Strategy and Transactions Featured Engagement

Background

MIPS Technologies, Inc., a leading provider of industry-standard processor architectures and cores for home entertainment, networking, mobile and embedded applications, retained Ocean Tomo for the purpose of advising the company in connection with its desire to effectuate and maximize this IP driven transaction and to evaluate whether the consideration was fair to MIPS from a financial point of view.

Engagement

Ocean Tomo was retained by MIPS at the very beginning of the IP monetization process to advise on strategy. Over the course of about 18 months we helped identify the key assets and shape the type and value of the deal that was ultimately consummated. MIPS demonstrates what is possible when companies consider IP as a strategic business asset: a dramatic increase in shareholder value and an efficient transfer of technology.

MIPS and Ocean Tomo devised an atypical IP strategy early on in the monetization process, built around maximizing value, while keeping litigation and ecosystem risks to a minimum. The deal consummated closely followed the strategy and value forecasts that Ocean Tomo developed.

Results

The resulting transaction involved the sale for $350 million by MIPS to Bridge Crossing, LLC of all of its rights, title and interest in 498 active issued U.S. and foreign patents and patent applications. Bridge Crossing, LLC is a special purpose vehicle formed by Allied Security Trust I, a member-based defensive patent aggregator.

 

Photo by Windell Oskay / CC BY-SA 4.0