Canaccord's Morning Coffee on PYNPoynt has recently partnered with Gladios IP, a subsidiary of Wi-LAN to monetize its patent portfolio. It has two key patent families with application in location based search and advertising. While monetization of these patents might take several years to play out, Gladios and Poynt will share in any resulting licensing revenue on an approximate 50/50 basis when it does. The actual value of these patents to an acquirer is difficult to appraise but Canaccord Genuity Technology Analyst Robert Young believes there is clear value which is reinforced by Wi-LAN’s interest in participating, and recent valuations attributed to Nortel’s patent library.
We note, Wi-LAN, market cap of $1.1 billion, has a portfolio of more than 1,400 issued or pending patents and MOSAID, market cap of $400 million, has a portfolio of over 2,000 patents.