Welcome!

.NET Authors: Srinivasan Sundara Rajan, Adine Deford, Greg Ness, David Fletcher, Pat Romanski

News Feed Item

Look For Under Pressure DSS Stock To Get A Boost From New IP Leadership Following Corporate Merger Along With Improved Third Quarter Results

CHICAGO, Dec. 3, 2012 /PRNewswire/ - Lexington Technology Group Inc. (LTG) recently appointed veteran IP executive Jeff Ronaldi as chief executive officer of the company, as it prepares for a merger with Document Security Systems Inc. (NYSE MKT: DSS).  Ronaldi will continue as CEO following the merger.  Ronaldi, a former board advisor to Lexington, replaced Will Rosellini, who now assumes an advisor role to LTG's wholly owned subsidiary, Bascom Research, LLC.

Ronaldi has spent the last ten years specializing in monetizing patents.  Ronaldi brings expertise in leading successful patent lawsuits, including winning a $50 million verdict for Shelbyzyme against Genzyme and a $20 million willful infringement verdict versus Citrix Systems Inc. in 2012. He also managed a venture capital group for SPX Corp, in which he was behind a patent infringement lawsuit against Microsoft that resulted in a $62.3 million verdict, which later settled for $60 million. Prior to LTG, Ronaldi served as CEO of Turtle Bay Technologies, Ltd, a wholly owned subsidiary of Juridica Capital. There, he used his financial expertise to determine the value of different patent technologies.

"In many ways, leading Lexington is a perfect opportunity to leverage the two phases of my career: leading technology startups and monetizing IP," Ronaldi stated about his appointment. "One of the things that attracted me to Lexington is the quality of the portfolio. I've been monetizing patents for more than 10 years and I've had a lot of success. I expect this portfolio to be every bit as successful as any of the others I've managed."

Also, DSS has promoted Robert Bzdick to acting CEO. Bzdick , DSS's current President and Chief Operating Officer, brings an extensive background in managing manufacturing operations. He will assume this role until the merger of the two companies become finalized, projected for the in the first half of 2013.

While LTG owns intellectual property assets, DSS specializes in anticounterfeit, authenticication, and mass-serialization technologies.  Its technologies are designed to determine the authenticity of different products in various forums. This combination will help strengthen DSS's intellectual property portfolio and potentially enhance its revenue through the monetization of the combined company's intellectual property assets.  If the merger closes, LTG will bringing over $7 to $10 million in debt free cash to DSS.

Bascom Research
LTG acquired patent assets from Thomas L. Bascom, president of LinkSpace, LLC. LTG and Linksys are currently collaborating, through Bascom Research, to pursue research and development of radio frequency identification (RFID) software for use in the electronic health records space.  Bascom Research hopes to increase the safety of patents in hospitals through utilizing its assets with LinkSpace's enterprise-level software framework and DSS's digital security.

Bascom Research also owns several patents regarding the means for companies to utilize social media. For the most part, Bascom Research is enforcing these patents by suing major social media platforms for patent infringement. Bascom Research could bring hundreds of millions of dollars to the new combined LTG/DSS entity if it can win any of its lawsuits filed against five companies, including Facebook (FB), LinkedIn (LNKD), and Jive Software (JIVE), which are pending in federal court for the Eastern District of Virgina.  For its claims against Facebook, Bascom is seeking past damages dating back to 2006. Since that time, the social media giant has generated $7.38 billion, so a potential damages award could be massive.  A hearing is scheduled for December 7,  2012 to determine whether the case will remain before the "rocket docket" in Virginia or be moved elsewhere.

DSS 3rd Quarter Results
DSS reported several improvements in its Q3 results including a 15% revenue jump from Q3 of 2011. Year-to-date, total revenue is $11.7 million, which is a 27% increase from 2011 and put ths company on pace for its strongest year.

Increased sales in the packaging division led the way for DSS, rising 39% during the quarter. Licensing and digital sales also increased by 13% from the prior quarter. Overall, for the first nine months of 2012, packaging sales are up by 54% from the first nine month of 2011 and licensing and digital sales have increased 27%.

