Shares in litigation funder Burford Capital jumped more than 9% today as a result of Apple’s $5.7 billion verdict over Taptic Engine patent infringement. Here are the details.
Apple verdict lifts litigation funder valuation
Last Friday, a US jury ruled that Apple’s Taptic Engine infringes on two patents held by California-based company Taction Technology.
Apple introduced the Taptic Engine in September 2014 with the first Apple Watch, and the technology has since expanded to other products, including the iPhone, where it provides haptic feedback for notifications, interactions, and other system events.
When Taction filed its patent infringement lawsuit in 2021, the company accused Apple of directly and indirectly infringing two of its patents through the Taptic Engine used in a range of iPhone and Apple Watch models.
Last Friday, following the verdict, Taction said the jury had “vindicated its patent rights,” while Apple said it strongly disagreed with the decision and would appeal.
Earlier today, as litigation funder Burford Capital disclosed that it has a financial entitlement in the case, and that it could be entitled to $1.4 billion if the $5.7 billion verdict is ultimately paid in full
The disclosure sent Burford shares sharply higher in London, with the stock closing up 9.41% and giving the company a market capitalization of £659.9 million, or roughly $875 million.
Bloomberg Law notes that court records show that Taction received funding from Kenosha Investments LP and Gronostaj Investments LLC. The report also notes that Kenosha has been identified as an indirect subsidiary of Burford, which finances lawsuits in exchange for a share of any eventual recovery.
In a statement to investors on Monday, Burford said that if the $5.7 billion verdict were paid in full, its $1.4 billion entitlement would be split roughly equally between the company’s own balance sheet and its investment funds.
To read The Financial Times’ full report, follow this link.
Worth checking out on Amazon
You’re reading 9to5Mac — experts who break news about Apple and its surrounding ecosystem, day after day. Be sure to check out our homepage for all the latest news, and follow 9to5Mac on Twitter, Facebook, and LinkedIn to stay in the loop. Don’t know where to start? Check out our exclusive stories, reviews, how-tos, and subscribe to our YouTube channel
