Ocean Biomedical, Inc. (NASDAQ:OCEA) announced it received final notice from Elkurt, Inc. on July 10 regarding the termination of its licenses with Elkurt. The termination follows a formal written notice issued by Elkurt on June 9, 2025, which cited material breaches of contractual obligations under the Ocean Licenses. The news comes as the company faces significant financial challenges, with InvestingPro data showing a market capitalization of just $1.74 million and a concerning current ratio of 0.06.
According to the statement included in Ocean Biomedical's filing with the Securities and Exchange Commission, Elkurt determined that the company did not cure the breaches within the thirty-day period specified in the agreement. As a result, Elkurt exercised its right under Section 10.2.2.1 of the Ocean Licenses to terminate the agreements immediately upon written notice.
The notice from Elkurt further stated that Elkurt retains no obligation to Ocean Biomedical regarding the terminated licenses. However, under Section 10.3.2, Ocean Biomedical remains responsible for all obligations that accrued prior to the termination date, including payment of any outstanding amounts.
The company's common stock and warrants are listed on the Nasdaq Stock Market under the symbols OCEA and OCEAW, respectively.
This information is based on a press release statement contained in the company's recent SEC filing.
In other recent news, Ocean Biomedical, Inc. is dealing with the termination of significant license agreements due to unmet obligations. Elkurt, Inc. has ended several licensing agreements with Ocean Biomedical, including those related to technologies from Brown University and Rhode Island Hospital. The terminations were prompted by Ocean Biomedical's failure to meet payment obligations totaling $612,581.16, lack of development efforts, and failure to achieve certain milestones. Ocean Biomedical has a 30-day period to address these issues, or the termination of these upstream licenses will result in the termination of sublicenses to the company. Meanwhile, Ocean Biomedical has announced a strategic expansion into the power infrastructure and cryptocurrency sectors. The company aims to generate stable cash flow to support its biopharmaceutical activities by developing power assets and investing in cryptocurrencies like Bitcoin and Solana. Chairman Chirinjeev Kathuria emphasized the growing demand for energy and the recognition of cryptocurrencies as influential factors in this decision. Ocean Biomedical's board believes their expertise will facilitate quick engagement in these new sectors.