Michael Abrams - Jul 6, 2022 Form 4 Insider Report for Arch Therapeutics, Inc. (ARTH)

Role: CHIEF FINANCIAL OFFICER
Signature: /s/ Michael Abrams
Stock symbol: ARTH
Transactions as of: Jul 6, 2022
Transactions value $: $0
Form type: 4
Date filed: 7/8/2022, 04:57 PM
Previous filing: Oct 1, 2021
Next filing: Nov 10, 2022

Transactions Table

Type	Sym	Class	Transaction	Value $	Shares	Change %	* Price $	Shares After	Date	Ownership	Footnotes
transaction	ARTH	Common Stock	Award		+109K			109K	Jul 6, 2022	Direct	F1

Derivative Securities (e.g., puts, calls, warrants, options, convertible securities)

Type	Sym	Class	Transaction	Value $	Shares	Change %	* Price $	Shares After	Date	Underlying Class	Amount	Exercise Price	Ownership	Footnotes
transaction	ARTH	Senior Secured Convertible Notes	Award		+36K			$36K	Jul 6, 2022	Common Stock	788K		Direct	F1, F2
transaction	ARTH	Warrants	Award		+724K			724K	Jul 6, 2022	Common Stock	724K	$0.05	Direct	F1, F3

* An asterisk sign (*) next to the price indicates that the price is likely invalid.

Explanation of Responses:

Id	Content
F1	The shares of common stock, senior secured convertible notes (the "Notes") and warrants were issued to the Reporting Person in connection with a convertible note offering entered into by the Reporting Person and the Issuer (the "Offering"), which Offering was approved by the Issuer's Board of Directors and, in accordance with Rule 16b-3(d)(1) of the Exchange Act (the "Act"), is exempt from Section 16(b) of the Act pursuant to Rule 16b-3(e) promulgated thereunder.
F2	The Notes become due and payable on January 6, 2024, bear interest at a rate of 10% per annum, are convertible at the option of the holder pursuant to certain provisions with an initial conversion price of $0.0457, contain customary events of default and are subject to certain beneficial ownership limitations.
F3	Conversion of the warrants is subject to certain beneficial ownership limitations.