DSS also made strides in its gross profit performance during Q3, which saw gross profit increase by 20% from Q3 2011. This resulted in gross profits reaching $1.52 million for the quarter. DSS has made efforts to streamline operating costs and focus its attention on sales efforts with higher margin opportunities. These decisions have paid off for DSS mainly in its printing division, where gross profit for the year to date has increased by 149%.

When measuring performance using adjusted EBITDA, the third quarter reflected a 7% improvement over adjusted EBITDA of Q3 of 2011.

These results seem to be promising for DSS, as it has an opportunity to build on its 3rd quarter momentum in the fourth quarter, which has historically been the company's strongest.

DSS's former CEO Patrick White stated, "We are very pleased with our third quarter results, where we saw strength in all of our business divisions.  As we enter the final quarter of 2012, we expect to continue to build upon our revenue and gross profit growth that allowed us to reach the important financial milestone of positive adjusted EBITDA in the month of September."

DSS stock last traded at $2.70 with a market capitalization of $58.6 million. Over the last year, the company has traded between $2.26 and $5.12 per share.

SOURCE Lexington Technology Group Inc.

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
The Internet of Things is not new. Historically, smart businesses have used its basic concept of leveraging data to drive better decision making and have capitalized on those insights to realize additional revenue opportunities. So, what has changed to make the Internet of Things one of the hottest topics in tech? In his session at @ThingsExpo, Chris Gray, Director, Embedded and Internet of Things, discussed the underlying factors that are driving the economics of intelligent systems. Discover how hardware commoditization, the ubiquitous nature of connectivity, and the emergence of Big Data a...
"BSQUARE is in the business of selling software solutions for smart connected devices. It's obvious that IoT has moved from being a technology to being a fundamental part of business, and in the last 18 months people have said let's figure out how to do it and let's put some focus on it, " explained Dave Wagstaff, VP & Chief Architect, at BSQUARE Corporation, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
The major cloud platforms defy a simple, side-by-side analysis. Each of the major IaaS public-cloud platforms offers their own unique strengths and functionality. Options for on-site private cloud are diverse as well, and must be designed and deployed while taking existing legacy architecture and infrastructure into account. Then the reality is that most enterprises are embarking on a hybrid cloud strategy and programs. In this Power Panel at 15th Cloud Expo (http://www.CloudComputingExpo.com), moderated by Ashar Baig, Research Director, Cloud, at Gigaom Research, Nate Gordon, Director of T...
SYS-CON Events announced today that IDenticard will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. IDenticard™ is the security division of Brady Corp (NYSE: BRC), a $1.5 billion manufacturer of identification products. We have small-company values with the strength and stability of a major corporation. IDenticard offers local sales, support and service to our customers across the United States and Canada. Our partner network encompasses some 300 of the world's leading systems integrators and security s...
SYS-CON Events announced today that Windstream, a leading provider of advanced network and cloud communications, has been named “Silver Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9–11, 2015, at the Javits Center in New York, NY. Windstream (Nasdaq: WIN), a FORTUNE 500 and S&P 500 company, is a leading provider of advanced network communications, including cloud computing and managed services, to businesses nationwide. The company also offers broadband, phone and digital TV services to consumers primarily in rural areas.

ARMONK, N.Y., Nov. 20, 2014 /PRNewswire/ --  IBM (NYSE: IBM) today announced that it is bringing a greater level of control, security and flexibility to cloud-based application development and delivery with a single-tenant version of Bluemix, IBM's platform-as-a-service. The new platform enables developers to build ap...

