My pick turned out so ugly, I don't even want to go back and look, but sometime last year we suggested you might want to invest in Odyssey Marine Exploration Inc. (OMEX) -- ugh, I still shudder -- at more than $4 a share. You can buy it now for less than $1.50, but that first call was so bad, I don't blame you if you're about to click away. Me, I just bought more at $1.41.
It's either called averaging down, or throwing good money after bad, depending on the eventual sales price, of course. Hindsight rules.
The news for poor Omex has been horrible for more than a year. A U.S. Federal Court said they have to give back an eight or nine-figure treasure Odyssey found, recovered, and still holds in a secret location.
Some influential British people have adopted the Spanish vision of sunken treasure (let it stay with dead sailors, except for anything OMEX found), thus holding up the recovery of another huge treasure. And the cost of running those big boats keeps rising, sucking the company's shrinking capital.
citybiz Real Estate, a South Florida-based website, got a peek at an SEC filing over the weekend, and it looks like OMEX has picked up some additional support: We're hoping these Scoggin Capital guys were smart in buying up a fifth of Omex's stock down here.
In other words, we're hoping they know something we don't. How's that for investment advice?
Here's what that website says:
TAMPA -- Hedge fund Scoggin Capital Management and related entities have disclosed a 20.1 percent holding worth $17.32 million in Odyssey Marine Exploration Inc., according to a Form 13G filing with the U.S. Securities and Exchange Commission.
The New York-based fund, which focuses on buying stocks and bonds of companies facing mergers and spinoffs, and those emerging from bankruptcy, said the stakes in Tampa, Fla.-based Odyssey, which specializes in deep-ocean shipwreck exploration, were held through nine different entities and individuals.
The following are the holdings disclosed by Scoggin:
Scoggin Capital Management II LLC -- 1.2 million shares, or 1.9 percent
Scoggin International Fund Ltd. -- 1.65 million shares, or 2.6 percent
Scoggin LLC -- 2.98 million shares, or 4.6 percent
Old Bell Associates LLC -- 97,800 shares, or 0.2 percent
Scoggin Worldwide Fund Ltd. -- 97,800 shares, or 0.2 percent
Game Boy Partners LLC -- 178,500 shares, or 0.3 percent
A. Dev Chodry, principal of Old Bellows Partners LP -- 97,800 shares, or 0.2 percent
Craig Effron, managing member of Scoggin LLC -- 3.26 million shares, or 5.1 percent
Curtis Schenker, managing member of Scoggin LLC -- 3.26 million, or 5.1 percent
All the above except Scoggin Worldwide Fund and Scoggin International Fund have offices in New York.
And let's not forget the usual disclaimer: If you purchase Omex stock as a result of this blog, you are taking advice from a fictional character. Try having your lawyer explain that one in his briefs....or getting me on the stand.