Cell Therapeutics Announces Sale of Convertible Preferred Stock

       Cell Therapeutics Announces Sale of Convertible Preferred Stock

PR Newswire

SEATTLE, Sept. 13, 2013

SEATTLE, Sept. 13, 2013 /PRNewswire/ -- Cell Therapeutics, Inc. ("CTI")
(Nasdaq and MTA: CTIC) today announced that it has agreed to sell 15,000
shares of its Series 18 Preferred Stock directly to Quogue Capital LLC and an
affiliate of Perceptive Advisors LLC in a registered direct offering conducted
without an underwriter or placement agent for gross proceeds of approximately
$15 million (the "Offering"). The net proceeds from the Offering, after
deducting estimated offering expenses, will be approximately $14.8 million.

Each share of Series 18 Preferred Stock will have a stated value of $1,000 per
share and will be convertible at the option of the holder, at any time prior
to the automatic conversion of such shares in certain circumstances, into a
total of 15 million shares of registered common stock at a conversion price of
$1.00 per share of common stock. Shares of the Series 18 Preferred Stock will
receive dividends in the same amount as any dividends declared and paid on
shares of common stock, but would be entitled to a liquidation preference over
the common stock in certain liquidation events. The Series 18 Preferred Stock
will have no voting rights on general corporate matters.

CTI plans to use the net proceeds from the Offering to continue Phase 3 trials
of pacritinib and to support the commercialization of PIXUVRI^® (pixantrone)
in Europe as well as for general corporate purposes, which may include, among
other things, funding research and development, preclinical and clinical
trials, the preparation and filing of new drug applications and general
working capital. The Offering is expected to close on or about September 18,

The securities described above are being offered by CTI pursuant to a shelf
registration statement previously filed with the Securities and Exchange
Commission (the "SEC"), which the SEC declared effective on November 1,
2011.A prospectus supplement related to the Offering will be filed with the
SEC and will be available on the SEC's website located at http://www.sec.gov.
Alternatively, CTI will arrange to send you the prospectus supplement and the
accompanying prospectus upon request by calling CTI at (206) 282-7100.

This press release shall not constitute an offer to sell or the solicitation
of an offer to buy these securities, nor shall there be any sale of these
securities 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. The shares of Series 18 Preferred Stock (and the shares of
common stock into which each share of Series 18 Preferred Stock will be
convertible) will not be offered, sold or distributed, directly or indirectly,
in Italy in an offer to the public of financial products under the meaning of
Article 1, paragraph 1, letter t) of Legislative Decree No. 58 of February 24,
1998, as amended (the "Financial Services Act"), unless an express exemption
from compliance with the restrictions on offers to the public, including,
without limitation, as provided under Article 100 of the Financial Services
Act and Article 34-ter of CONSOB Regulation No. 11971 of May 14, 1999, as
amended, applies.

About Cell Therapeutics, Inc.

CTI (NASDAQ and MTA: CTIC) is a biopharmaceutical company committed to the
development and commercialization of an integrated portfolio of oncology
products aimed at making cancer more treatable. CTI is headquartered in
Seattle, WA.

Forward-Looking Statements

This press release includes forward-looking statements 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 CTI's securities. Such statements include,
but are not limited to, statements regarding CTI's expectations with respect
to the completion and timing of its proposed Offering and use of proceeds from
the Offering. 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
proposed Offering; risks associated with the biopharmaceutical industry in
general and with CTI and its product and product candidate portfolio in
particular including, among others, risks associated with the following: that
CTI cannot predict or guarantee the pace or geography of enrollment of its
clinical trials, that CTI cannot predict or guarantee the outcome of
preclinical and clinical studies, that CTI may not obtain reimbursement for
PIXUVRI in certain markets in the European Union as planned, that the
conditional marketing authorization for PIXUVRI may not be renewed, that the
second Phase 3 clinical trial of pacritinib will not occur as planned, that
CTI may not obtain favorable determinations by other regulatory, patent and
administrative governmental authorities, that CTI may experience delays in the
commencement of preclinical and clinical studies, risks related to the costs
of developing, producing and selling PIXUVRI, pacritinib, and CTI's other
product candidates, and other risks, including, without limitation,
competitive factors, technological developments, that CTI's operating expenses
continue to exceed its net revenues, that CTI may not be able to sustain its
current cost controls or further reduce its operating expenses, that CTI may
not achieve previously announced goals and objectives as or when projected,
that CTI's average net operating burn rate may increase, that CTI 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's most recent filings
with the Securities and Exchange Commission on Forms 10-K, 10-Q and 8-K.
Except as required by law, CTI does not intend to update any of the statements
in this press release upon further developments.

PIXUVRI is a registered trademark of Cell Therapeutics, Inc.


Monique Greer
+1 206-272-4343

Ed Bell
+1 206-282-7100

In Europe:

CTI Life Sciences Limited, Milan Branch
Laura Villa
E: lvilla@cti-lifesciences.com
T: +39 02 89659706

SOURCE Cell Therapeutics, Inc.
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