Odyssey Marine Exploration Announces Above Market $5.0 Million Registered Direct Offering of Common Stock and Warrants
November 01 2018 - 9:01AM
Odyssey Marine Exploration, Inc. (NASDAQ:OMEX), a pioneer in the
field of deep-ocean exploration, announced today that it has
entered into agreements with a small group of institutional
investors, led by large long-term holders of OMEX, to receive
$5.0 million in gross proceeds in a registered direct offering
through the sale of common stock and warrants consisting of 700,000
shares of the company’s common stock and 700,000 5-year immediately
exercisable warrants to purchase 700,000 shares of common stock at
an exercise price of $7.155 per share. If the warrants are
exercised for cash in full, the company would receive additional
gross proceeds of approximately $5.0 million.
“This funding, when combined with the expected
future revenue from contracted projects and profit participation
from the current recovery project under contract, is expected to
fund Odyssey into 2020, based on our current budgets,” stated Mark
Gordon, President and CEO of Odyssey Marine Exploration. “The
proceeds from this offering also give us flexibility to take
advantage of new strategic opportunities that have the potential to
deliver significant value in the near future and allow us to
accelerate early stage production development or other expenses for
our Mexican phosphate project.
The offering is expected to close on or about
November 2, 2018, subject to the satisfaction of customary closing
conditions. The net proceeds of the financing will be used for
general corporate purposes, including working capital.
Chardan acted as the lead placement agent for
this transaction.
The securities described above are being offered
by Odyssey Marine Exploration through a prospectus supplement
pursuant to Odyssey’s shelf registration statement on Form S-3 as
previously filed and declared effective by the Securities and
Exchange Commission and the base prospectus contained therein
(Registration No. 333-227666). A prospectus supplement related to
the offering will be filed with the Securities and Exchange
Commission (SEC). This news release shall not constitute an offer
to sell or the solicitation of an offer to buy, nor shall there be
any sale of these securities in any state or jurisdiction in which
such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
state or jurisdiction. The securities are being be offered only by
means of a prospectus, including a prospectus supplement, forming a
part of the effective registration statement. Copies of the final
prospectus supplement and accompanying base prospectus may be
obtained, when available, by contacting Chardan Capital Markets,
LLC, 150 East 58th Street, 28th Floor, New York, NY 10155, at (646)
465-9028, or the Securities and Exchange Commission's website at
http://www.sec.gov.
About Odyssey Marine
Exploration Odyssey Marine Exploration, Inc. (Nasdaq:OMEX)
is engaged in deep-ocean exploration using innovative methods and
state-of-the-art technology to provide access to critical resources
worldwide. Our core focus is the discovery, development and
extraction of deep-ocean minerals. Odyssey also provides marine
services for private clients and governments. For additional
details, please visit www.odysseymarine.com.
Forward Looking
InformationOdyssey Marine Exploration believes the
information set forth in this Press Release may include "forward
looking statements" within the meaning of the Private Securities
Litigation Reform Act of 1995, Section 27A of the Securities Act of
1933 and Section 21E of the Securities Act of 1934. Certain factors
that could cause results to differ materially from those projected
in the forward-looking statements are set forth in "Risk Factors"
in Part I, Item 1A of the Company's Annual Report on Form 10-K for
the year ended December 31, 2017, which was filed with the
Securities and Exchange Commission on March 26, 2018. The financial
and operating projections as well as estimates of mining assets are
based solely on the assumptions developed by Odyssey that it
believes are reasonable based upon information available to Odyssey
as of the date of this release. All projections and estimates are
subject to material uncertainties and should not be viewed as a
prediction or an assurance of actual future performance. The
validity and accuracy of Odyssey's projections will depend upon
unpredictable future events, many of which are beyond Odyssey's
control and, accordingly, no assurance can be given that Odyssey's
assumptions will prove true or that its projected results will be
achieved.
Cautionary Note to U.S.
InvestorsThe U.S. Securities and Exchange Commission (SEC)
permits mining companies, in their filings with the SEC, to
disclose only those mineral deposits that a company can
economically and legally extract or produce. We use certain terms
in this press release, such as "measured", "indicated," "inferred"
and "resources," which the SEC guidelines strictly prohibit us from
including in our filings with the SEC. "Inferred mineral resources"
have a great amount of uncertainty as to their existence, and great
uncertainty as to their economic and legal feasibility. It cannot
be assumed that all or any part of an inferred mineral resource
will ever be upgraded to a higher category. U.S. investors are
cautioned not to assume that part or all of the inferred mineral
resource exists, or is economically or legally mineable, and are
urged to consider closely the disclosures in our Form 10-K which
may be secured from us or from the SEC's website at
http://www.sec.gov/edgar.shtml.
CONTACT:
Laura Barton
Odyssey Marine Exploration, Inc.
(813) 876-1776 x 2562
laura@odysseymarine.com
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