#Tessera stock full
#Tessera stock license

Richard Chernicoff, president of Tessera Intellectual Property CorpĪs previously announced, we intend to seek an amount in excess of $125 million in connection with the ICC's interim award. But Tessera expects to get at least $125MM, $2.5 per share.

#Tessera stock license

Tessera terminated Amkor's patent license agreement in 2011.

#Tessera stock full

Tessera accused AMKOR of failing to pay Tessera full royalties on products Amkor sold. Tessera and AMKOR had a patent license agreement. There's also a catalyst with AMKOR final arbitration. Tessera recently won a claim against Spansion, adding $24MM more or $0.5 per share. I think the risk of downside is quite limited: Tessera has $465MM in cash & equivalents, almost $9 per share. My valuation is based on an adjusted net assets value.Ĭash and equivalents, accounts receivable, deferred taxes If the spin-off does not occur by March 31, 2015, then the stock option will expire on such date. If the stock option so vests, then the option will remain exercisable until March 31, 2016. The stock option will vest and become exercisable as to 100% of the shares subject thereto on the date of completion of a spin-off by the Company of a business segment More, the CEO is now incentivized, with a bunch 550,000 options ($14 exercise price) in case of spin-off until March 2015: It is clearly written in the last 10-K:įor example, in April 2011, we announced that we are exploring a possible separation of our DigitalOptics business. The management studies the possibilities of a spin-off of Digital Optics. DOC hence represents 20% of sales and an operating loss of $100MM in 2011. The market is expected to be important, but it is not accretive yet. DOC is finalizing a brand new camera module based on an MEMS autofocus actuator.

Digital Optics (DOC), which provides camera modules for mobile devices.

It represents 80% of sales and an average 70% operating margin.

Intellectual Property (IP), which manages a portfolio of semiconductor patents (chips, memories, xFD…).

Tessera Technologies is divided into two segments: I recently made a comment about my assumptions of valuation in Todd Johnson's article about Tessera Technologies (TSRA).įollowing a detailed analysis, I think Tessera is worth around $1400MM - $26/27 per share, including a free call option: Digital Optics Segment.