Kodak has announced that it has sold its portfolio of digital imaging patents to two groups led separately by Apple and Google. The selling price: $525 million.
A total of 12 intellectual property licensees including Apple and Google were organized by Intellectual Ventures and RPX Corporation. Per the terms of the deal, each licensee will receive rights with respect to Kodak’s digital imaging patent portfolio and other intellectual property.
Apple and Microsoft were behind the Intellectual Ventures bid, while RPX Corporation had the backing of Google, LG and HTC. Other licensees included in the final deal are Samsung, Facebook, Adobe, and Amazon.
The sale is one of the key factors in Kodak’s attempt to restructure itself as it emerges from Chapter 11 bankruptcy. Kodak has said it expects to emerge in the second half of 2013.
“This monetization of patents is another major milestone toward successful emergence,” said Kodak Chief Executive Antonio M. Perez. “Our progress has accelerated over the past several weeks as we prepare to emerge as a strong, sustainable company.”
While the final sale price is far below the $2.6 billion that Kodak initially valued the patents at, it is more than double what the initial bids were said to be, around $250 million.
The $793 million loan package Kodak is pinning its restructuring hopes on required that the company receive at least $500 million for its patent portfolio.
Kodak plans to focus on commercial imaging as part of its new look. The company was once a leader in consumer photography products.