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Internet Patents Corp. (PTNT) RSS Feed

Followers
4
Posters
12
Posts (Today)
0
Posts (Total)
20
Created
01/12/12
Type
Free
Moderators
As such, for an effective cost of $3.60/share, PTNT should offer over $5/share in cash. Going forward, the company has said to plans to continue as an operating concern, striking licensing deals for its five internet patents (a non-exclusive license was granted to Bankrate as part of that agreement). It did mention the possibility of a sale of the patents in the most recent 10-Q, a move that would likely lead to outright liquidation; but, in announcing the special dividend, CEO Enan noted that Internet Patents had "begun the operation of our new intellectual property-focused company." The licensing business will not create earnings in the near-term -- or ever, possibly -- but neither should it burn shareholder cash at a particularly high rate. Even in our most pessimistic scenario regarding share count, the company will have a cash balance above its market capitalization after the special dividend is paid. As such, the protection of that asset seems important.
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PTNT Latest News
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