Premier Exhibitions, Inc. through its wholly owned subsidiary, RMS Titanic, Inc., engages in developing and touring exhibitions of Titanic artifacts worldwide.
RMS Titanic, Inc. is the only company permitted by law to recover objects from the wreck of the Titanic. The Company was granted salvor-in-possession rights to the wreck of Titanic by a United States federal court in 1994 and has conducted seven research and recovery expeditions to Titanic's debris field which recovered approximately 5,500 artifacts. It also sells and licenses Titanic merchandise. The company has had exhibitions in about 60 cities all over the world with more than 15 million visitors.
Premier Exhibitions Inc. was founded in 1987 and is based in Atlanta, Georgia.
The company is also the owner of the RMS Carpathia, the vessel that salvaged 705 lives from the sinking RMS Titanic.
In 2005, Premier Exhibitions, Inc. has developed two new touring exhibitions called Bodies...The Exhibition and Bodies Revealed. Presenting real human specimens, painstakingly prepared and respectfully displayed, these exhibitions allow visitors of all ages to explore deep within the human body in a way that amazes and informs.
PXHB's stockholder equity (book value) increased significantly from $7,679,000 in Q4/04 to $17,117,000 in Q3/05, but yet this does not represent the full value of its assets.
RMS Titanic Inc. has the legal right to a salvage award, as has been clarified by a decision of the US Court of Appeals in January 2006 This salvage award is measured according to several criteria, one of which is the market value of the salvaged goods. The Titanic artifacts salvaged by the company have been appraised at over $70 million.
The ownership in the wreck of the Carpathia has been valued over $16 million. These asset values are in the balance sheet only at cost, i.e. with an asset value of less than $ 5 million. Given the legal situation, it is no more a question IF, but WHEN the book value of PXHB will be revalued significantly.
After a long struggle with the high cost of the Titanic salvage, the company is profitable since Q1/2006 and is expected to generate a net income of about $0.40 per share in FY 2007, justifying a pps of at least $10 in 2007 or earlier.
The CEO of PXHB, Arnie Geller, has stated "I would like to reemphasize is that we certainly have Nasdaq as one of our top priorities" and the company is now satisfying all criteria for an application to NASDAQ . Although the company avoids any hint about it, it appears evident that while we write this, the listing on NASDAQ is just a question of weeks and is expected shortly after the the filing of the 10-K FY 2006. This will bring a completely new type of investors to the stock, e.g. institutional and private investors who would not invest in an OTC company.
This is a growth company with very sound fundamentals and, given the outlook for the current fiscal year, strongly undervalued at the present share price below $5.
There is a private investors website for your DD at premier-exhibitions-investors.org which has a wealth of useful links and information.
Other active discussion boards are: Raging Bull and a Yahoo group, also dicussion boards in german and italian exist. |
