In the past 7 years, ParkerVision has raised over $100M in six private placements.  A summary is provided below:

Since announcing that it would diversify into D2D technology 2003, and D2P technology in 2005, ParkerVision consummated four private placements, roughly at 12 months intervals.  Based on this history and its financial statements, we anticipate that ParkerVision will undertake another private placement in the first half of 2008 to meet its cash needs.  The recent increase in stock price is consistent with the company coming out of another private placement. The stock price is currently being supported by short covering.

If we take a closer look at the fluctuations in the stock price (graph below, red arrow indicates private placement event) and ParkerVision’s fundraising history, we see a cyclical pattern emerge over the past three years: the stock price is pumped as much as possible (usually to a range between $10 and $13) prior to the financing, and is then allowed to settle to a “bottom” of around $4, before it is pumped again for a another financing.  Also note that the trading volumes typically increase sharply prior to and after a financing, and during any rapid decrease of the stock price.

Given that ParkerVision has sufficient cash until late Q3 2008, we anticipate that the company will try to raise additional funding at the latest in early Q2 and most likely in late Q1 2008. 

Although there are claims by ParkerVision that some cell phone companies have looked at the company for investment or acquisition, our contacts at the market leaders (both US and Asia) have indicated no interest D2P technology. In fact, most large Asian OEM handset makers are very conservative, and will wait for one OEM to ship several million handsets with a new component before making any commitments themselves.  Therefore, penetration of the OEM market with new technologies is exceedingly difficult let-alone for a small newcomer like ParkerVision.  This situation is analogous to early 2005, when ParkerVision offered itself for acquisition by Broadcom and was turned down. With respect to licensing, most of the companies that we have contacted have indicated that they see no value in licensing D2P technology.  Furthermore, our contacts at competitors to ParkerVision have indicated that the company has all but disappeared from the marketplace.