Why Adeia Shares Are Trading Higher

Adeia Inc ADEA on Tuesday signed long-term patent license agreements with Western Digital Corp WDC and Kioxia. Adeia shares are trading higher in the wake of the announcements. 

What Happened: Western Digital and Kioxia entered into long-term agreements to license Adeia's semiconductor patent portfolio, which covers hybrid bonding, semiconductor packaging and semiconductor processing technologies.

"This agreement demonstrates the long-term value proposition offered by Adeia's intellectual property portfolio," said Dana Escobar, chief licensing officer and general manager of semiconductor at Adeia.

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ADEA Price Action: Adeia has a 52-week. high of $11.84 and a 52-week low of $5.81. The stock was down approximately 15% over the last month ahead of the agreement announcements.

Adeia shares were up 7.02% at $8.99 at the time of writing, according to Benzinga Pro.

Photo: Dmitry Steshenko from Pixabay.