IMMERSION CORPORATION (NASDAQ:IMMR) Files An 8-K Costs Associated with Exit or Disposal ActivitiesItem 2.05.
On December18, 2017, Immersion Corporation (“Immersion”) executed a series of restructuring actions designed to sharpen the company’s strategic focus and establish a more cost-efficient operating structure.
As part of these changes, Immersion plans to take the following steps:
| • | Significantly reduce its presence in China to focus primarily on Mobile OEM licensing; |
| • | Focus development efforts to bolster its IP licensing model for the Gaming and VR/AR markets; and |
| • | Cease its efforts in Mobile Advertising. |
These steps will increase internal efficiencies through the consolidation of certain sites of operation and will result in the elimination of 56 positions or approximately 41% of the worldwide employee base.
Immersion anticipates annual savings from these actions to be approximately $10million and estimates total costs related to these efforts to be in the range of $1.5million to $2.0million. The company expects that these activities will be completed during the first quarter of 2018 and it will provide additional details during its fiscal 2017 conference call.
The information disclosed under Item 2.05 of this Form8-K is incorporated by reference in this Item 2.05
About IMMERSION CORPORATION (NASDAQ:IMMR)
Immersion Corporation is a licensing company focused on the creation, design, development and licensing of haptic technologies that allow people to use their sense of touch when operating digital devices. The Company develops, licenses and supports a range of software and intellectual property (IP). It is focused on the markets, including mobile devices, wearables, consumer, mobile entertainment and other content; console gaming; automotive; medical, and commercial. It provides advanced tactile software, related tools and technical assistance to certain customers, and offers licenses to its patented IP to other customers. Its licenses enable customers to deploy haptically-enabled devices, content and other offerings, which they sell under own brand names. It holds patents, covering digital technologies and including ways in which touch-related technology can be incorporated into and between hardware products and components, systems software, application software, and digital content.
