Photography company Eastman Kodak Company(PINK:EKDKQ) is exploring options for the disposal of its patents, other than auctioning, which had attracted very poor response according to reports.
Kodak, which filed for bankruptcy in January this year, had put up its 1100-odd patens up for sale to raise funds and pay down debt.
It told a bankruptcy court that one of the options it was considering was to keep the patents and set up a separate licensing firm to repay its creditors.
The poor response to the auction of its digital imaging patents, originally scheduled to be completed by August 20, has been postponed thrice with bids coming at much lower levels than anticipated.
Kodak is expecting to raise about $2.6 billion from the sale of the patents.
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The company is however not revealing whether the auction delay is linked to the poor response. Last month it had said that it had not yet taken a firm decision whether it intended to sell the patents and might even decide to keep them.
The company is however optimistic that it will be able to come out of bankruptcy protection at its scheduled date and the delay in the auction process would not affect that.
"In the event that a potential transaction does not occur, the debtors are consulting with the Reviewing Creditors with respect to the retention of the Digital Imaging Patent Assets and the creation of a newly-formed licensing company as a source of recovery for creditors in the plan of reorganization," it said.
Analysts said that Kodak's patents may have been already devalued by a large number of licensing deals and litigation, which reduce the potential for new licensing deals.