FRIDAY, 1:14am: The Nuggets have officially announced the trade in a press release.
THURSDAY, 10:42pm: The Grizzlies and Nuggets have reached an agreement on a trade that will send Darrell Arthur and the 55th overall pick to Denver in exchange for Kosta Koufos, reports ESPN.com's Marc Stein (via Twitter).
Arthur will earn about $3.23MM next season, while Koufos makes an even $3MM, so the Nuggets take on a little salary in the deal. As Stein tweets, the Denver front office wasn't happy that George Karl started Koufos over JaVale McGee last season. Even with Karl gone, the Nuggets have ensured that it won't happen again next year.