InterDigital Takes Minority Stake in Korean Handset Manufacturer

­InterDigital says that it has signed a patent licensing deal with South Koran handset manufacturer, Pantech and also taken a minority equity interest in the company.

"This new patent license agreement continues to expand InterDigital's licensing coverage in 2G, 3G, and beyond," commented Lawrence Shay, President of InterDigital's patent holding subsidiaries. "The inclusion of LTE and other emerging wireless technologies such as WiMax and WiBro illustrates the breadth of our technology portfolio and positions Pantech as a growth-oriented and forward-looking company. We are very pleased with this new relationship and our investment reflects our belief that Pantech will capitalize on the growth opportunities in the global wireless markets by leveraging our technologies."

The aggregate license fees and any other royalties resulting from the agreement are payable in installments over the life of the agreement.

Last month, Qualcomm converted debt owed to it by Pantech into a stake in the company. Qualcomm said that the time that it would hold no more than 15 percent of the outstanding common shares of each company and will be a passive investor with no participation on the board or management of the companies.

Posted to the site on 21st September 2009