MKM Partners said a potential Tivo (TIVO) combination with Rovi (ROVI) makes sense and could unlock value. Rovi is the largest owner of patents surrounding interactive television with a $300mn annual recurring licensing business and a stock that is valued as a low growth licensing business, the firm's analyst said. MKM Partners said Tivo is currently recognizing $170M in annual IP licensing, which the Street assumes will go to zero after expiration in 2019 and values this as cash. The firm said renewing Tivo's patents and applying a 4-5x multiple implies potential value creation up to $700M-$800M of value.