Wi-LAN Inc. has announced that the company has acquired a global portfolio of more than 1400 patents and applications related to digital TV and video displays from an international consumer electronics manufacturer for US $8 Million in cash. The manufacturer cannot be named under the terms of the agreement.
“Portfolios of this size and geographic scope do not often become available. This is an important acquisition for WiLAN because this large portfolio will significantly strengthen our TV licensing program,” said Jim Skippen, Chairman & CEO.
Added Skippen, “The patents and applications were developed by a manufacturer with a long history of innovation in the television and consumer electronics market. Our team has already identified a number of patented inventions in the new portfolio that we believe are relevant to products today.”
With this acquisition, WiLAN’s large and growing portfolio numbers approximately 3000 issued or pending patents.
WiLAN also announced today that its Board of Directors has approved the adoption of a normal course issuer bid to purchase for cancellation up to 6,183,347 common shares, being 5% of its issued and outstanding Shares as of November 30, 2011, through the facilities of the Toronto Stock Exchange.
The share buyback program is subject to obtaining requisite regulatory approvals including filing notice with the TSX. The NCIB is expected to commence on December 14, 2011 after WiLAN receives regulatory approval and will expire on March 3, 2012.
As of November 30, 2011, the total number of issued and outstanding Shares was 123,666,942. The average daily trading volume for the six months ending on November 30, 2011 was 1,052,309 Shares. Daily purchases will be limited to 263,077 Shares, other than block purchase exceptions.
WiLAN and its Board of Directors believe that this NCIB is in the best interests of its shareholders.
The actual number of Shares purchased, the timing of purchases and the price at which the Shares are bought will depend on future market conditions and on potential alternative uses for WiLAN’s cash resources. Any purchases will be subject to trading restrictions and will be made by WiLAN at the prevailing market price of the Shares at the time of purchase.