Chief Financial Officer
Resource America, Inc.
1521 Locust Street - 5th Floor
Philadelphia, PA 19102
(215) 546-5388 (facsimile)
Resource America, Inc. Announces Agreement to Acquire Viking Resources Corporation
Philadelphia, PA., August 23, 2022 - Resource America, Inc. (NASDAQ:REXI) announces that it has signed an agreement to acquire the stock of Viking
Resources Corporation ("Viking"), a privately held energy and energy finance company based in North Canton, Ohio. Consideration will be in the form of approximately $17
million in cash, 1.25 million shares of newly issued Company common stock and the assumption of $1.7 million of Viking's debt at closing. Additionally contingent
consideration may be earned by selling stockholders for achieving certain goals by January 2000, 2001, and 2002. The Company expects the acquisitions to be accretive.
Closing is anticipated to take place on August 31, 1999.
For more than 15 years, Viking has been a leading participant in the energy finance industry, offering energy related investment products through a nationwide
network of broker/dealers. Viking currently manages partnerships and operating energy assets with an original cost of more than $140 million. In conjunction
with this activity, Viking has participated in each of the 870 wells it has drilled and now operates in the Appalachian Basin, retaining an interest in the production
and providing operating services for each of the wells. Viking also has constructed and operates more than 150 miles of gas gathering pipelines.
"I am delighted to welcome Jim Eigel and his excellent organization at Viking to the Resource America family. We look forward to a productive and prosperous
future," said Edward E. Cohen, CEO of Resource America, Inc. Jim Eigel, CEO at Viking commented, "All of us at Viking are excited about our new relationship
with the team at Resource America and look forward to working together."
The Company expects that Viking will continue to offer private investment programs, focusing on gas development drilling opportunities in their traditional area
of southwestern Pennsylvania, through its current network of independent broker/dealers.
After the merger is completed, the Company, through Atlas America, Inc., its wholly owned Pittsburgh, PA based energy operating subsidiary, and Viking, will manage
more than 90 partnerships and joint ventures, with an original cost exceeding $490 million. Additionally, the Company will now operate more than 3,300 predominantly
gas wells and more than 1,375 miles of gas gathering pipeline system, located primarily in western Pennsylvania, western New York and eastern Ohio. Daily production
on a gas equivalent basis under the Company's management is expected to increase from approximately 40.5 million cubic feet per day to 55.5 million cubic feet
per day. Proved and producing reserves under the Company's management will increase from approximately 236.6 billion cubic feet ot 303.5 billion cubic feet
of natural gas equivalent.
Resource America, Inc. operates a diversified financial services company engaged in equipment leasing, energy and energy finance, and real estate finance.
Statements made in this release include forward-looking statements, which involve substantial risks and uncertainties. The Company's actual results,
performance or achievements could differ materially from those expressed or implied in this release as a result of certain factors, including competition
within the energy finance industry, climatic conditions and the price of oil and gas in the Appalachian area, actual versus projected volumetric production
from the Company's energy investments, and the cost of supplies and services in the energy industry.