Hurst, I'm not sure if this announcement is telling us FNF is directly & openly taking over the FNES investment in formerly EES. I think so. The relevance to me is direct funding of mfg. Also FNF will have more clout in placing National PR. Maybe you can correct my view and broaden the impact of this event. Only 2 year commitment could be beneficial or just a look see for future accomplishment of Business Plan.
As FNF continues to purchase more of an ownership in FNES it is providing cash for ESPH to hopefully shore up manufacturing capabilities and expand into other markets. At least that is my interpretation of their plan. ESPH has a value of their investment on the Balance Sheet for their ownership in FNES. As they sell portions of that investment to FNF it is converted into cash to fund operations. I am hoping they keep carrying interest in FNES so that they get manufacturing and earnings interest in FNES, but that rem ains to be seen. They will have a 19% interest in FNES after selling the next portion to FNF giving FNF 51%. The good part is this is all non-dilutive to us shareholders and does not add to debt. ESPH also recently set up two new divisions, Ecosphere Mining, LLC and Ecosphere Exploration, LLC which they own 100% of each until they find capital partners for those markets. They plan to repeat this business plan across all sectors for water treatment using Ozonix licensing.