OTTAWA, Canada – July 3, 2007 –
Wi-LAN Inc. (“Wi-LAN”, or the “Company”) (TSX: WIN) announced today that it has completed the acquisition of Tri-Vision International (“Tri-Vision”) (TSX: TVL). In the all-share purchase, Wi-LAN issued approximately 17.6 million Wi-LAN common shares and assumed
Tri-Vision warrants exercisable for approximately 530 thousand Wi-LAN common shares.
Over 90% of Tri-Vision’s shareholders voted in favour of the transaction at a special meeting of
Tri-Vision shareholders held in Toronto on June 28. This follows definitive agreements for the business combination signed between the two companies on May 11, 2007.
With the acquisition, Wi-LAN now owns critical patents relating to the V-chip technology, the only solution to parental controls that the U.S. Federal Communications Commission has mandated be built into all digital TV receivers, set-top boxes, VCRs and digital video recorders sold or used in the United States effective March 2007. Wi-LAN’s balance sheet will also be strengthened by the addition of approximately $6M of cash and short-term investments held by Tri-Vision.
“Closing this deal represents a very exciting development for Wi-LAN and our shareholders,” said Jim Skippen, Wi-LAN President & CEO. “It cements our position as the leading Canadian technology licensing company. It gives us access to the high-growth V-chip market and offers significant licensing opportunities given the synergies between our licensees. It also expands Wi-LAN’s war chest to over $100 million to pursue other acquisition opportunities and to handle multiple litigations.”
“This merger was a key part of our “go big strategy” to maximize the value of our patents,” added Tim Collings, Chairman of Tri-Vision International and inventor of the V-chip . “We are excited that former Tri-Vision shareholders will now benefit from Wi-LAN’s extensive licensing expertise, broad and diversified portfolio and solid financial resources to assert our patents, especially against the major players supplying the U.S. market.”
Wi-LAN intends to seek buyers for Tri-Vision’s cable television products and distribution. About Wi-LAN Inc.
Wi-LAN, which was founded in 1992, licenses intellectual property that drives a full range of products providing access in the communications and consumer electronics markets. Some of the fundamental technologies covered by Wi-LAN’s patents include: CDMA, DSL, DOCSIS,
V-chip, Wi-Fi and WiMAX. Wi-LAN has already licensed its intellectual property to a number of companies, including Cisco, Fujitsu, March Networks and Nokia.