BERLIN, July 30 Germany will examine
BlackBerry's planned acquisition of Secusmart,
whose encryption technology protects the devices of government
officials including Angela Merkel.
BlackBerry, which is trying to reinvent itself under new
Chief Executive John Chen, wants to buy the privately held
German firm to burnish its credentials with highly
security-conscious clients like government agencies.
But a spokeswoman for the German economy ministry said on
Wednesday the ministry would have to check whether German
security would be affected by the sale.
She said the ministry would decide within a month whether a
deeper investigation was necessary, at the end of which the
government could block the sale.
German Chancellor Merkel, whose mobile phone was
eavesdropped on by the U.S. National Security Agency, has a
BlackBerry mobile device with Secusmart encryption, as do many
other members of the government administration.
Shares in BlackBerry, which fell as much as 4.5 percent on
Tuesday's news of the planned acquisition, traded up 1.6 percent
at $9.67 on the Nasdaq and up 2 percent on the Toronto Stock
Exchange at C$10.54 by 1946 GMT.
(Reporting by Thorsten Severin; Writing by Georgina Prodhan,
editing by David Evans)