Acasti, Neptune Technologies deal

Acasti prepaid its parent company Neptune about C$15.5 million ($15 million) in stock for royalties Neptune was eligible to receive under a 2008 deal granting its subsidiary rights to develop new APIs based on Neptune's IP and technology. The subsidiary issued Neptune 6.8 million Acasti shares, which are valued at about C$15 million based on the pre-established prepayment formula in the license. As a result, Neptune's stake in Acasti increased to 60% from 57%.

Acasti, which exercised its option to prepay the royalties last December, said being royalty-free allows it to preserve cash of at least C$700,000 ($675,479) annually and will bring more "flexibility and strength" in negotiating deals with potential partners. ...