For the first time, a patent owner was able to leverage its own invention, and combine its value with similar innovators, and as a result, expects to realize substantially higher risk adjusted returns on their investments.
Alexandria, VA (PRWEB) June 14, 2011
Today, Digitude Innovations LLC announced the completion of its first PAVERs™ transaction. PAVERs -- Patent Aggregation Value Enhancing Rights -- are a new method for patent owners to acquire equity in Digitude’s aggregated portfolio of high value patents. Earlier this year, Digitude introduced its innovative patent monetization model where Digitude acquires, aggregates, and licenses key technology relating to consumer electronics and communication services. .
In this transaction, the seller contributed IP assets to Digitude and received an economic interest in Digitude’s aggregated portfolio, providing the seller with a pro-rata share of the aggregated portfolio’s returns based upon the value of the assets contributed. The seller was able to access a larger pool of combined assets, accessing a critical mass of IP for more effective monetization and a diversification of their holdings.
“For the first time, a patent owner was able to leverage its own invention, and combine its value with similar innovators, and as a result, expects to realize substantially higher risk adjusted returns on their investments ” said Robert Kramer, Chairman of Digitude Innovations and Managing Partner of Altitude Capital Partners. “We were agnostic as to the seller’s choice of receiving cash or PAVERs in return for the sale of their IP assets. We believe this approach is a valuable new addition to a seller’s monetization options and should allow this seller and future sellers to realize multiples on their contributed capital -- identical to what our institutional investors expect to achieve.”
About Digitude Innovations
Digitude Innovations is an Altitude Capital Partner’s portfolio company. As part of a highly targeted acquisition program, Digitude has aggregated more than 500 patents containing technology indispensible to a wide variety of consumer electronics and communication products and services Digitude’s mission is to (i) continue to build its patent portfolio through transactions with inventors, operating companies and owners of important IP and (ii) license its high value portfolio to industry leaders.
About Altitude Capital Partners
Altitude Capital Partners is one of the leading private investors in patent based intellectual property and one of the premier advisors to clients seeking IP Asset Management Services. Altitude has a distinguished track record of innovative transactions and superior returns on invested assets. Altitude’s business is focused on making direct investments in patent related intellectual property through our portfolio companies and in building relationships with partners and clients who own important IP assets in the areas of consumer electronics, communications technology, internet search and computer networking