Tech firm files for bankruptcy
A cash-starved Midlands technology business enmeshed in a costly legal dispute has filed for bankruptcy protection.
Columbia-based Affinity Technology Group Inc. said it plans to conduct an orderly sale of its patents, which are its only remaining major assets.
Investors of the company's thinly traded common stock will likely receive nothing.
Between 1994 and 2002, Affinity developed automated technologies used in the electronic processing of various consumer financial transactions, such as loans payments.
The company has since ceased researching new products, and for the past several years it has been trying to make money by licensing its existing patents. It also has been spending on lawsuits over alleged infringements of those patents.
Affinity said its business was suffered a major blow in May when a ruling from the U.S. Court of Appeals diminished the commercial value of its patents.
Joe Boyle, chairman, president and chief executive officer of Affinity, said in statement that the company was "obviously disappointed" in Tuesday's bankruptcy filing.
He said the firm had little choice because its financial resources "are nearing exhaustion" and that raising enough capital to keep operating "is not a realistic alternative."
As of June 30, Affinity had cash and cash equivalents of $16,861 and a deficit of about $4.9 million. It had just two full-time employees as of Dec. 31. Its stock was valued at less than a penny at midday Tuesday on the Over The Counter Bulletin Board trading system.
E-mail this story 
Printer-friendly version
Notice about comments:
The Post and Courier is pleased to offer readers the ability to comment on stories. We expect our readers to engage in lively, yet civil discourse. The Post and Courier does not edit user submitted statements and we cannot promise that readers will not occasionally find offensive or inaccurate comments posted in the comments area. Responsibility for the statements posted lies with the person submitting the comment, not postandcourier.com. If you find a comment that is objectionable, please click "suggest removal" and we will review it for possible removal. Please be reminded, however, that in accordance with our Terms of Use and federal law, we are under no obligation to remove any third party comments posted on our Web site.
Full terms and conditions can be read here.
Comments
This article has 0 comment(s)
