Motus GI Amends Royalty Agreement; Cancelled Royalty Rights In Exchange For 1,455,641 Shares OF Motus Stock; Elimination Of ~$1M In Contingent Royalty Obligations
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Motus GI has amended its royalty agreement, cancelling royalty rights in exchange for 1,455,641 shares of its own stock. This move eliminates approximately $1M in contingent royalty obligations.
September 14, 2023 | 8:17 pm
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Motus GI's amendment of its royalty agreement, which involves the cancellation of royalty rights for 1,455,641 shares of its stock, eliminates about $1M in contingent royalty obligations.
The amendment of the royalty agreement by Motus GI could be seen as a positive move by investors as it eliminates a significant financial obligation. However, the issuance of additional shares could dilute existing shareholders' equity, which might put downward pressure on the stock price. Therefore, the short-term impact on the stock price is uncertain.
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