The BPM world is going through some evolution or changes where traditional business process management solutions really have nowhere to go in terms of development of the road map. In this demo at 15th Cloud Expo, Kyle Hansen, Director of Professional Services at AgilePoint, shows AgilePoint’s unique approach to dealing with this market circumstance by developing a rapid application composition or development framework.
“In the past year we've seen a lot of stabilization of WebRTC. You can now use it in production with a far greater degree of certainty. A lot of the real developments in the past year have been in things like the data channel, which will enable a whole new type of application," explained Peter Dunkley, Technical Director at Acision, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
DevOps Summit 2015 New York, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that it is now accepting Keynote Proposals. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long development cycles that produce software that is obsolete at launch. DevOps may be disruptive, but it is essential.
"People are a lot more knowledgeable about APIs now. There are two types of people who work with APIs - IT people who want to use APIs for something internal and the product managers who want to do something outside APIs for people to connect to them," explained Roberto Medrano, Executive Vice President at SOA Software, in this SYS-CON.tv interview at Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Nigeria has the largest economy in Africa, at more than US$500 billion, and ranks 23rd in the world. A recent re-evaluation of Nigeria's true economic size doubled the previous estimate, and brought it well ahead of South Africa, which is a member (unlike Nigeria) of the G20 club for political as well as economic reasons. Nigeria's economy can be said to be quite diverse from one point of view, but heavily dependent on oil and gas at the same time. Oil and natural gas account for about 15% of Nigera's overall economy, but traditionally represent more than 90% of the country's exports and as...
The Internet of Things is a misnomer. That implies that everything is on the Internet, and that simply should not be - especially for things that are blurring the line between medical devices that stimulate like a pacemaker and quantified self-sensors like a pedometer or pulse tracker. The mesh of things that we manage must be segmented into zones of trust for sensing data, transmitting data, receiving command and control administrative changes, and peer-to-peer mesh messaging. In his session at @ThingsExpo, Ryan Bagnulo, Solution Architect / Software Engineer at SOA Software, focused on desi...
"At our booth we are showing how to provide trust in the Internet of Things. Trust is where everything starts to become secure and trustworthy. Now with the scaling of the Internet of Things it becomes an interesting question – I've heard numbers from 200 billion devices next year up to a trillion in the next 10 to 15 years," explained Johannes Lintzen, Vice President of Sales at Utimaco, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
"For over 25 years we have been working with a lot of enterprise customers and we have seen how companies create applications. And now that we have moved to cloud computing, mobile, social and the Internet of Things, we see that the market needs a new way of creating applications," stated Jesse Shiah, CEO, President and Co-Founder of AgilePoint Inc., in this SYS-CON.tv interview at 15th Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
SYS-CON Events announced today that Gridstore™, the leader in hyper-converged infrastructure purpose-built to optimize Microsoft workloads, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Gridstore™ is the leader in hyper-converged infrastructure purpose-built for Microsoft workloads and designed to accelerate applications in virtualized environments. Gridstore’s hyper-converged infrastructure is the industry’s first all flash version of HyperConverged Appliances that include both compute and storag...
Today’s enterprise is being driven by disruptive competitive and human capital requirements to provide enterprise application access through not only desktops, but also mobile devices. To retrofit existing programs across all these devices using traditional programming methods is very costly and time consuming – often prohibitively so. In his session at @ThingsExpo, Jesse Shiah, CEO, President, and Co-Founder of AgilePoint Inc., discussed how you can create applications that run on all mobile devices as well as laptops and desktops using a visual drag-and-drop application – and eForms-buildi...
We certainly live in interesting technological times. And no more interesting than the current competing IoT standards for connectivity. Various standards bodies, approaches, and ecosystems are vying for mindshare and positioning for a competitive edge. It is clear that when the dust settles, we will have new protocols, evolved protocols, that will change the way we interact with devices and infrastructure. We will also have evolved web protocols, like HTTP/2, that will be changing the very core of our infrastructures. At the same time, we have old approaches made new again like micro-services...
Code Halos - aka "digital fingerprints" - are the key organizing principle to understand a) how dumb things become smart and b) how to monetize this dynamic. In his session at @ThingsExpo, Robert Brown, AVP, Center for the Future of Work at Cognizant Technology Solutions, outlined research, analysis and recommendations from his recently published book on this phenomena on the way leading edge organizations like GE and Disney are unlocking the Internet of Things opportunity and what steps your organization should be taking to position itself for the next platform of digital competition.
The 3rd International Internet of @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that its Call for Papers is now open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
As the Internet of Things unfolds, mobile and wearable devices are blurring the line between physical and digital, integrating ever more closely with our interests, our routines, our daily lives. Contextual computing and smart, sensor-equipped spaces bring the potential to walk through a world that recognizes us and responds accordingly. We become continuous transmitters and receivers of data. In his session at @ThingsExpo, Andrew Bolwell, Director of Innovation for HP's Printing and Personal Systems Group, discussed how key attributes of mobile technology – touch input, sensors, social, and ...