Thalassa receives second earn-out balance from Fairfield Geotechnologies

Thalassa Holdings announced on Monday that, following its announcement on 23 October, it has received the second balance of $0.6m of the earn out from Fairfield Geotechnologies.

The AIM-traded company said it had now received a total of $1.2m, being the contracted 20% of the $6m earn out.

It said the final balance of $4.8m was payable by 11 September next year.

Given that the equipment that WGP Group was currently manufacturing for its client was targeted for use on a second contract over a new field, the board said it was now confident that the company would “in due course” receive a further earn-out payment amounting to an additional $4m.

“I am happy to report that the receipt of the second payment of $0.6m triggers the final payment of $4.8m due 11 September 2019, which the company will now recognise as a receivable,” said Thalassa Holdings chairman Duncan Soukup.

“As a result, the company's book value of around $29m, as at 30 June, will increase by $6m to around $35m.

“The company's cash balance as of today is little changed from the $18.5m announced 23 October.”