Investment support and strategic roadmap

The due diligence process characterizing market transactions can be a stressful and time consuming analysis for investors and investment funds. One of our first aims, when introduced to this client, was to assess the internal understanding of IP and IP related processed – held both by them and the target company.

By building on existing knowledge, using the existing network of lawyers/patent attorneys and taking into consideration the characteristics of the acquisition at hand we were able to suggest an action plan that suited the client in terms of costs, time contains, key issues and goals. This initial assessment, resulted in a prioritized list of actions that was introduced in the client’s specific site on Nucleus (please see Strategic Review case for more details).

Here is an example of just four of the action items designed for our client:

• Identification and assessment the IP position of the target company. We looked at all IP assets and conducted a preliminary analysis taking into consideration:  geographical coverage, years till expiration date, maintenance/renewal fees payments, and filing and prosecution strategies.
• Analysing freedom to operate and non-infringement aspects. This action item was set in place to raise management’s awareness of IP related opportunities or/and threats and how to handle them. Our team worked together with the fund and its existing network of lawyers/patent attorneys to find practical ways to approach the issue in this specific case and set in place a process that will help in future activities.
• Identification of the IP uniqueness carried by the acquisition. After the completion of the review it became obvious that this was an important issue for the management of the fund. We therefore analysed the inherent value of the IP and IA held by the target company compared to the industry landscape.  Both the individual and combined power of the distinctive types of IP were taken into consideration and guidelines were created on how to approach this issue in the future.
• IP strength assessment. While strength assessments use relative valuation methods the analysis was deemed important since it pointed out the strength/weakness of the target company and certain areas which needed to be developed in the future.  The evaluation also showed how relevant the IP portfolio was in itself for the development of the business in the industry context.
• A set of guidelines and procedures for the target company’s future approach to IP.

Our efforts to identify if the deal is unique form an IP perspective and set in place processes that will support the company in the future have proven to be of great value to our client.  Upon completion of the due diligence we have continued to support as needed.

For more detailed information please do not hesitate to contact us.