- JanOne Inc (NASDAQ:JAN) sold all of the assets, and none of the liabilities, of GeoTraq Inc., its wholly-owned subsidiary, to SPYR Inc (OTC:SPYR) for an aggregate of $13.5 million.
- The purchase price is payable in cash and shares of SPYR's common stock.
- SPYR issued 30 million shares of its common stock and delivered a five-year Promissory Note to JanOne in the initial principal amount of $12.6 million. The Promissory Note bears simple interest at an annual rate of 8% and delivers quarterly interest payments in arrears.
- "We believe this transaction further allows us to focus on our main business. Right now, our priority is the development of drugs with non-addictive, pain-relieving properties, specifically JAN101 (formerly known as TV1001SR), which is a potential treatment for peripheral artery disease (PAD). This sale of our subsidiary will help us continue to fund the necessary clinical trials for JAN101," commented Tony Isaac, CEO of JanOne.
- Price Action: JAN shares are trading higher by 83% at $4.10 and SPYR lower by 9.87% at $0.03 on the last check Tuesday.
