The Nearmap Ltd (ASX: NEA) share price is in reverse today following an update relating to alleged patent infringements.
At the time of writing, the aerial imagery specialist's shares are down 2.53% to $1.447.
Nearmap challenges 'meritless claims'
In today's statement, Nearmap advised it has filed three 'inter partes' reviews against EagleView and Pictometry. This is in regards to three patents that are subject to the current litigation of the latter.
EagleView and Pictometry has taken Nearmap to court due to alleged infringements surrounding its roof-estimation technology.
'Inter partes' is a legal procedure that disputes the validity of a United States patent before the country's patent trial and appeal board.
Nearmap has stated that EagleView and Pictometry's legal action is based on "meritless claims".
Thankfully, the company says the ongoing legal challenge has not affected Nearmap's operations in the United States.
Management noted that its North American portfolio continues to grow strongly following the recent signing of its largest ever government annual contract.
As such, Nearmap earlier this week highlighted it has surpassed group annual contract value (ACV) of $150 million for the first time ever. The Nearmap share price jumped 16% on the back of this announcement.
Furthermore, its North American business has surpassed the Australia and New Zealand portfolio.
The company reaffirmed that group ACV guidance is expected to be at the upper end of the $150 million to $160 million guidance range in FY22.
Nearmap share price summary
The Nearmap share price has faced a number of turbulent months, leading its shares to record a 30% loss over the past 12 months.
At current, the company's share price is sitting within the lower end of its 52-week range of $1.065 to $2.38.
On valuation grounds, Nearmap commands a market capitalisation of roughly $720.99 million, with more than 498.95 million shares on issue.
