Nuvo, Zars deal

Nuvo acquired pain company Zars Pharma in a stock deal valued at C$10.5 million ($10.8 million) based on Nuvo's close of C$0.11 the day before the deal closed. Zars shareholders received about 99.8 million Nuvo shares and about C$150,000 ($154,636) in cash. Nuvo also assumed $2 million of Zars' debt. The shares represent about a 19.2% stake in Nuvo. Additionally, Zars shareholders are eligible for up to C$22.9 million ($23.6 million) in promissory notes based on certain undisclosed milestones. The 18-month secured promissory notes bears 18% interest. Nuvo also said it will seek shareholder approval at its June 21 annual meeting to issue Zars shareholders Nuvo shares at C$0.20 per share in place of the promissory notes. ...