Toronto, Ontario--(Newsfile Corp. - April 15, 2024) - NuGen Medical Devices Inc. (TSXV: NGMD) (the "Company" or "NuGen") announces that it has agreed to settle an aggregate of €275,000 of indebtedness owed to Care4Pharma B.V. ("Care4Pharma"), an arm's length creditor (the "Creditor"), with respect to monies owed pursuant to the share purchase agreement between the Company and Care4Pharma dated June 30, 2021 (the "Share Purchase Agreement"), through the issuance of an aggregate of 2,000,000 common shares (the "Common Shares") of the Company at a deemed price of $0.20 per Common Share (the "Debt Settlement"). The Company has elected to settle the indebtedness through the issuance of Common Shares to preserve cash and improve the Company's balance sheet.
The Debt Settlement remains subject to receipt of all necessary corporate and regulatory approvals, including the final approval of the TSX Venture Exchange. All Common Shares issued in connection with the Debt Settlement shall be subject to a statutory hold period of four months plus a day from the date of issuance in accordance with applicable securities legislation.
Further, the Company announces that it has agreed to extend certain payment obligations under the Share Purchase Agreement with Care4Pharma to allow the Company to repay the €1,200,000 payment originally due to Care4Pharma on March 8, 2023 at any time on or prior to November 8, 2026 with interest of eight percent (8%) per annum on any unpaid amounts calculated from November 8, 2021. In consideration for the extension of time for repayment, the Company has agreed to pay Care4Pharma an additional €275,000 to be paid on or prior to November 8, 2026, such amount to be paid immediately following the completion of a financing of the Company in the minimum amount of C$3,500,000. For further information regarding the Share Purchase Agreement and related terms please see the prospectus of the Company dated September 29, 2021 available on the Company's SEDAR profile at www.sedarplus.ca.
Nugen CEO Ian Heynen commented "I am very pleased to see this agreement to the extension of time for repayment. I have been in significant discussions with Care4Pharma including a live meeting in the Netherlands with their CEO. This agreement reflects their belief in our strategic direction: enhancing clinical marketing to accelerate our InsujetTM opportunity, while opening up new opportunities for growth with Biosimilars. It allows us to continue to focus our cash on our key growth priorities and I want to thank Care4Pharma for their partnership in getting this done."
About NuGen:
NuGen is a leading developer of needle-free devices to administer therapeutics subcutaneously.
The Company is marketing and selling its next-generation InsuJet™ needle-free injection system designed to improve the lives of millions of diabetics.
InsuJet™ is approved for sale in 42 countries around the world.
For further information, please visit:
Websites: www.insujet.com and www.nugenmd.com
Instagram: @NuGenMD
Twitter: @NuGenMD
LinkedIn: https://www.linkedin.com/company/nugenmd/
For further information, please contact:
Tony Di Benedetto
Executive Chairman
(416) 791-9399
tony@nugenmd.com
Ian Heynen
CEO
(416) 560-1019
ian@nugenmd.com
To arrange a media interview with NuGen, please contact:
Morna Gorman
(416) 553-1732
morna@nugenmd.com
Notice Regarding Forward-Looking Information:
Neither TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accept responsibility for the adequacy or accuracy of this release.
This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking statements") within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates, and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as "expects", or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budget", "scheduled", "forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. These forward-looking statements are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. The forward-looking information contained herein is given as of the date hereof and the Company assumes no responsibility to update or revise such information to reflect new events or circumstances, except as required by law.
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