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Correct, there is no specific mention as would be expected were a NDA in effect. They acquired 3 new patent portfolios which INCLUDE those you mentioned. There is also the expenditure under Investment in Patents/Patent Rights for 987K. Connecting this to REVO is, of course, speculation. That's what makes this all so much fun.
Look at the Hybrid Partnering Model graphic on page 5. A patent troll like Acacia Research bears all the costs of litigation against the big boys, something small guys like REVO can't afford. 40% of revenue for no cash outlay doesn't seem too bad in my opinion.
http://www.sec.gov/Archives/edgar/data/934549/000093454914000004/actg2013123110-k.htm
The identities of the unrelated third party, as well as the licensee, is not given in the filing. Any identification of such is speculation. As for a brand new company paying for the litigation, such is the case for nearly all the clients of Acacia Research, through one of their wholly owned subsidiary LLC's. As far as speculation goes, one could just as easily say that Acacia Research gave 900k to Carter and Ali in exchange for the notes which Acacia then gave to Eyetalk365 to forgive. Thereby showing an increase in the bottom line for the company and giving Carter and Ali cash in hand.
Acacia has the pockets and horsepower to procure licenses and/or damages from infringing entities when it has the rights to the patent portfolio through a wholly owned subsidiary. Any revenue collected by the subsidiary is retained by Acacia until the capital expended by Acacia is recovered. After that, the revenue sharing to the partner commences. That's the way Acacia operates. As for the appearance that Rainco owns the LLC, who knows? The one fact we know is that someone in that LLC was holding 900K in notes. Was it Rainco, Helfer, or someone else?
Acacia Research Corporation's method of operation is to form/acquire an llc in the same state as the partner, have the llc acquire the patent portfolio from the partner, then file suit against infringing companies in federal court. Here is one such example:
View 360 Solutions LLC is formed in NY on August 07, 2012
Acacia announces a subsidiary has acquired rights to "360 degree view technology" on August 22, 2012. Newly formed LLC and Acacia file suit against Google for infringement on August 31, 2012.
LLC formation and 60/40 split follow Acacia's partnering model. Question here with REVO is who are all the members of the Eyetalk365 LLC? Article of organization only lists the organizer and his contact info.
Read through this 10-K. It would make sense if the licensee was this company or one like it. The LLC (Eyetalk365) would be the subsidiary formed for the sole purpose of monetizing the patent portfolio. The 60% for them and 40% for REVO mirrors this company's Hybrid Partnering Model. I really hope the licensee is this company since it is one of the biggest in the business and has the horsepower to go after the big boys and win. Target recovery of advanced capital is 18 months. After return of capital infusion, net profit revenue share with partner commences.
http://www.sec.gov/Archives/edgar/data/934549/000093454914000004/actg2013123110-k.htm
Looking through an annual report for one of the largest "patent troll" companies reveals some very interesting similarities. Take note of their Hybrid Partnering Model graphic with the 60/40 split as well as their penchant for establishing subsidiary LLC's for specific patent portfolios.
https://www.sec.gov/Archives/edgar/data/934549/000093454914000004/actg2013123110-k.htm
I'm of the opinion that the patents haven't been monetized in the past due to the surrounding litigation, especially over patent ownership. With that resolved and the USPTO rejection of Alarm-Force's application citing REVO's patent, I believe the portfolio has taken on value it previously did not exhibit. Much more lucrative for a big player to acquire rather than battle a patent troll citing infringement. Owning potentially disruptive technology outright rather than licensing it would also be a plus. All just my opinion, of course.
Just a far-fetched fantasy, but how cool would it be if iControl decided to kill two birds with one stone (REVO) by acquiring a disruptive patent portfolio and going public?
Took another look at the 8-k looking for clues as to who the licensee may be. I hope it is iControl but not sure if they form subsidiaries to monetize patents, but pretty sure I found one company that does this. Acacia Research Group appears to form subsidiaries to monetize licensed patents. It is possible that we have licensed this group or one like it and maybe the NDA is to allow them time to form the subsidiary. Just speculation on my part.
http://acaciaresearch.com/how-we-work/#patent_primer
Acacia, often through one of our subsidiary entities, engages highly competent and experienced patent lawyers to handle its litigation. It is imperative to be persistent and patient through the litigation process because it typically takes 18-36 months to yield a license agreement from a potential licensee. Often, it takes longer to secure a final court judgment.
Reminds me of a similar play I was holding awhile back. Great patent, great aspirations and no product. Debt, going concern and low float. Believed in the patent, but monetization seemed distant, or impossible according to the bashers. I pulled my position for greener pastures with intent to come back when things got more promising. Missed the run and the $900k my position would have gained. Not making that mistake here.
That's what I'm leaning towards, also. Figure that they are tying up loose ends, and crossing all the t's. Think the deal happened after the fiscal year and would make the 10-k mute, so they decided to withhold it and make the announcement in the 10-Q. All my own speculation, of course.
I'm not expecting to hear anything for the next two weeks. I believe the company decided to withhold the 10-k for some reason, at least until the 10-Q is due.
Beginning may 1, 2014:
• Bid test: All current OTCQB companies that
do not meet the minimum bid test (minimum
bid price of $0.01 per share as of the close of
business for at least one of the previous thirty
consecutive calendar days) will be removed
from OTCQB beginning May 1 .
http://www.otcmarkets.com/content/doc/otcqb-fact-sheet.pdf
I find it interesting that REVO's patent was cited in the denial of alarmforce's patent application, iControl settled their lawsuit against alarm.com for patent infringement, iControl brought out Piper with 2-way audio and is actively acquiring patent portfolios for development and licensing......all in roughly the same time period. My thinking is that if anyone would desire REVO's patent portfolio for development, licensing, and pursuing infringement lawsuits, iControl certainly fits the bill.
Could be that someone is using an online order entry system that is limited to lots of 5000. (They ARE out there.)
Should have a 10K by the 15th. http://www.sec.gov/Archives/edgar/data/1457435/000147793214001425/zntr_nt10k.htm
Yeah, but from whom? From the public filings, this is basically an abandoned stock. So.....why the recent volume and consistent daily buys at the ask? We have some vague "ideas" but the business license is still statused as 'Revoked' by Nevada. Anyone know if John Elliott and Vicis Capital still hold tens of millions of shares?
Not sure how this all works, but looking at Rescare's last 10k, it gives the impression that they have checked with NASDAQ about being a controlled company, having qualified independent directors and could somehow take that part public through offerings on a public exchange. Again, not an expert in how or if this could happen. I wasn't seeing the connection either until I got to the bottom of the 10k.
Wish I knew!