The following is the response I got back from Tony re: the Royalties!!
Thanks for your enquiry and please accept my apologies for not replying sooner.
I guess with all of the other releases we made leading up to the last one the market has been well informed since the trading halt in July and given all these have been consistent with what finally got consummated it could be reasonably assumed the market was fully aware of the event. This is also true of the royalty ranges which kick in at 3.5% and based on a number of factors, including hardware and software content, reach a maximum of 25%. We expect in the early hardware applications that royalties will typically be in the 7-10% range and software 15-25%. As the technology gets commoditized rates will drop as TZL will have less direct involvement in developing the solution however there will always be new technology generating the higher rates.
It is worth noting that The Melbourne Age article misstated the royalty rate range – it is 3.5% - 25% with the journalist doing his own own maths in an attempt to calculate our company's revenues.
TZL Price at posting:
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