MEI Pharma Announces Closing Of $27.5 Million Private Placement

       MEI Pharma Announces Closing Of $27.5 Million Private Placement

PR Newswire

SAN DIEGO, Dec. 19, 2012

SAN DIEGO, Dec. 19, 2012 /PRNewswire/ --MEI Pharma, Inc. (Nasdaq: MEIP), an
oncology company focused on the clinical development of novel therapies for
cancer, announced today that it has completed its previously announced private
placement of common stock and warrants in a financing led by new investors
Vivo Ventures and New Leaf Venture Partners. Gross proceeds from the private
placement were $27.5 million, before deducting fees and expenses. The Company
intends to use the net proceeds primarily to advance the clinical development
of its lead drug candidate, Pracinostat, an oral histone deacetylase (HDAC)


"The completion of this financing caps a pivotal year for our company and
comes on the heels of exciting data presented last week at the American
Society of Hematology Annual Meeting," said Daniel P. Gold, Ph.D., President
and Chief Executive Officer of MEI Pharma. "These data from a pilot Phase II
trial of Pracinostat in combination with azacitidine in patients with advanced
myelodysplastic syndrome (MDS) showed that eight of the nine patients treated
at the MD Anderson Cancer Center achieved a clinical response (CR, CRi, & PR).
Combined with the results from an additional, previously unreported patient
treated at the University of Wisconsin-Madison who achieved a complete
response, the trial showed an overall response rate of 90% (nine out of 10).

"Now, with the proceeds from this financing," continued Dr. Gold, "we look
forward to further evaluating the combination of Pracinostat and azacitidine
in a larger, randomized, placebo-controlled Phase II trial in this high-risk
MDS population. We are working diligently to initiate this trial and expect to
begin enrolling patients by the second quarter of 2013."

The Company also announced that it has effected a 1-for-6 reverse stock split
of its common stock, decreasing the number of shares issued and outstanding
from approximately 27.2 million immediately prior to the reverse stock split
to approximately 13.7 million after giving effect to the reverse stock split
and the closing of the private placement.

The reverse split is another in a series of strategic actions the Company has
undertaken to position itself for future growth and is intended to attract a
broader range of institutional investors.

The Company's common stock will begin trading on a reverse stock
split-adjusted basis when the market opens today, December 19, 2012. As a
result of the reverse stock split, every six shares of issued and outstanding
common stock were automatically converted into one issued and outstanding
share of common stock. The new CUSIP number for the common stock following the
reverse stock split is 55279B 202.

About MEI Pharma

MEI Pharma, Inc. (Nasdaq: MEIP) is a San Diego-based oncology company focused
on the clinical development of novel therapies for cancer. The Company's lead
drug candidate is Pracinostat, a potential best-in-class, oral histone
deacetylase (HDAC) inhibitor, which has been tested in multiple Phase I and
pilot Phase II clinical trials, including advanced hematologic malignancies
such as myelodysplastic syndrome (MDS), acute myeloid leukemia and
myelofibrosis. The Company expects to initiate a randomized Phase II trial of
Pracinostat in combination with azacitidine in patients with MDS by the second
quarter of 2013. In addition, MEI Pharma is developing two drug candidates
derived from its isoflavone-based technology platform, ME-143 and ME-344. For
more information, go to

Under U.S. law, a new drug cannot be marketed until it has been investigated
in clinical trials and approved by the FDA as being safe and effective for the
intended use. Statements included in this press release that are not
historical in nature are "forward-looking statements" within the meaning of
the "safe harbor" provisions of the Private Securities Litigation Reform Act
of 1995. You should be aware that our actual results could differ materially
from those contained in the forward-looking statements, which are based on
management's current expectations and are subject to a number of risks and
uncertainties, including, but not limited to, our failure to successfully
commercialize our product candidates; costs and delays in the development
and/or FDA approval, or the failure to obtain such approval, of our product
candidates; uncertainties or differences in interpretation in clinical trial
results; our inability to maintain or enter into, and the risks resulting from
our dependence upon, collaboration or contractual arrangements necessary for
the development, manufacture, commercialization, marketing, sales and
distribution of any products; competitive factors; our inability to protect
our patents or proprietary rights and obtain necessary rights to third party
patents and intellectual property to operate our business; our inability to
operate our business without infringing the patents and proprietary rights of
others; general economic conditions; the failure of any products to gain
market acceptance; our inability to obtain any additional required financing;
technological changes; government regulation; changes in industry practice;
and one-time events. We do not intend to update any of these factors or to
publicly announce the results of any revisions to these forward-looking

SOURCE MEI Pharma, Inc.

Contact: Pete De Spain, Sr. Director, Investor Relations & Corporate
Communications, +1-858-792-3729,
Press spacebar to pause and continue. Press esc to stop.