Tag Archives: Mergers and Acquisitions

New Study Reinforces Value of Patents in Venture Capital Investment

Regular readers of the IP Asset Maximizer Blog will know that I am a strong advocate of the use of IP analytics by venture capital investors, as well as others.  Clearly, VC’s need better ways to gauge the appropriateness of an investment when more than 50% of venture investment is a loss. My point of… Read More »

How to Improve the Performance of M&A: Determine Whether the Target Really Provides Durable Competitive Advantage

Recently, I was asked to speak to a Georgia Tech MBA class about IP Strategy–specifically about the inter-play of IP in M&A.  A significant portion of my talk addressed how poorly existing due diligence and IP metric methodologies traditionally perform to predict the financial success of M&A transactions.  There is no question that improvements are… Read More »

Guest Blogger: How Patent Vulnerability Impacts Valuation by David Wanetick of IncreMental Advantage

(This week, David Wanetick, Managing Director of IncreMental Advantage provides readers if the IP Asset Maximizer Blog with an excellent overview of the various factors that he believes affect patent valuation.  Please let me know if you would like to be a Guest Blogger.) How Patent Vulnerability Impacts Valuation by David Wanetick of IncreMental Advantage… Read More »

IP Quality Must be a Key Feature in Any Financial Product Based on IP Assets

Neil Wilkof of the great IP Finance blog brought up a couple of interesting issues in his latest blog post entitled Securitization of IP: Urban Legend, or Playing Soon in a Theatre Near You? Specifically, he wonders if the desire for innovative (and not discredited) financial products today will result in the emergence of IP… Read More »

Proposal for a Reality-Based Methodology for Measurement of Corporate Intangible Asset Value

In recent years, financial analysts came to believe that intangible asset value forms an increasing aspect of overall corporate value. These experts generally agreed that intangible asset value made up at least 70 % of the total market cap of the average corporation, an increase of an estimated 20 % in 1975. Not surprisingly, however,… Read More »

Think Business Cannot Predict the Future? Patent Landscape Analytics May Prove You Wrong

Regular readers of the IP Asset Maximizer Blog will recognize my previous post which provided an illustration of the predictive nature of patent landscaping to improve business decisions using Cox Enterprise’s $300 Million acquisition of Adify as an example. I wanted to follow up on that post because a recent announcement by Yahoo may demonstrate… Read More »

Using Patent Landscaping Analytics to Improve the Quality of M & A Decisions: A Review of Cox Enterprises’ $300 Million Purchase of Adify

Many companies today enter new product or technology markets through acquisition. However, this is far from a sure-fire plan for business success. For example, in 2006, Inc.com reported that 60-70 % of acquisitions fail and more than 90 % of acquired businesses lose value. These somewhat dismal results leave no doubt that acquiring companies need… Read More »

The Problem with Patent Due Diligence in Mergers and Acquisitions and How to Fix It

As a business or investment professional involved in mergers and acquisitions (“M & A”), are you conducting patent due diligence according to the standard practices of your M & A attorneys and investment bankers? When patents form a significant aspect of the value of the transaction, you are probably getting incorrect advice about how to… Read More »