MIPS AB (publ): MIPS acquires patent rights and the brand FLUID
MIPS, the world leader in brain protection systems within helmet-based safety, has today entered into an acquisition agreement for assets that further enhances MIPS' product offering and safety solutions. The acquisition comprises the brand FLUID and related patent rights associated with a technology that addresses both linear and rotational motions to improve helmet protection. The acquired technology has been developed through a collaboration between Oblique Technology L.P. and the University of Ottawa in Canada, which are also the sellers in the transaction. The technology has so far been primarily integrated in helmets used in team sports. The acquisition also includes a limited number of customer agreements.
The purchase price amounts to approximately USD 3.3 million payable in cash. In addition, an earn-out of a maximum of USD 2 million may become payable based on future net revenues from the acquired rights. The closing took place in immediate connection with the signing of the agreement.
A broadening of MIPS' patent rights is a strategically important step to strengthen MIPS' total patent protection. The acquisition, however, is not expected to have any material impact on net sales or EBIT for MIPS during 2019.
"The acquisition is primarily part of our strategic plan to increase our patent protection and is an acknowledgment of our position as the world leader in brain protection systems within helmet-based safety. We are also very enthusiastic about strengthening our relationship with University of Ottawa and to further increase our knowledge within team sports", says Max Strandwitz, CEO of MIPS.
This information is such that MIPS AB (publ) is obliged to disclose in accordance with the EU's Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out below, on 21 May 2019 at 4.15 p.m. CET.
FOR MORE INFORMATION, PLEASE CONTACT:
MAX STRANDWITZ, PRESIDENT AND CEO
tel +46 70 961 17 54
MIPS is a world-leader in helmet-based safety and the protection of the human brain. Based on an ingredient brand business-model, MIPS Brain Protection System (BPS) is sold to the global helmet industry. The BPS solution, which is patented in all relevant markets, is based on 20 years of research and development together with the Royal Institute of Technology and the Karolinska Institute, both located in Stockholm, Sweden. MIPS headquarter with 29 employees engaged in research and development, sales, marketing and administration is in Stockholm, where its product and technology test facility also is located. The MIPS share is listed on Nasdaq Stockholm. For more information: www.mipscorp.com