Former smartphone manufacturer BlackBerry
has agreed a deal to sell its 'legacy' patents for $600 million (£443 million). The company, which became a security software business when it moved away from smartphones
, says it'll keep patents that are essential to its current business and will only sell its non-core patent assets to US-based Catapult IP Innovations.
In return for the deal, BlackBerry will receive a licence to keep using the patents it's selling, which mainly relate to mobile devices, messaging and wireless networking.
Capital IP Innovations is a company that's been set up to acquire the BlackBerry patents, with support from a lending syndicate led by Toronto-based Third Eye Capital. BlackBerry will receive $450 million in cash and an agreement to be paid five equal annual installments of $30 million commencing on the third anniversary of the closing date. The deal is subject to regulatory approval, which could take several months.