TORONTO, Dec. 15, 2022 (GLOBE NEWSWIRE) -- 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 $201,459 in interest accrued up to September 30, 2022 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 68,523 common shares (Settlement Shares) at a deemed price of $2.94 to the holder of the Notes and who is an arms-length party to the Company. The terms of the Notes originally required 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 April 16, 2023.
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.
Grant of Options
The Company also announced today that its Board of Directors has granted a total of 785,000 stock options to directors, officers and certain consultants pursuant to the Company's stock option plan and the requirements of the TSX Venture Exchange (TSXV).
The total grant of 500,000 options to the directors and officers represents remuneration for serving on the board and managing the Company's affairs for the annual periods ending April 1, 2022 and April 1, 2023.
Each of the director and officer stock options is exercisable into one common share of the Company for a period of ten years. All of the stock options issued today are exercisable at $3.00 per share and will be subject to all necessary regulatory approvals.
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 62,330,302 common shares outstanding not including the pending shares for debt transaction described herein.
For more information, please contact:
Richard Muruve
Chief Executive Officer
Arch Biopartners Inc.
1 647 428 7031
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 and forward-looking information, or, collectively, forward-looking statements, within the meaning of applicable securities laws, that are based on Arch Biopartners’ management’s beliefs and assumptions and on information currently available to Arch Biopartners’ management. All statements, other than statements of historical fact, in this news release are considered forward looking statements that involve various risks and uncertainties, including, without limitation, statements regarding the future plans and objectives of the Company. There can be no assurance that such statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. One can identify forward-looking statements by terms such as "may", "will", "should", "could", “would”, "outlook", "believe", "plan", "anticipate", "expect" and "estimate", or the negatives of these terms, or variations of them. The forward-looking statements contained in this press release include, but are not limited to, statements regarding the potential efficacy and safety of LSALT Peptide (LSALT) in patients who have inflammation of the lungs and other organs such as the liver and kidneys; the ongoing clinical development of LSALT in future human trials and other indications outside of COVID-19 patients.
Forward-looking statements are based upon a number of assumptions and include, but are not limited to, the following: results observed in pre-clinical in-vivo studies; previous human trials including a Phase I and a Phase II trial where LSALT was dosed in human patients; the past performance of the network of hospitals involving other trials and the dosing of other treatments for COVID-19 patients; the ability of participating hospitals to enroll enough patients to complete the study of LSALT in the planned number of COVID-19 patients; and the COVID-19 pandemic worsening or lessening will not adversely affect the development of LSALT and other DPEP-1 targeting therapeutics in Arch Biopartners’ portfolio of new drugs under development.
Forward-looking statements are subject to a variety of risks and uncertainties, many of which are beyond our control that could cause our actual results to differ materially from those that are disclosed in or implied by the forward-looking statements contained in this press release. These risks and uncertainties include, among others, the risk that results (whether safety or efficacy, or both) obtained through the administration of LSALT in humans will not be similar to those obtained in pre-clinical studies or in the previously completed Phase I and Phase II trials; the risks that the hospitals participating in the CATCO trial are unable to enroll enough patients to complete the study of LSALT as a treatment for organ inflammation in COVID-19 patients; or, that serious adverse effects resulting from the administration of LSALT are discovered leading to a suspension or cancellation of any development work using LSALT; and, the risk that new organ inflammation treatments are discovered or introduced by competitors which may prove safer and/or more effective than LSALT.
We refer potential investors to the "Risk Factors" section of our annual Management and Discussion and Analysis dated January 28, 2022 available on SEDAR at www.sedar.com and on our website at www.archbiopartners.com for additional risks regarding the conduct of Arch Biopartners’ business and enterprise in general. The reader is cautioned to consider these and other risks and uncertainties carefully and not to put undue reliance on forward-looking statements. Forward-looking statements reflect current expectations regarding future events and speak only as of the date of this press release and represent management’s expectations as of that date.
Arch Biopartners’ management undertakes no obligation to update or revise the information contained in this press release, whether as a result of new information, future events or circumstances or otherwise, except as may be required by applicable law.
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
