RPX ‘explores potential sale’ – report

Patent risk management company RPX Corporation is exploring a sale as part of a review of its options, according to a Reuters report citing “people familiar with the matter.”

The speculation comes about one year after RPX CEO John Amster stepped down when he failed to convince the board to allow the company to be taken private.

Amster was succeeded as CEO by the company’s general counsel Martin Roberts.

Reuters reported that RPX has now hired an investment bank to run a sale process for the company, which has attracted interest from private equity firms.

There is no certainty that RPX will agree to any deal, the sources added.

RPX did not respond to a request for comment.

RPX shares rose as much as 11% on the news. The company has a current market capitalization of roughly $650 million.

Companies concerned about the potential cost of patent litigation pay subscription fees to join RPX’s network, which can protect them from lawsuits. RPX also provides patent litigation insurance and market intelligence on patents.

Based in San Francisco, RPX is one of the largest buyers of patents, having spent more than $3.5 billion to buy more than 18,500 patent assets to date, Reuters reported.

Last month, amid speculation of an $800 million takeover offer for RPX Corporation, RPX said its chief revenue officer Steve Swank and chief strategy officer Bob Heath were leaving RPX.

Trade publication IAM had reported that RPX has been the subject of a recent takeover offer from a private consortium which valued the defensive aggregator at $16.25 per share or roughly $800 million, citing two sources “with knowledge of the offer.”