Forgent Announces Patent Sale
AUSTIN, TX, Nov 30, 2006 (MARKET WIRE via COMTEX News Network) -- Forgent Networks (NASDAQ: FORG) announced today it sold certain patents along with certain related goodwill, rights and documentation to Tandberg Telecom AS. In exchange for the purchased assets, Forgent has received $3,150,000, of which $250,000 will be held in escrow for a period of 2 years. The intellectual property assigned in this sale does not include U. S. Patent No 6,285,746 (the '746 Patent), which Forgent is asserting in the U.S. District Court for the Eastern District of Texas.
"We're pleased to have generated over $0.11 per share in cash proceeds from these previously unvalued off balance sheet assets. This sale is consistent with our strategy of continuing to maximize the value of Forgent's intellectual property, which includes a rigorous defense of our '746 Patent set for trial in 2007," said Richard Snyder, chairman and CEO of Forgent.
Forgent Networks (NASDAQ: FORG) develops and licenses intellectual property and provides scheduling and asset management software to a wide variety of organizations. Forgent's intellectual property licensing program is related to communication technologies developed from a diverse and growing patent portfolio. Forgent's software division, NetSimplicity, develops software that simplifies day-to-day office administration tasks. The products are specifically designed for the management and scheduling of rooms, equipment, assets and resources. For additional information please visit www.forgent.com.
This release may include projections and other forward-looking statements that involve a number of risks and uncertainties, and actual results in future periods may differ materially from those currently expected. Some of the factors that could cause actual results to differ materially include changes in the general economy or in our industry, rapid changes in technology; sales cycle and product implementations; risks associated with transitioning to a new business model and the subsequent limited operating history; the possibility of new entrants into our software markets, the possibility that the market for the sale of certain software and services may not develop as expected; or that development of these software and services may not proceed as planned; the risks associated with the company's license program, and including risks of litigation involving intellectual property, patents and trademarks. Additional discussion of these and other risk factors affecting the company's business and prospects is contained in the company's periodic filings with the SEC.
SOURCE: Forgent Networks