On The Topic of Dividend CutsThis is a tougher decision than first appears.
On the one one hand, cutting the dividend and conserving cash for an acquisition seems prudent, especially considering that at $2.33/share, not much accretion from a new deal is even factored into the share price.
But on the other hand, if you cut the dividend, you are effectivly signalling to the market that you have no active pipeline and no immenent deal forthcoming which would probably (as a worse case) make some investors consider whether the royalty model even adds value to clients any more and cause more damage to the share price than it mathematically should (IMO the share price is already trading at a level that gives no credit to a new deal).
IF there is actually no active pipeline, then yes, they should cut the divi. However if they're in active discussions, I actually think it's prudent to keep it.