CytRx Corporation (Nasdaq: CYTR), a biopharmaceutical research
and development company specializing in oncology, today announced the
sale of an additional 1.5 million shares of common stock pursuant to the
exercise in full by the underwriters of the over-allotment option
granted to the underwriters in connection with CytRx's recently
announced public offering of 10.0 million shares of common stock at a
price to the public of $2.25 per share. The gross proceeds to CytRx from
the offering, including the exercise of the over-allotment option, will
be approximately $25.9 million, before deducting underwriting discounts
and commissions and other offering expenses payable by CytRx. The
offering is expected to close on October 15, 2013, subject to
satisfaction of customary closing conditions.
CytRx intends to use the net proceeds of the offering to fund its
clinical trials of its drug candidate aldoxorubicin and for general
corporate purposes, which may include working capital, capital
expenditures and research and development and other commercial
expenditures.
Aegis Capital Corp. is acting as the sole book-running manager for the
offering.
H.C. Wainwright & Co., LLC is acting as a co-lead manager for the
offering.
CytRx is offering the shares described above pursuant to a shelf
registration statement on Form S-3, including a base prospectus, that
was previously filed with the Securities and Exchange Commission (SEC)
and that is effective. The securities may be offered only by means of a
prospectus. A preliminary prospectus supplement related to the offering
has been filed with the SEC on October 8, 2013 and a final prospectus
supplement related to the offering was filed with the SEC. Electronic
copies of the preliminary prospectus supplement and, when available, the
final prospectus supplement, as well as the accompanying prospectus, may
be obtained by either contacting the representative of the underwriters
(as set forth below) or by accessing the SEC’s website at http://www.sec.gov.
Aegis Capital Corp.
Prospectus Department
810 Seventh Avenue,
18th Floor
New York, New York 10019
Telephone: 212-813-1010
E-mail:
prospectus@aegiscap.com
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy any securities of CytRx Corporation, nor
shall there be any sale of these securities in any state or jurisdiction
in which such offer, solicitation or sale is not permitted.
About CytRx Corporation
CytRx Corporation is a biopharmaceutical research and development
company specializing in oncology. CytRx currently is focused on the
clinical development of aldoxorubicin (formerly known as INNO-206), its
improved version of the widely used chemotherapeutic agent doxorubicin.
CytRx is conducting a global Phase 2b clinical trial with aldoxorubicin
as a treatment for soft tissue sarcomas, has completed its Phase 1b/2
clinical trial primarily in the same indication and a Phase 1b study of
aldoxorubicin in combination with doxorubicin in patients with advanced
solid tumors, and has completed a Phase 1b pharmacokinetics clinical
trial in patients with metastatic solid tumors. CytRx plans to initiate
under a special protocol assessment a potential pivotal Phase 3 global
trial with aldoxorubicin as a therapy for patients with soft tissue
sarcomas whose tumors have progressed following treatment with
chemotherapy. CytRx also is initiating Phase 2 clinical trials with
aldoxorubicin in patients with late-stage glioblastoma (brain cancer)
and AIDS-related Kaposi’s sarcoma. CytRx plans to expand its pipeline of
oncology candidates based on a linker platform technology that can be
utilized with multiple chemotherapeutic agents and may allow for greater
concentration of drug at tumor sites. CytRx also has rights to two
additional drug candidates, tamibarotene and bafetinib. CytRx completed
its evaluation of bafetinib in the ENABLE Phase 2 clinical trial in
high-risk B-cell chronic lymphocytic leukemia (B-CLL), and plans to seek
a partner for further development of bafetinib. For more information
about CytRx Corporation, visit www.cytrx.com.
Forward-Looking Statements
This press release contains statements relating to the proposed offering
that are forward-looking statements within the meaning of Section 21E of
the Securities Exchange Act of 1934, as amended. Such statements involve
risks and uncertainties, such as market risks and the risk that the
conditions to the closing of the offering will not be satisfied. All
forward-looking statements are based upon information available to CytRx
on the date the statements are first published. CytRx undertakes no
obligation to publicly update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise.
Copyright Business Wire 2013