Ocado shares soar on £200m Autostore patent battle settlement | business news

Ocado shares soared on news it had won £200m in a patent battle with Norwegian rivals.

It was announced on Saturday that AutoStore will make this payment to settle all outstanding payments Patent Litigation Claims Introduced by warehouse technology pioneers.

Ocado also has a separate retail arm in partnership with Marks and Spencer, while Autostore has fought numerous legal battles in different countries to defend its intellectual property.

The companies license their robotics technology to retailers around the world and say that as part of the settlement, each can continue to use and sell all of its existing products without challenge.

The full terms remain confidential, but the agreement does allow the companies to access certain parts of each other’s patent portfolios for manufacturing purposes.

While Ocado retains exclusive rights to Single Space Robot, that excludes collaboration and technical support between the two companies.

The patent battle launched by Autostore in 2020 proved to be a drag on Ocado shares, but the stock rose 8% in early trading on Monday, the market’s first chance to react to the news over the weekend.

“I am delighted that we have worked together to resolve our differences and can now continue to focus on what we do best – innovating, developing and enabling partners to access world-leading technology”, said Ocado CEO Tim Steiner.

Autostore, whose market value plummeted 7% when it opened in Oslo, has two years to repay the £200m it owes in installments.

Its boss, Mats Hovland Vikse, added: “We are delighted to have reached a resolution that provides both companies with the opportunity and freedom to commercialize our extensive patent portfolio.

“This settlement resolves our differences and allows us to continue to focus on our respective business goals.”

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