Sterling Set To Gain Nokia, Microsoft Patents Through Mosaid Deal?

Recently, a private equity firm signed an agreement to buy Mosaid Technologies for C$ 590 million. Mosaid Technologies which happens to be an Ottawa-based target company, already entered into a deal with Nokia and Microsoft to acquire a bunch of core wireless patents. Now reports have emerged that those patents have also been included as a part of the recent agreement signed by the company with the private equity firm.

In the deal with Nokia and Microsoft Mosaid Technologies acquired almost 2,000 patents and this deal was closed in the month of September, this year. This deal was closed few weeks before Wi-Lan Inc. proposed a C$ 532 million bid, which the licensing company declared as too low.

On late Thursday the U.S. based private equity firm, Mosaid and Sterling Partners announced the takeover deal at C$46 per share.

This difference in the bidding amount Mosaid said that Wi-Lan's offer did not do justice to the value of the Nokia-Microsoft patents and also clarified that this agreement is not intended to block the bid by Wi-Lan and it has been worked upon for quite a few months.

The only complication that resulted from the agreement is that now to acquire Mosaid, approval from Nokia and Microsoft is must for the private equity firm. The reason behind this complication is that the takeover will eventually result in the change of ownership of the patents in question.