RE:Was the EZ-Pass I/O Hub contract priced at a loss? It is very simple.
The markets are punishing firms that aren't making money. ITS and IP units are not making money. You may believe the turnaround story. I don't see how this happens in an inflationary environment.
A leveraged acquisition model doesn't make sense at these interest rates. Rekor's acquisition of STS highlights how punishing markets are for overpaying in this backdrop.
Selling patents in this environment is an extremely low probability.
15-20% employee vacancy rate highlights wage pressures building and margins collapsing further.
US wages keep rising and USD keeps rising and Quarterhill's Canadian cash position keeps getting chewed away.
The question is: can they hang on to the other side of this recession?
470 days of operating cash left at last quarters burn rate. And could be less if the debtholders demand more wary cash payments.