Investor Group Led By Litigation Funder Drumcliffe Acquires Additional Equity Stake in Odyssey Marine Exploration, Inc. (NASDAQ:OMEX)

Rhea-AI Summary

An investor group led by Drumcliffe LLC has acquired 1,138,245 shares of Odyssey Marine Exploration, Inc. (NASDAQ: OMEX) from Epsilon Acquisitions LLC in a private transaction. The purchase price remains undisclosed, and Odyssey will not benefit financially from this transaction. Odyssey is pursuing a nearly $3 billion arbitration claim against the Republic of Mexico regarding a denied dredging license for a major phosphate deposit. Drumcliffe has been financing Odyssey's arbitration since 2019, asserting strong merits in Odyssey's claims.

Positive

• Drumcliffe's acquisition indicates strong investor confidence in Odyssey's ongoing arbitration efforts.
• The arbitration claim against Mexico, valued at nearly $3 billion, highlights significant potential revenue if successful.

Negative

• Odyssey will not receive any proceeds from the share transaction, which may limit immediate financial resources.
• The lack of disclosed purchase price raises concerns about the financial stability of the investor group.

WASHINGTON--(BUSINESS WIRE)-- An investor group led by asset recovery funder Drumcliffe LLC has purchased 1,138,245 shares in Odyssey Marine Exploration, Inc. (NASDAQ:OMEX) (“Odyssey”), from Epsilon Acquisitions LLC in a private transaction exempt from the registration requirements of the Securities Act of 1933, as amended.

The purchase price was not disclosed. Odyssey will not receive any proceeds from this transaction.

Odyssey is a deep-ocean exploration company that discovers, validates and develops high value seafloor resources in an environmentally responsible manner. Odyssey has a diversified mineral portfolio that includes projects controlled by it and other projects in which it is a minority owner and service provider.

Odyssey is currently pursuing a nearly $3 billion NAFTA arbitration claim against the Republic of Mexico. The claim relates to Mexico’s denial of an off-shore dredging license previously granted to an Odyssey subsidiary for one of the largest untapped phosphate deposits in the world. Drumcliffe has been providing financing to Odyssey to support its arbitration efforts since 2019.

“In our view, Odyssey’s recently published Reply to Mexico’s Counter-Memorial in the NAFTA arbitration only reinforces the merits of Odyssey’s claim and the restitution they deserve,” said James C. Little, Drumcliffe’s CEO.

Several long-term Odyssey investors and investment funds, including major Odyssey investor FourWorld Capital Management, and Greywolf Capital Management LP are also part of the investor group.

About Drumcliffe LLC

Drumcliffe LLC is the world’s leading provider of asset recovery finance to the victims of global fraud, corruption, and abuse of power. Additional details can be found at www.drumcliffepartners.com.

Forward Looking Information

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 outcomes to differ materially from those in the forward-looking statements are set forth in "Risk Factors" in Part I, Item 1A of Odyssey’s Annual Report on Form 10-K for the year ended December 31, 2020, and Odyssey’s other filings with the Securities and Exchange Commission. The possible outcomes of the matter described herein will depend upon unpredictable future events, many of which are beyond Odyssey's or Drumcliffe’s control and, accordingly, no assurance can be given that any desirable outcome will occur.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210901005825/en/

Bill Atkinson

Atkinson Strategic Communications

443-797-4150

bill@atkinsonstrategic.com

Source: Drumcliffe LLC

FAQ

What is the significance of Drumcliffe LLC acquiring shares in OMEX?

Drumcliffe's acquisition of OMEX shares indicates their strong support for Odyssey's ongoing legal efforts and investor confidence in potential outcomes.

How much is Odyssey Marine Exploration's arbitration claim against Mexico worth?

Odyssey is pursuing a nearly $3 billion arbitration claim against the Republic of Mexico related to a denied dredging license.

Who are the key investors in the OMEX transaction?

The investor group includes Drumcliffe LLC, FourWorld Capital Management, and Greywolf Capital Management LP.

Will Odyssey Marine Exploration benefit from the share transaction?

No, Odyssey Marine Exploration will not receive any proceeds from the share transaction conducted by Drumcliffe LLC.