ARCH Arch Biopartners Inc

Arch Biopartners Inc., (“Arch” or the “Company”) (TSX Venture: ARCH and OTCQB: ACHFF) announced today that the Company has arranged a shares for debt transaction to settle an aggregate of $172,500 in interest accrued up to September 30, 2023 on all five of the deferred convertible notes outstanding and disclosed in the Company’s financial statements (the “Notes”).

The shares for debt settlement is pending final approval from the TSX Venture Exchange (TSXV) which will be followed by the Company issuing 156,818 common shares (Settlement Shares) at a deemed price of $1.10 to the holder of the Notes and who is an arms-length party to the Company. The terms of the Notes require the issuance of common shares to settle interest owing by the Company and subject to TSXV approval pursuant to TSXV Policy 4.3 - Shares for Debt. The Settlement Shares will be issued subject to prospectus exemptions available pursuant to Canadian securities law and will be subject to a four month hold period which will expire February 24, 2024.

The details of the Notes can be found in note 7 of the Company’s 2023 Q3 interim financial statements. The aggregate total notional value of the Notes is $3.1M CAD and the Notes are convertible into common shares only at maturity. The maturities of the specific Notes disclosed as notes A, B and D in note 7 have been extended from September 30, 2023 to September 30, 2024. The maturity of Note C has been extended from January 24, 2024 to September 30, 2024. The maturity of Note E remains February 1, 2025.

The shares for debt transaction was approved by the Company’s Board of Directors and did not require a formal valuation nor minority shareholder approval pursuant to Multilateral Instrument 61-101.

About Arch Biopartners

Arch Biopartners Inc. is a clinical stage company focused on the development of innovative technologies that have the potential to make a significant medical or commercial impact. Arch is developing a pipeline of new drug candidates that inhibit inflammation in the lungs, liver and kidneys via the dipeptidase-1 (DPEP-1) pathway, relevant for multiple medical indications.

For more information on Arch Biopartners, its technologies and other public documents Arch has filed on SEDAR, please visit www.archbiopartners.com

The Company has 62,598,815 common shares outstanding not including the pending shares for debt transaction described herein.

Please send a message or subscribe for email alerts at the company website using the link here www.archbiopartners.com/contact-us

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of applicable Canadian securities laws regarding expectations of our future performance, liquidity and capital resources, as well as the ongoing clinical development of our drug candidates targeting the dipeptidase-1 (DPEP-1) pathway, including the outcome of our clinical trials relating to LSALT peptide (Metablok), the successful commercialization and marketing of our drug candidates, whether we will receive, and the timing and costs of obtaining, regulatory approvals in Canada, the United States, Europe and other countries, our ability to raise capital to fund our business plans, the efficacy of our drug candidates compared to the drug candidates developed by our competitors, our ability to retain and attract key management personnel, and the breadth of, and our ability to protect, our intellectual property portfolio. These statements are based on management’s current expectations and beliefs, including certain factors and assumptions, as described in our most recent annual audited financial statements and related management discussion and analysis under the heading “Business Risks and Uncertainties”. As a result of these risks and uncertainties, or other unknown risks and uncertainties, our actual results may differ materially from those contained in any forward-looking statements. The words “believe”, “may”, “plan”, “will”, “estimate”, “continue”, “anticipate”, “intend”, “expect” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. We undertake no obligation to update forward-looking statements, except as required by law. Additional information relating to Arch Biopartners Inc., including our most recent annual audited financial statements, is available by accessing the Canadian Securities Administrators’ System for Electronic Document Analysis and Retrieval (“SEDAR”) website at www.sedar.com .

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release

For more information, please contact:

Richard Muruve
Chief Executive Officer
Arch Biopartners Inc
1 647 428 7031