Xperix, Korea's First NPE Intellectual Discovery Acquisition

Xperix (CEO Yoon Sang-chul) announced on the 7th that it will acquire Intellectual Discovery, Korea's first patent management specialized company (NPE).

The company signed a contract to purchase 30% of the existing largest shareholder's stake for 27.1 billion KRW, through which Xperix is expected to secure the position of the largest shareholder and management rights.

Intellectual Discovery was established in 2010 with the primary purpose of IP monetization business including intellectual property discovery, purchase, sale, licensing, and IP consulting. Its main sources of revenue include sales profits from intangible assets (patent rights), related licensing fees, and asset management related to patent rights, making it a comprehensive patent management specialized business operator (NPE). Currently, it holds IP in major technology fields such as telecommunications, semiconductors, and software, and is conducting projects such as IP trading and IP licensing.

The IP trading and IP licensing market is estimated to be worth over 300 trillion KRW, with the IP trading market size around 36 trillion KRW, reportedly growing rapidly every year. As the industry grows, the importance of IP is gradually increasing, and along with this, IP financial investment to promote IP utilization is also on the rise.

In this environment, since its establishment, the company has secured over 1,300 IPs through steady investment and has achieved numerous business results through specialized IP personnel and management systems. Since 2015, the average internal rate of return (IRR) for IP projects has been over 25%.

Yoon Sang-chul, CEO of Xperix, explained, "Patent management specialized companies are still unfamiliar in Korea, but they are already active in Western countries, and many leading domestic companies are facing difficulties in responding to numerous lawsuits." He added, "Because of this, NPEs are often regarded as patent trolls and viewed with caution, but conversely, the perception that IP is a property that must be protected is also growing."

He continued, "Most domestic companies without experience are unable to respond to incursions by global companies. Furthermore, as the importance of AI and software increases, we decided on this acquisition expecting greater growth in IP consulting and licensing fields based on the experience and achievements Intellectual Discovery has built over the past decade."