Mr. John Constantine reports

ARCPOINT REACHES AGREEMENT TO SELL 68% OWNERSHIP STAKE IN NON-CORE ASSET

Arcpoint Inc. has entered into an agreement for the sale of its 68-per-cent share ownership interest in Achieve Behavioral Health Greenville LLC for total consideration of $480,000 (U.S.). From the total consideration amount, the buyer of Arcpoint's interest in Achieve will deduct $120,000 (U.S.) in recognition of net amounts owing between the two parties and make a total cash payment of $360,000 (U.S.) to Arcpoint. Achieve is a South Carolina company that operates under the brand name Vertical Treatment Centers, and provides drug and alcohol addiction treatment services.

Arcpoint president and chief executive officer John Constantine commented, "The sale of this non-core asset further streamlines our operations and will provide us with working capital funds to advance technology platform integration work so that we may begin on-boarding the Cresso Brands franchisee locations not currently on our MyArcpointLabs technology platform."

On Aug. 20, 2024, the company announced that it had entered into a transaction with Any Lab Test Now to bring together the franchise operations of both ALTN and Arcpoint into a new joint venture company, Cresso Brands LLC. ALTN, based in Atlanta, Ga., was founded in 1992, and at the time of the Aug. 20, 2024, transaction, had more than 235 U.S. franchise locations providing direct access to clinical, DNA, and drug and alcohol lab testing services, as well as phlebotomy and other specimen collection services, through its retail storefront business model. When combined with the more than 135 Arcpoint franchise group locations, also at the time of the transaction, Cresso became the largest franchise network of its kind in the United States. At the time of the Cresso transaction, ALTN and Arcpoint also agreed to make Arcpoint's MyArcpointLabs technology platform the choice for Cresso brand franchisees.

The transaction is a non-arm's-length transaction in accordance with the policies of the TSX Venture Exchange. The transaction also constitutes a related-party transaction within the meaning of Multilateral Instrument 61-101 (Protection of Minority Security Holders in Special Transactions). Notwithstanding the foregoing, the directors of the company have determined that the transaction will be exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 in reliance on the exemptions set forth in sections 5.5(a) and 5.7(1)(b) of MI 61-101.

About Arcpoint Inc.

Arcpoint is an innovative United States-based health care company that leverages technology along with bricks and mortar locations to give businesses and individual consumers access to convenient, cost-effective health care information and solutions with transparent, upfront pricing, so that they can be pro-active and preventative with their health and well-being.

We seek Safe Harbor.