry was reported to be considering kitting out its next smartphone with Google's Android operating system. ®

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