Wednesday, December 16, 2015 8:35:04 AM
Odyssey to Provide Paid Shipwreck Search and Recovery Services
TAMPA, Fla., Dec. 16, 2015 (GLOBE NEWSWIRE) -- Odyssey Marine Exploration, Inc. (NASDAQ:OMEX), a pioneer in the field of deep-ocean exploration, has sold certain intangible and tangible assets primarily related to its shipwreck business for $21 million. As part of the deal Odyssey will retain a 21.25% interest in the future net proceeds from shipwreck projects and an exclusive contract to provide shipwreck search and recovery services. Other assets sold include one-half of Odyssey's interest in Neptune Minerals, Inc. and the building where Odyssey's executive offices are located. The assets were purchased by Monaco Financial, LLC and affiliated entities noted below.
"This agreement allows Odyssey to immediately monetize shipwreck assets, continue to perform world-class deep-ocean shipwreck search, archaeology and recovery, and to retain upside potential from the assets we've created over the past 20 years," said Mark Gordon, Odyssey's CEO. "I've stated for the past nine months that although we intended to focus corporate capital on the mineral exploration side of the business, we do not intend to abandon our shipwreck roots. We wanted to lower our risk profile on the shipwreck projects by utilizing external project level financing, and this agreement achieves all of those objectives. In addition to the financial arrangements, we are pleased with the acquiring companies' commitment to continue to conduct appropriate archaeology on historical shipwreck projects including education, publication and exhibits."
Pursuant to agreements between Odyssey and the affiliated purchasers:
Magellan Offshore Services acquired Odyssey's proprietary shipwreck database and all rights to the company's shipwreck projects, with the exception of HMS Victory and three other shipwreck projects with existing contracts. Magellan will have the right to participate in these excluded projects and receive up to 50% of Odyssey's net proceeds, if any.
Monaco Financial acquired all of Odyssey's remaining coins, ingots and bars from the SS Republic, "Tortugas," and SS Gairsoppa shipwrecks, as well as an interest in the proceeds payable to Odyssey under the Master Services Agreement for the SS Central America project. Monaco Financial also purchased Odyssey's headquarters and will lease office space back to Odyssey.
Seascape Artifact Exhibits acquired Odyssey's artifact collection, exhibits, and all of Odyssey's shipwreck intellectual property and copyrights, including video, photos and publications.
Freeport Ocean Minerals acquired one-half of Odyssey's equity in Neptune Minerals and one-half of Odyssey's receivable from Neptune Minerals.
Odyssey will retain a 21.25% interest in the proceeds, after costs, from any of the shipwreck projects in the database obtained by Magellan. Odyssey will provide exclusive shipwreck search and recovery services to Magellan under a services contract that provides for offshore work on a "cost plus" basis.
The net book value of the tangible and intangible assets transferred under the agreement was $13.5 million.
The $21 million deal included the following elements:
All of Odyssey's bank debt, which totaled $11.7 million, was repaid in full. This debt had a maturity date of December 17, 2015.
$2.2 million of Odyssey's debt owed to Monaco Financial was retired. A further $5 million of this debt ceases to accrue interest and is only repayable under certain circumstances and only from future proceeds from specified shipwreck projects.
A $1 million loan from Monaco Financial (October 2015) was retired.
A further $1 million in cash was provided to be used for general corporate uses.
Recent OMEX News
- Odyssey Marine Exploration Addresses NASDAQ Compliance Matters • Business Wire • 04/19/2024 08:30:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 03/08/2024 09:31:02 PM
- Form SC 13G/A - Statement of acquisition of beneficial ownership by individuals: [Amend] • Edgar (US Regulatory) • 02/28/2024 09:57:42 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 02/26/2024 09:40:03 PM
- Form SC 13G/A - Statement of acquisition of beneficial ownership by individuals: [Amend] • Edgar (US Regulatory) • 02/14/2024 03:38:44 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 01/31/2024 09:05:22 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 01/31/2024 09:05:19 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 01/31/2024 09:05:11 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 01/31/2024 09:05:07 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 01/31/2024 09:05:06 PM
- Form SC 13G - Statement of acquisition of beneficial ownership by individuals • Edgar (US Regulatory) • 01/04/2024 06:34:14 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 12/21/2023 10:48:58 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 12/21/2023 10:45:53 PM
- Odyssey Marine Exploration Secures Strategic Debt Financing Deal • Business Wire • 12/04/2023 11:04:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 12/04/2023 10:26:29 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 12/04/2023 09:05:24 PM
- Odyssey Marine Exploration Addresses NASDAQ Compliance Matters • Business Wire • 11/28/2023 11:05:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 11/28/2023 10:15:53 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 10/10/2023 01:00:29 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 09/26/2023 09:50:28 PM
- Form 10-Q - Quarterly report [Sections 13 or 15(d)] • Edgar (US Regulatory) • 08/14/2023 08:05:45 PM
- Odyssey Marine Exploration Announces the Departure of its Chief Financial Officer • Business Wire • 06/13/2023 12:30:00 PM
- Odyssey Marine Exploration Announces Partnership with Ocean Minerals LLC for a New Cook Islands Exploration Project • Business Wire • 06/05/2023 12:43:00 PM
NanoViricides Reports that the Phase I NV-387 Clinical Trial is Completed Successfully and Data Lock is Expected Soon • NNVC • May 2, 2024 10:07 AM
ILUS Files Form 10-K and Provides Shareholder Update • ILUS • May 2, 2024 8:52 AM
Avant Technologies Names New CEO Following Acquisition of Healthcare Technology and Data Integration Firm • AVAI • May 2, 2024 8:00 AM
Bantec Engaged in a Letter of Intent to Acquire a Small New Jersey Based Manufacturing Company • BANT • May 1, 2024 10:00 AM
Cannabix Technologies to Deliver Breath Logix Alcohol Screening Device to Australia • BLO • Apr 30, 2024 8:53 AM
Hydromer, Inc. Reports Preliminary Unaudited Financial Results for First Quarter 2024 • HYDI • Apr 29, 2024 9:10 AM