TORONTO, Feb. 08, 2018 (GLOBE NEWSWIRE) -- Arch Biopartners Inc., (“Arch” or the “Company”) (TSX Venture:ARCH)
(OTCBB:ACHFF), announced it has arranged a non-brokered, unsecured convertible note (“Note”) financing for gross proceeds of CAD
$600,000 (the “Offering”).
The Note matures on February 28, 2021 and will be convertible, at the option of the holder, into common shares
in the capital of the Company (“Common Shares”) at a price per Common Share of $0.60, in the thirty-day period prior to maturity of
the Note.
The Note bears simple interest of 5% per annum, which is payable in-kind by the Company with Common Shares to be
issued at then market prices for the Common Shares and subject to TSX Venture Exchange (“TSXV”) approval in each instance.
The holder has the option until November 30, 2020 to extend the term of the Note another 2 years to February 28,
2023.
The Note is unsecured and transferable, subject to resale restrictions under applicable securities laws and
regulatory requirements.
All securities issued in connection with the Offering are subject to a statutory hold period of four months
commencing on the closing date of the Offering, which is expected to be February 15, 2018.
The Company will use the proceeds to continue funding the ongoing preclinical development of Metablok and the
ongoing clinical development of AB569 during 2018. Metablok is the Company’s drug candidate for inhibiting acute kidney
injury, septic shock and cancer metastasis. AB569 is the Company’s inhalation drug candidate for treating antibiotic-resistant
bacterial infections in the lungs of patients with chronic obstructive pulmonary disease or cystic fibrosis, as well as many other
indications.
The Offering is subject to certain conditions including, but not limited to, the receipt of applicable
regulatory approvals, including Final Approval of the TSXV. There are no finder's fees to be paid in connection with the
Offering.
There is no material fact or material change about the Company that has not been generally disclosed.
About Arch Biopartners
Arch Biopartners Inc. is focused on the development of innovative technologies that have the potential to make a
significant medical or commercial impact. Arch works closely with the scientific community, universities and research institutions
to advance and build the value of select preclinical technologies, develop the most promising intellectual property, and create
value for its investors.
Arch has established a diverse portfolio that includes AB569, a potential new treatment for antibiotic resistant
bacterial infections; Metablok, a potential treatment for inflammation, sepsis and cancer metastasis; MetaMx, which targets elusive
brain tumor initiating cells; and, ‘Borg’ peptide coatings that increase corrosion resistance and decrease biofilm on various
medical grade metals and plastics.
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 56,549,679 common shares outstanding.
For more information, please contact:
Richard Muruve
Chief Executive Officer
Arch Biopartners, Inc.
647-428-7031
info@archbiopartners.com
Forward-Looking Statements
All statements, other than statements of historical fact, in this news release are 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. These and all subsequent written and oral forward-looking statements
are based on the estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by
this notice. The Company assumes no obligation to update forward-looking statements should circumstances or management’s estimates
or opinions change.
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.
