ATLANTA, Nov. 9, 2009 (GLOBE NEWSWIRE) -- UnderSea Recovery Corporation ("UNSR") (formerly Legal Access Technologies, Inc.) (Pink Sheets:LGAL) announced today that it signed, on Thursday, November 5, 2009, in Mexico City, an agreement with Global Sales Corporation, a Mexican company ("Global"), under which Global has committed to invest $1,500,000 in UNSR no later than November 30, 2009. Global will receive shares of Preferred Stock and a Common Stock Warrant in return for the investment funds. The shares of Preferred Stock carries an annual dividend of 10% per annum on the face amount of the Preferred Stock and a special participating dividend equal to 10% of the Company's net cash generated from operations. The Preferred Stock is redeemable by the Company for $200,000 at such time as Global has received $3,500,000 from the special participating dividend. The Warrant is not exercisable for six months from issuance and the exercise period is two years. The exercise price is $10,000 and the Warrant is exercisable into 10% of the Company's common stock.
The agreement also provides for Global to assist UNSR in securing shipwreck search and recovery permits and licenses in the territorial waters of Mexico and other countries in which the principals of Global have governmental and business contacts. In addition, the agreement grants Global a right of first refusal on the next major round of financing, which is estimated to be $15,000,000.
The investment proceeds will be used for (i) completing and ocean testing two ATLIS field units in preparation for project deployment, (ii) acquiring, repairing, refitting and certifying the New World Legacy (a 110 foot shallow-water salvage vessel) for marine operations; (iii) professional, filing and listing fees for UNSR to become a Current Reporting Company on the Pink Sheets and, subsequently, to registering its common stock with the SEC and listing and trading its common stock on the OTC Bulletin Board and the Frankfurt Stock Exchange; (iv) a professional valuation opinion by an internationally recognized valuation firm; (v) legal and related fees and expenses associated with securing shipwreck project permits from Mexico, Jamaica and the Bahamas; and (vi) working capital.
In making this announcement, Herbert Leeming, CEO, commented: "We have been working with the principals of Global for the past several months to complete negotiations, and we are truly excited to announce that our discussions have led to the execution of a binding agreement for funding and project permit facilitation. The investment proceeds will enable us to move forward rapidly with building, testing and deploying the two ATLIS field units, acquiring and readying the New World Legacy for marine operations, upgrading our securities filings and trading status, obtaining an institutional valuation of our resources, seeking important search and recovery licenses, and commencing operations. This is what we have been anxiously awaiting and preparing for, and we could not have a more talented, experienced, and committed group of partners than the principals of Global. A better melding of financial, operational, strategic and critical thinking, and managerial resources, I simply could not imagine. Furthermore, both Global and UNSR share an unswerving dedication to doing projects the right way, right now. Our stockholders, along with our management, have waited patiently for the Company to move from the developmental to the operational stage, and that day is now dawning and brings with it a great promise of rewarding our collective patience and perseverance with tangible, positive results."
About the Company
The Company is engaged in the business of locating and recovering historical shipwrecks, primarily those from the 15th through 19th centuries, and other cultural resources (artifacts and other objects of historical and archaeological interest) from the world's oceans and large lakes by applying advanced technologies in an environmentally responsible manner.
Forward-Looking Statements Caution:
This release includes forward-looking statements, which are based on certain assumptions and reflects management's current expectations. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.