Oncothyreon (ONTY) Announces Commitments To Purchase $11.1 million of Company Securities

May 20, 2009 8:30 AM EDT

Oncothyreon Inc. (Nasdaq: ONTY) announced that it has obtained commitments from several investors to purchase approximately 3.88 million shares of its common stock and warrants to purchase approximately 2.91 million shares of its common stock for gross proceeds of approximately $11.1 million. The investors have agreed to purchase the shares and warrants for $2.85 per unit (each unit consisting of one share and a warrant to purchase 0.75 shares of common stock), which price represents approximately a 12% discount to the trailing 60-trading day volume weighted average price of $3.23. The exercise price of the warrants will be $3.92 per share. The warrants will be exercisable at any time on or after the six-month anniversary and prior to the fifth anniversary of the closing of the transaction. The closing of the offering is expected to take place on May 26, 2009, subject to satisfaction of customary closing conditions. Oncothyreon plans to use the proceeds from this financing for general corporate purposes. Boenning & Scattergood, Inc. acted as exclusive placement agent in the transaction

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• Boenning & Scattergood

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