What is the estimate of the 1500+ patents worth? Also, don't forget that NXP has over 100m shares from the merger, something does not ad up to have this massive sell off, as one mentioned they have no debt obligations to pay so BK would do them nothing at this current time, I say strategic options looks like a merger is being discussed.
After I sold a third of my shares today at $0.52, you offered to buy the rest of my shares at that same price. Is your offer still valid? : )
With regard strategic options and the value of the company's patents, one strategic option would be liquidation, in which the company closes its doors, lays off its employees, sells its patents, and sells the remainder of its real estate. After paying severance costs for employees, the company might have a small amount of cash left over to distribute to shareholders (a few pennies per share, perhaps). If the company decides to liquidate, it will probably have to do so pretty soon before cash burn makes it impossible. I'm not convinced that the patents would fetch a whole lot of money in a situation like this.
However, the press release stated that the company wants to pursue an option that will enable it to get design wins. This implies that they're not yet considering liquidation. I don't know what options they're talking about, because I haven't listened to the conference call yet.
i've been long, but this was horrible. cc was a joke. hardly any questions since the only ones worth asking were about "strategic alternatives" and they weren't going to discuss.
equity raise (allowed by NXP agreement?) or debt to keep them going until macro environment (and TV sales) pick back up. if they can hold onto some market share until then. or they get acquired. or they fade away...
NXP's 104M shares are locked up until around 08 Feb 2012. who knows what their plans are.
on the patents, previous reports were 2000+
"Trident fires opening salvo on frame rate conversion patents"