30-month 9% note converts at $3.74 per share; warrants also included
By Devika Patel
Knoxville, Tenn., May 10 - Odyssey Marine Exploration, Inc. settled an $8 million second and final tranche of an $18 million private placement of 9% senior convertible notes, according to an 8-K filed Thursday with the Securities and Exchange Commission. It raised $10 million in the offering on Nov. 10. The deal priced Nov. 8 and was increased to $18 million from $15 million on April 25.
The 30-month note initially converts to common stock at $3.74 per share. The conversion price is a 25% premium to the Nov. 7 closing share price of $2.88.
The single investor also received warrants for 1,302,083 common shares in the first tranche and additional warrants for 1,562,500 shares in the second. The warrants are each exercisable at $3.60 for five years. The strike price reflects a 50% premium of to the Nov. 7 closing share price.
Odyssey, based in Tampa, Fla., explores and recovers deep-ocean shipwrecks.
| Issuer: | Odyssey Marine Exploration, Inc.
|
| Issue: | Senior convertible notes
|
| Amount: | $18 million
|
| Maturity: | 30 months
|
| Coupon: | 9%
|
| Conversion price: | $3.74
|
| Conversion premium: | 29.86
|
| Warrants: | For 2,864,583 shares
|
| Warrant expiration: | Five years
|
| Warrant strike price: | $3.60
|
| Pricing date: | Nov. 8
|
| Settlement date: | Nov. 10 (for $10 million), May 10 (for $8 million)
|
| Upsized: | April 25
|
| Stock symbol: | Nasdaq: OMEX
|
| Stock price: | $2.90 at close Nov. 8
|
| Market capitalization: | $207.25 million
|
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