Professional Documents
Culture Documents
“Intellectual Capital Equity represents the largest class of financial assets. At Ocean Tomo we
have an experienced appreciation for the contribution of intellectual capital to the growth of any
business. Our experience and network provides the firm and its clients with first-look
opportunities and priority positioning as a strategic partner in any merger or acquisition. Our
work is grounded in the firm’s broad perspective as an Intellectual Capital Merchant Banc.”
JAMES E. MALACKOWSKI
PRESIDENT & CEO
Ocean Tomo is an integrated intellectual capital merchant
banc providing:
Expert Services including Financial Testimony and
Surveys
Valuation opinions including Appraisals, Patent
Analytics and Patent Ratings
Asset Management services including Private Capital,
Public Equities and Patent Sale/License-Back
Risk Management
Corporate Finance including Merger and Acquisition
Advisory and Patent Auctions
Our goal is to assist our clients - corporations, law firms,
governments and institutional investors - in realizing
value from their Intellectual Capital Equity broadly
defined.
Whether faced with "bet-the-company" litigation or a
critical transaction, our professionals are world-class
innovators providing solutions to our clients' needs. Our
comprehensive range of products and services is unique
and built upon a focused attention to intangible assets.
Our offices are located in Chicago (headquarters), San
Francisco, Washington DC Metro, Greenwich, Orange
County and Palm Beach.
In the United States intangible assets represent the largest component of public market value with traditional
intellectual property accounting for the vast majority of this asset class. Recent and anticipated changes in accounting
rules and securities reporting will further increase the recognition of these assets. In fact, value growth of Intellectual
Capital Equity is both visible and quantifiable by noting the intangible vs. tangible value shift of the S&P 500 over the
past 30 years.
At Ocean Tomo, we believe that intellectual property represents asset value that is often overlooked in traditional
transactions. Through the use of our unique platform of services, we identify the intrinsic buy or sell-side value of
intellectual property for the benefit of our clients. We at Ocean Tomo have substantial experience in both evaluating
new and existing technologies as well as advising clients seeking strategic, value-enhancing opportunities for their
intellectual property.
2
Components of S&P 500® Market Value
100%
20.3%
31.6%
80%
67.6%
60% 83.2%
79.7%
40%
68.4%
20% 32.4%
16.8%
0%
1975 1985 1995 2005
Corporate Finance
M&A Advisory
Valuation Group
Distressed
M&A Advisory
Solutions
4
VALUE DRIVEN PROCESS
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INTELLECTUAL CAPITAL EQUITY
6
CREATING SYNERGIES
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INTELLECTUAL CAPITAL EQUITY
8
NAVIGATING M&A CHALLENGES
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INTELLECTUAL CAPITAL EQUITY
Sale Alternatives - Assess whether there is an ability to sell discrete intellectual property assets in an efficient
market clearing manner;
Licensing Alternatives to Sale - Assess whether there is an ability to license discrete intellectual property assets
outside of core markets in a non-assertive manner in an effort to generate additional high margin licensing
revenue;
Other Financing Options - Assess whether a company's IP portfolio provides any non-traditional financing
alternatives, including securitization of royalty streams;
Strategic Asset Acquisitions - Assess whether the company has the option to acquire intellectual property assets
that strategically complement or enhance its competitive position. For instance, a company could purchase or
license patents from inventors or universities that are not currently commercializing those patents;
Software License and Platform Monetization – Assess whether internal software platforms and applications
developed by a company can be utilized to realize value. Also assess whether third-party software licenses no
longer required by a company can be monetized.
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REALIZING THE VALUE
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INTELLECTUAL CAPITAL EQUITY
Our Distressed M&A Advisory Service professionals support clients by combining the following services with the
services to be provided in traditional M&A Advisory Services:
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PROVIDING A HELPING HAND
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INTELLECTUAL CAPITAL EQUITY
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MEASURE THE WORTH
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INTELLECTUAL CAPITAL EQUITY
Ocean Tomo represented Commerce One, a bankrupt software and web services company, in a 363
sale process of Web Services patents and software businesses and, utilizing a structured license
agreement, generated $15.5mm in incremental value from the patent portfolio increasing the overall
value of the transaction to $19.6M.
Ocean Tomo represented bankrupt companies Breuners Home Furnishings, Huffman Koos,
Wayside and Goods Furniture to inventory and conduct an orderly liquidation of intangible assets,
including trademarks and service marks, trade secrets, proprietary software systems, third party
software license and digital content.
Ocean Tomo represented Limited Brands, Inc., in the sale of the Structure® trademark to Sears
Roebuck and Co. for use as an exclusive, in-house clothing brand.
Ocean Tomo represented Genex Technologies, Inc., in the sale of its three-dimensional, imaging
technology to Markland Technologies, Inc., a German strategic buyer who recognized the value
inherent in the seller’s intellectual property.
Ocean Tomo represented this company in a confidential sale of three issued/pending patents
covering ISP-to-ISP data migration, its only saleable assets, to an acquirer with a complementary
intellectual property portfolio.
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PROVEN SUCCESS 17
INTELLECTUAL CAPITAL EQUITY
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THE WINNING MOVE
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INTELLECTUAL CAPITAL EQUITY
Nathan D. Cann is a Director in the firm’s Corporate Finance Group, in the Chicago headquarters. Mr. Cann began his professional career with KPMG
Peat Marwick as an auditor before being asked to join the corporate services division of Deloitte & Touche where he specialized in mergers and
acquisitions, corporate recovery and restructurings.
Mr. Cann also founded a consulting practice assisting underperforming companies become market leaders and then assisting them with restructuring to
capitalize on the improved management techniques that had been implemented. Clients were in the transport, waste management, high technology and
wine-making industries. One of these clients diversified into investment banking and Mr. Cann was instrumental in conducting prospect identification,
purchase evaluation, assisting in financing, changes in business practices of successful purchases and the divestiture of companies from the portfolio.
In 1998, Mr. Cann joined Development Specialists, Inc., one of the world’s leading turnaround firms. At DSI, Mr. Cann worked in bankruptcy,
restructuring and interim management positions with clients that included Mercury Finance, Commercial Financial Services, AgriBioTech, Wallace’s
Bookstores, Gingiss Formalwear (including Gary’s Tuxedos) and AmeriKing. In addition to being a member of the American Bankruptcy Institute and
the Turnaround Management Association, Mr. Cann is currently completing the requirements to become a Certified Public Accountant in the State of
Illinois. He has an undergraduate degree in business with a major in public accounting and a Master of Business from the University of Notre Dame
Australia.
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DEDICATED INSIGHT
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“We are uniquely positioned, through our experienced professionals and our proprietary
resources to assist in realizing value in M&A transactions with significant Intellectual
Property assets.”
FREDERIC D. FLOBERG
MANAGING DIRECTOR
WWW.OCEANTOMO.COM