Bought for billions, selling for peanuts

COMPANIES THAT SPENT billions on poorly timed acquisitions in recent years are now offloading those assets at knockdown prices.

- BEN SCENT

Alibaba Group Holding announced on Tuesday it's going to sell Chinese department-store chain Intime to a local apparel group for $1 billion. The price is around 30% of the company's valuation when Alibaba bought it during the heady days of 2017. The internet giant, which has largely abandoned its acquisitive ways amid government pressure, said it will book a $1.3 billion loss on the transaction.

The deal came a day after Blackberry said it would divest its Cylance endpoint security unit to software startup Arctic Wolf for $160 million plus a small amount of stock. That's a far cry from the $1.4 billion Blackberry paid when it agreed to buy the business in 2018. Under Blackberry's ownership, Cylance reported substantial losses and its revenue fell over 50%, according to Royal Bank of Canada analysts.