Navigation Links
Cell Therapeutics, Inc. Announces Single Institutional Investor Purchases $15 Million of Preferred Stock
Date:4/13/2009

Company Further Simplifies Its Capital Structure By Completing the Elimination of All Previously Outstanding Preferred Stock

SEATTLE, April 13 /PRNewswire-FirstCall/ -- Cell Therapeutics, Inc. (Nasdaq and MTA: CTIC) today announced that it has agreed to sell up to $20 million of Series 1 Preferred Stock and warrants in a registered offering to a single institutional investor. The investor initially purchased today, for $15 million cash, shares of Series 1 Preferred Stock with a stated value of $15 million and certain associated common stock warrants and has the right to, within 60 days, purchase for an additional $5 million cash additional shares of Series 1 Preferred Stock with a stated value of $5 million with no additional warrants. The Series 1 Preferred Stock is convertible into shares of common stock at a conversion price of $0.30. The investor received 45% warrant coverage on the initial $15 million purchase. The warrants have an exercise price of $0.41 per share, for total potential additional proceeds of approximately $9 million. Approximately three-fifths of the warrants cannot be exercised until after six months from issuance, or 61 days from issuance if the investor does not exercise its option to purchase the additional Series 1 Preferred Stock.

The Series 1 Preferred Stock is non-dividend bearing and has no voting rights except to the extent required by law.

Separately, the Company reacquired the remaining 100 outstanding shares ($100,000 stated value) of its Series A 3% Convertible Preferred Stock in exchange for 288,517 shares of common stock, and the Company has agreed to reacquire the remaining 1,000 outstanding shares ($1,000,000 stated value) of its Series D 7% Preferred Stock in exchange for shares of common stock based on a formula keyed to the volume-weighted average price over a 3-day period following April 13, 2009.

Upon completion of these exchanges, the only preferred stock of the Company outstanding will be the new Series 1 Preferred Stock, thereby relieving the Company of future potential redemptions and restrictive covenants contained in the prior series of Preferred Stock.

Rodman & Renshaw, LLC, a subsidiary of Rodman & Renshaw Capital Group, Inc. (Nasdaq: RODM), acted as the exclusive placement agent for the transaction.

A shelf registration statement relating to the Series 1 Preferred Stock and warrants issued and to be issued in the offering, and to the underlying common stock, has been filed with the Securities and Exchange Commission and has become effective. A prospectus supplement related to the offering has been filed with the Securities and Exchange Commission. Copies of the prospectus supplement and accompanying base prospectus may be obtained directly from Cell Therapeutics, Inc., 501 Elliott Avenue West, Suite 400, Seattle, Washington 98119. This announcement is neither an offer to sell nor a solicitation of an offer to buy any of our Series 1 Preferred Stock or warrants or underlying common stock. No offer, solicitation or sale will be made in any jurisdiction in which such offer, solicitation or sale is unlawful.

This press release includes forward-looking statements that involve a number of risks and uncertainties, the outcome of which could materially and/or adversely affect actual future results. The risks and uncertainties include the risk that the investor might not exercise its option to buy additional Series 1 Preferred Stock and/or might not exercise its warrants, the Company's ability to continue to raise additional capital as needed to fund its operations, and other risk factors listed or described from time to time in the Company's filings with the Securities and Exchange Commission including, without limitation, the Company's most recent filings on Forms 10-K and 8-K. Except as required by law, the Company does not intend to update any of the statements in this press release upon further developments.

    Media Contact:
    Dan Eramian
    T: 206.272.4343
    C: 206.854.1200
    E: media@ctiseattle.com
    www.CellTherapeutics.com/press_room

    Investors Contact:
    Ed Bell
    T: 206.272.4345
    Lindsey Jesch Logan
    T: 206.272.4347
    F: 206.272.4434
    E: invest@ctiseattle.com
    www.CellTherapeutics.com/investors


'/>"/>
SOURCE Cell Therapeutics, Inc.
Copyright©2009 PR Newswire.
All rights reserved

Related biology technology :

1. Oxygen Biotherapeutics, Inc. CEO Posts New Blog Entry
2. Stockholder Suits Related to TorreyPines Therapeutics, Inc. Dismissed
3. Webcast Alert: Oxygen Biotherapeutics, Inc. Investor Meeting in Zurich, Switzerland
4. Oxygen Biotherapeutics, Inc. Adds Oxycyte TBI Clinical Trial Sites in Israel
5. Cell Therapeutics, Inc. Reports Outcome of Special Meeting of Shareholders
6. Cell Therapeutics, Inc. Special Meeting in Lieu of Annual Meeting of Shareholders Scheduled for Tuesday, March 24, 2009
7. Oxygen Biotherapeutics, Inc. Expands Board of Directors
8. Cell Therapeutics, Inc. (CTI) Reports 2008 Fourth Quarter and Year End Financial Results
9. Cell Therapeutics, Inc. (CTI) to Present at 8th Annual WBBA Invest Northwest Conference
10. Cell Therapeutics, Inc. (CTI) to Report Fourth Quarter and Year-End Financial Results on March 16
11. Cell Therapeutics, Inc. (CTI) BIO CEO Presentation to be Webcast
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:6/23/2016)... ... June 23, 2016 , ... ... and technical consulting, provides a free webinar on Performing Quality Investigations: ... 2016 at 12pm CT at no charge. , Incomplete investigations are still a ...
(Date:6/23/2016)... June 22, 2016  Amgen (NASDAQ: AMGN ... QB3@953 life sciences incubator to accelerate the ... shared laboratory space at QB3@953 was created to help ... obstacle for many early stage organizations - access to ... sponsorship, Amgen launched two "Amgen Golden Ticket" awards, providing ...
(Date:6/22/2016)... , June 22, 2016 Cell Applications, ... allow them to produce up to one billion ... lot within one week. These high-quality, consistent stem ... preparing cells and spend more time doing meaningful, ... a proprietary, high-volume manufacturing process that produces affordable, ...
(Date:6/22/2016)... June 22, 2016  According to Kalorama Information, ... sequencing (NGS) market include significant efforts in automation ... More accessible and affordable sequencers, say the healthcare ... for consumables including sample prep materials.  The healthcare ... Sample Preparation for Next Generation Sequencing (NGS) , ...
Breaking Biology Technology:
(Date:6/15/2016)... ALBANY, New York , June 15, 2016 ... published a new market report titled "Gesture Recognition Market ... Trends and Forecast, 2016 - 2024". According to the ... at USD 11.60 billion in 2015 and is ... and reach USD 48.56 billion by 2024.  ...
(Date:6/2/2016)... June 2, 2016 The Department of ... awarded the 44 million US Dollar project, for the ... Plates including Personalization, Enrolment, and IT Infrastructure , ... the production and implementation of Identity Management Solutions. Numerous renowned ... Decatur was selected for the most ...
(Date:5/20/2016)...  VoiceIt is excited to announce its new ... By working together, VoiceIt and VoicePass will offer ... take slightly different approaches to voice biometrics, collaboration ... usability. Both ... "This marketing and technology partnership allows ...
Breaking Biology News(10 mins):