Quarterhill Inc T.QTRH

BB and Catapult

[cabbieJBJ]

I want to share 2 post from the Google group regarding exclusivity/a second bidder and Catapult's principal, York Eggleston.  The BB situation presents a similar scenario to a lawsuit Eggleston launched against an Acacia sub, Slingshot.

The parallels between the Acacia/Slingshot and Blackberry/Catapult deals are eerily similar (read about Acacia/Slingshot - https://www.reedsmith.com/en/perspectives/2021/05/delaware-court-of-chancery-finds-implied-covenant-inferred-from).  I still smell some possible connection between the Blackberry initiative and the Wilan initiative.  Potential legal action with York Eggleston, as described in the link above,  may be playing a role in the length of time to conclude either initiative, in parallel or tandem.  FWIW, I think Catapult's exclusivity ended in May 2022, or sooner.

https://groups.google.com/g/quarterhill/c/GY2qkbukTvY/m/_IgJ7m6UAQAJ

Q&A at BB's Q3 results conference call

Prepared remarks

 

And finally, a quick update on the IP patent portfolio sale. As we said before, there are two main interested parties. I'm pleased to say that tremendous progress has been made with both of them.

Catapult, who you know now has -- now has motivated financing partners lined up, and all parties are currently negotiating the final documents. The second party is a large PE firm that doesn't need external financing. They have completed their due diligence, and term sheets discussion are well advanced. We obviously will keep you updated as things progress.

 

Q&A

Todd Coupland -- CIBC World Markets -- Analyst

OK. That's -- that's helpful. And then, I had a question on, I guess, the movements on the balance sheet. So, I think in the past, the price for the patent licensing business is 600 million.

Does -- does that potentially change if the second party comes in? Like, if they get into the mix here, is the takeaway that you're going to get to 600 million or possibly higher? Or is it just they get there first and they can close the deal? What's -- what's the message on that?

John Chen -- Executive Chairman and Chief Executive Officer

Yeah, I'm sorry, I shouldn't comment on it. I know the questions and I understand. Of course, I have the answer, but it's unfair to both parties while we're negotiating in parallel. So, if you don't mind, just hold off with that until we made the announcement.

I'm expecting the announcement or the conclusion of this relatively soon.

Todd Coupland -- CIBC World Markets -- Analyst

I see. But -- but the takeaway is that the confidence level with the second party has gone up from the last time we talked about this, where financing was in question, to where it's -- the probability of getting that 600 million is -- has gone up materially with -- with that, and then the other the initial party getting financing. [Inaudible]

John Chen -- Executive Chairman and Chief Executive Officer

Yeah, the -- again, I can't go into the structure, but the initial party, the confidence level had had -- you're right, has dramatically gone up.

Todd Coupland -- CIBC World Markets -- Analyst

OK. Should we -- should we take away, given the delay and the two parties here, that the -- the structure that was announced before is -- is potentially open to some adjustments?

John Chen -- Executive Chairman and Chief Executive Officer

Very minor.

https://groups.google.com/g/quarterhill/c/xZ_c1LcTHoM/m/TeRqafF-BgAJ