The US Bankruptcy Court gave an order approving the sale of certain assets of TranSwitch Corp. on February 24, 2015. The debtor has been authorized to sell its certain assets to TRAN Semiconductor, LLC, the stalking horse bidder for a purchase price of $0.10 million in cash with immediate payment, a seven year royalty stream for the licensed patents and trademark license varying between 4% and 22% of revenue depending on the type of product sold and the timing of sale and grant of a security interest in the purchased assets.

The debtor signed an asset purchase agreement with TRAN Semiconductor, LLC on January 22, 2015. The debtor's assets include certain patents and trademarks that are utilized in the Debtor's Telecom Products and Telecom Product Lines. The debtor did not receive any other competing bids for the purchase of its assets and therefore TRAN Semiconductor, LLC emerged as the winning bidder.