CytRx Announces Pricing of Approximately $75 Million Public Offering of
LOS ANGELES -- January 31, 2014
CytRx Corporation (Nasdaq: CYTR), a biopharmaceutical research and development
company specializing in oncology, today announced the pricing of its
previously announced underwritten public offering. CytRx is offering 11.5
million shares of common stock at a public offering price of $6.50 per share
for gross proceeds of approximately $75 million, prior to deducting
underwriting discounts and commissions and estimated offering expenses payable
CytRx intends to use the net proceeds of the offering to fund clinical trials
of its drug candidate aldoxorubicin and for general corporate purposes, which
may include working capital, capital expenditures, research and development
and other commercial expenditures. CytRx has granted the underwriters a 30-day
option to purchase up to an additional 1.725 million shares of common stock.
The offering is expected to close on or about February 5, 2014, subject to
satisfaction of customary closing conditions.
Jefferies LLC is the sole book-running manager for the offering. Oppenheimer &
Co. Inc., Aegis Capital Corp. and H.C. Wainwright & Co., LLC are acting as
co-lead managers 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 and has been declared effective by the Securities and Exchange Commission
(SEC). The securities may be offered only by means of a prospectus. A
preliminary prospectus supplement related to the offering was filed with the
SEC on January 30, 2014 and a final prospectus supplement related to the
offering will be filed with the SEC today. Copies of the final prospectus
supplement and the accompanying prospectus, when available, may be obtained
from Jefferies LLC, Equity Syndicate Prospectus Department, 520 Madison
Avenue, 12th Floor, New York, NY 10022, by email at
Prospectus_Department@Jefferies.com or by phone at 877-547-6340 or by
accessing the SEC’s website at http://www.sec.gov.
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 would be unlawful prior to registration or qualification
under the securities laws of any such state or jurisdiction.
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.
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 and other risks detailed in
CytRx’s filings with the SEC. 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.
David J. Haen
Vice President, Business Development
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