Mr. Aaron Benson reports

ARCH BIOPARTNERS ARRANGES NON-BROKERED PRIVATE PLACEMENT

Arch Biopartners Inc. has arranged a non-brokered private placement offering of 1,058,823 common shares priced at 85 cents per common share for gross proceeds of $900,000.

The proceeds of the offering will be used by Arch to begin onboarding clinical sites in the United States for the company's phase II trial for LSALT peptide targeting cardiac-surgery-associated acute kidney injury, to accelerate preclinical studies for the company's IL-32 chronic kidney disease program, to market the company to a larger financial and industry audience, and for general working capital to be used for operating expenses.

The offering will settle on or about Nov. 12, 2026, and is subject to certain conditions, including, but not limited to, the receipt of applicable regulatory approvals, including conditional and final approvals from the TSX Venture Exchange, as well as the satisfaction of customary closing conditions.

The offering will involve the issuance of 729,411 of the common shares to an officer of the company and therefore a related party (as such term is defined under Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions) and therefore constitutes a related party transaction under MI 61-101. This transaction is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 pursuant to sections 5.5(a) and 5.7(1)(a) of MI 61-101 as the fair market value of the common shares distributed and the consideration received from the related party in the private placement does not exceed 25 per cent of the company's market capitalization.

All common shares issued in connection with the offering will be subject to a hold period of four months and one day from the closing date. There is a finder's fee expected to be paid in connection with one non-related-party subscriber to the offering. The final amount of the finder's fee will be confirmed on the settlement day.

There is no material fact or material change about the company that has not been generally disclosed.

About Arch Biopartners Inc.

Arch Biopartners is a therapeutic biotechnology company developing on-target drugs for acute kidney injury (AKI) and chronic kidney disease (CKD). The company is advancing an integrated program that includes new treatments targeting inflammation- and toxin-related kidney injury.

Arch's development pipeline includes:

• LSALT peptide: in a phase II trial targeting cardiac-surgery-associated AKI;
• Cilastatin: a repurposed drug in a phase II trial targeting toxin-induced AKI;
• CKD platform: next-generation therapeutics targeting chronic kidney disease.

These assets represent distinct, mechanism-based approaches to protecting the kidney from common causes of acute and chronic damage. Chronic kidney disease affects more than 800 million people around the world, while acute kidney injury adds a further significant burden. Together, Arch's programs target unmet needs across both acute and chronic kidney disease.

Both phase II programs are currently enrolling patients at Canadian clinical sites, with an additional Canadian site in development and a U.S. expansion of the CS-AKI trial under way.

The company has 67,933,289 common shares outstanding.

We seek Safe Harbor.