Recently, HGGC announced that it had completed the acquisition of RPX, a company that provides patent risk management services. This acquisition is a continuation of the expansion program that the company embarked on, and which has seen it sign significant deals with various companies. It comes at a time when there are many mergers and acquisitions, and therefore, you can see that they are trying to expand their base to stay ahead of the competition. With such additions, they will have access to even more markets, and that is one of the factors that will lead to revived growth.
More than 23,000 patents
Recent statistics showed that RPX had recently spent more than $2.5 billion to purchase more than 23,000 patents since its inception in 2008. It is such vibrancy that out it on the spotlight that later saw it become part of HGGC family. Looking at their performance, it is clear that they were one of the best targets for a company that is known for identifying the most viable companies to invest in. If you look at the most recent acquisitions, you will agree that they have something in common with RPX and therefore, HGGC still holds to its strategy.
The value of the purchase
According to the information for HGGC, the transaction was valued at $10.5 per share. This means that the total for the entire investment will be around $555 million. This is a huge figure, and it represents one of the biggest buyouts that the company has been involved in during the past few years. However, if you carefully look at the figures, you will agree that it was a good bargain especially when you consider the network that RPX enjoy and which will not be available to the new owners. It is a value that is likely to contribute to their success in the coming years.
HGCC also announced that after sealing this deal, they would be looking for more opportunities to expand their services. They said that their experts are always on the lookout for companies that share a common vision to their so that they can get into negotiations.