A final-ditch try by residents of Villa Vie’s Odyssey to purchase and function the ship is lifeless within the water.
The Odyssey’s ultimate months had been marked by indicators of Villa Vie Residences’ financial distress, culminating within the ship’s abrupt halt final week in Cambodia. Residents — who purchased cabins for between $119,999 and $439,999 within the hope of living permanently at sea — got simply eight hours to disembark on Tuesday.
Paul Montoya, a member of the ship’s seven-person Resident Council which was concerned in securing resident pledges for the buyout, described the bid on Thursday as a “Hail Mary.”
Two days afterward Saturday, a resident-backed group calling itself Sagar Capital instructed residents that the hassle had ended, based on a letter reviewed by Enterprise Insider. Three residents confirmed the letter’s contents.
The letter stated the group had spent two months attempting to barter a deal, however had been unable to take action.
Montoya stated in a name with Enterprise Insider on Monday that the group had agreed to contribute a “truthful quantity” of capital towards the buyout to “get issues rolling,” whereas different residents had been invited through WhatsApp or in particular person to pledge matching funds.
Cambodian authorities stated that 203 residents had been on board when the ship docked in Sihanoukville. In keeping with the letter, 169 residents made pledges, however the quantity pledged was inadequate.
“We had been slightly bit quick, however we had been fairly shut,” Montoya added, declining to say how a lot residents had pledged. He stated that no cash was collected from residents.
Learn extra concerning the Villa Vie Odyssey:
In its letter, Sagar Capital cited plenty of causes for ending the bid, which a number of residents stated was their solely hope of maintaining the Odyssey crusing. These included:
- An lack of ability to succeed in an settlement with the ship’s lender;
- Villa Vie having extra debt than anticipated;
- Potential authorized publicity;
- The price of chapter proceedings;
- The monetary threat to residents’ financial savings.
“It was in all probability extra exploratory than something to see if the assist could be there,” Montoya stated on Monday. “I believe for essentially the most half the assist was there, however it will have been in all probability very tenuous in attempting to maneuver ahead with these issues.”
In an interview with Enterprise Insider on Friday, Petterson stated the corporate was doing all the things it might to maintain the ship afloat after a possible cope with Oneil Khosa, the previous CEO of Margaritaville at Sea, fell by way of earlier this month.
Petterson stated Villa Vie’s focus was on recapitalization. “Ideally, we’d like an operational associate that may are available with a stronger hand and a much bigger pocket,” he stated.
Earlier final week, Petterson instructed Enterprise Insider that the corporate was considering bankruptcy.
Villa Vie, Petterson, and the corporate’s cofounder Kathy Villalba didn’t instantly reply to requests from Enterprise Insider for remark for this story.
The resident-led effort was a ultimate push to save the ship, Montoya stated. Now, he stated, residents are counting on “much more of an extended shot,” corresponding to a “benevolent soul” stepping in.
Cheryl Ethrington, a resident who had deliberate to pledge towards the buyout, stated: “I have never fully given up hope that somebody will choose up the baton and run with it. If not, life goes on.”
You’ll be able to learn the letter from Sagar Capital to residents in full under:
A Letter to our Fellow Odyssey Residents October 31, 2026 Dearest fellow residents and cherished mates, It’s with profound unhappiness that we write sharing the troublesome information that Sagar Capital has ended its efforts to guide residents in buying and working the Odyssey. Sadly, this determination is ultimate. Out of respect, we need to share a transparent and candid clarification. Why we’re carry this to an in depth:
- No settlement with the lender. We negotiated with the ship’s lender for 2 months and couldn’t attain phrases. We perceive the lender, with Columbia Ship administration, has now taken management of the ship and intends to promote it at public sale.
- Extra debt than we anticipated. We got entry to Villa Vie’s information solely final Saturday. Our evaluation discovered considerably extra debt than we had anticipated.
- Authorized publicity. Taking on Villa Vie and altering its administration would have uncovered Sagar to important legal responsibility from present and future lawsuits.
- The price of chapter. A Chapter 11 course of would value about $3 million for the primary 60 days alone and will take for much longer if lawsuits had been filed.
- The chance to your financial savings. We couldn’t discover a month-to-month payment that each lined the ship’s working prices and stayed inexpensive. We couldn’t in good conscience ask anybody to place their financial savings in danger on a plan which may not succeed.
What we got down to do Our solely goal was to maintain the ship crusing for the individuals who name it house. It was by no means our intent to promote something to anybody, or to press anybody into a call. We tried to provide the info as we realized them, and we’re sorry the info didn’t permit us to succeed. Profound Gratitude We acquired 169 pledges. To every of you who pledged, and to everybody who answered surveys, joined calls and provided concepts: thanks in your belief and your dedication. Your pledge: no cash was collected. What we’ve got realized over these months belongs to this group. If residents with the monetary means to hold an effort ahead ever come collectively, we’ll enthusiastically take part. We’re certain collectively by this exceptional, unlikely journey and can endlessly stay your neighbors and mates. We all know this can be a tender second, and have to lean on each other for emotional and sensible assist. With that on our hearts, we might need to collect nearly within the coming days so we are able to share, mirror, and assist one another as a group. The newly elected interim Resident Council is prepared to serve or help the place wanted. Although this chapter is closing, our group stays sturdy. Please attain out to at least one one other as we at all times have, whether or not to speak, share assets, or navigate subsequent steps collectively. We’ve got been and can stay on this collectively, and we’ll proceed to assist each other. With respect and gratitude, Sagar Capital LLC