CTI BioPharma Prices Underwritten Public Offering of $60 Million of Common Stock
SEATTLE, Feb. 9, 2018 /PRNewswire/ -- CTI BioPharma Corp. (CTI BioPharma) (NASDAQ: CTIC) today announced the pricing of an underwritten public offering of 20,000,000 shares of its common stock, at a public offering price of $3.00 per share of common stock. In addition, CTI BioPharma has granted the underwriters a 30-day option to purchase up to an additional 3,000,000 shares of common stock at the public offering price, less the underwriting discount.
Proceeds to CTI BioPharma from the offering are expected to be $55.8 million, after deducting underwriting discounts and commissions and other estimated offering expenses payable by CTI BioPharma. CTI BioPharma plans to use the net proceeds of the offering to complete the PAC203 clinical trial, complete the review of the pacritinib MAA by the EMA, conduct additional research concerning the possible application of pacritinib in indications outside of myelofibrosis, and complete the PIX306 clinical trial, as well as for general corporate purposes, which may include funding research and development, conducting preclinical and clinical trials, acquiring or in-licensing potential new pipeline candidates, preparing and filing possible new drug applications and general working capital. The offering is expected to close on or about February 13, 2018, subject to customary closing conditions.
Leerink Partners is acting as sole book-running manager for the offering. JMP Securities is acting as senior lead manager, and Needham & Company and Oppenheimer & Co. are acting as lead managers.
The securities are being offered by CTI BioPharma pursuant to a registration statement on Form S-3 relating to the common stock offered in the public offering described above, which was filed with the Securities and Exchange Commission (SEC) and has been declared effective by the SEC. The offering will be made only by means of a written prospectus that forms a part of the registration statement. The final prospectus supplement relating to the offering will be filed with the SEC and will be available on the SEC's website located at http://www.sec.gov. Copies of the final prospectus supplement and the accompanying prospectus relating to the offering, when available, may be obtained from Leerink Partners LLC, Attention: Syndicate Department, One Federal Street, 37th Floor, Boston, MA 02110, by telephone at 800-808-7525, ext. 6132 or by email at firstname.lastname@example.org.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities being offered, nor shall there be any sale of the securities being offered in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.
About CTI BioPharma Corp.
CTI BioPharma Corp. is a biopharmaceutical company focused on the acquisition, development and commercialization of novel targeted therapies covering a spectrum of blood-related cancers that offer a unique benefit to patients and healthcare providers. CTI BioPharma has a late-stage development pipeline, including pacritinib for the treatment of patients with myelofibrosis. CTI BioPharma is headquartered in Seattle, Washington.
This press release includes forward-looking statements, which are within the meaning of the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements are subject to a number of risks and uncertainties, the outcome of which could materially and/or adversely affect actual future results and the trading price of the CTI BioPharma's securities. Such statements include, but are not limited to, statements regarding CTI BioPharma's expectations with respect to the completion, timing and size of the offering and use of the expected net proceeds from the offering. The statements are based on assumptions about many important factors and information currently available to us to the extent we have thus far had an opportunity to fully and carefully evaluate such information in light of all surrounding facts, circumstances, recommendations and analyses. Risks that contribute to the uncertain nature of the forward-looking statements include, among others, risks associated with market conditions and the satisfaction of customary closing conditions related to the offering, the biopharmaceutical industry in general and with CTI BioPharma and its product and product candidate portfolio in particular including, among others, risks associated with the following: that CTI BioPharma cannot predict or guarantee the outcome of preclinical and clinical studies, the potential failure of pacritinib to prove safe and effective as determined by the FDA and/or the European Medicines Agency, changes to study protocol or design or sample size to address any patient safety, efficacy or other issues raised by the FDA or otherwise, that clinical trial results observed to date may differ from future results or that different conclusions or considerations may qualify such results once existing data has been more fully evaluated, that CTI BioPharma may not obtain favorable determinations by other regulatory, patent and administrative governmental authorities, that CTI BioPharma may experience delays in the commencement of preclinical and clinical studies, that the costs of developing pacritinib and CTI BioPharma's other product candidates may rise, other risks, including, without limitation, competitive factors, technological developments, that CTI BioPharma may not be able to sustain its current cost controls or further reduce its operating expenses, that CTI BioPharma may not achieve previously announced goals, contractual milestones and objectives as or when projected, that CTI BioPharma's average net operating burn rate may increase, that CTI BioPharma will continue to need to raise capital to fund its operating expenses, but may not be able to raise sufficient amounts to fund its continued operation as well as other risks listed or described from time to time in CTI BioPharma's most recent filings with the SEC on Forms 10-K, 10-Q and 8-K. Except as required by law, CTI BioPharma does not intend to update any of the statements in this press release upon further developments.
CTI BioPharma Investor Contacts:Tricia Truehart+1 646 378 email@example.com
View original content with multimedia:http://www.prnewswire.com/news-releases/cti-biopharma-prices-underwritten-public-offering-of-60-million-of-common-stock-300596302.html
SOURCE CTI BioPharma Corp.