Navigation Links
Cell Therapeutics, Inc. Announces Issuance of $51.7 Million of New 2012 Convertible Senior Notes
Date:3/4/2008

Company raises $35.5 million in proceeds from sale of notes and

restructures balance sheet eliminating $21.5 million of Redeemable

Preferred Stock

SEATTLE, March 4 /PRNewswire-FirstCall/ -- Cell Therapeutics, Inc. ("CTI" or the "Company") (Nasdaq: CTIC; MTA) today announced that it will issue approximately $51.7 million of new 9% Convertible Senior Notes (the "Notes") due 2012 and warrants to purchase 7,326,950 shares of common stock, no par value (the "Common Stock"). The warrants will have an exercise price of $1.41 per share, which is equal to 110% of the closing bid price as reported by Nasdaq.

The Notes bear interest at 9% per annum and are convertible at any time for shares of CTI common stock at the rate of 709.22 shares per $1,000 principal amount of Notes, which is equivalent to an initial conversion price of approximately $1.41 per share, which is equal to 110% of the closing bid price as reported by Nasdaq. The Notes feature a make-whole provision upon conversion entitling the holder to $270 per $1,000 principal amount of Notes, less any interest paid before conversion. An amount equal to the make-whole payment amount for such notes, or $13.9 million, shall be held in escrow for one year. The Notes will rank equal in right of payment with all existing and future senior indebtedness of CTI, including the Company's 6.75% Convertible Senior Notes due 2010, 7.5% Convertible Senior Notes due 2011, 5.75% Convertible Senior Notes due 2011, and rank senior in right of payment to the Company's currently outstanding 5.75% Senior Subordinated Notes due 2008, 5.75% Subordinated Notes due 2008 and 4% Convertible Senior Subordinated Notes due 2010.

CTI also announced that a substantial number of existing holders of the Company's Series A 3% Convertible Preferred Stock, Series B 3% Convertible Preferred Stock, Series C 3% Convertible Preferred Stock and Series D 7% Convertible Preferred Stock (the "Preferred Stock") have converted their shares of Preferred Stock into common stock in accordance with the respective provisions of the Company's Amended and Restated Articles of Incorporation, induced by an aggregate cash payment by CTI to such holders of approximately $16.2 million. Approximately $13.1 million of stated value of Preferred Stock remains outstanding.

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

A prospectus supplement relating to the Convertible Notes to be issued in the offering will be filed with 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 these securities and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful.

Media Contact:

Cell Therapeutics, Inc.

Dan Eramian

T: 206.272.4343

C: 206.854.1200

Susan Callahan

T: 206.272.4472

F: 206.272.4434

E: media@ctiseattle.com

http://www.cticseattle.com/media.htm

Investors Contact:

Cell Therapeutics, Inc.

Leah Grant

T: 206.282.7100

F: 206.272.4434

E: invest@ctiseattle.com

http://www.cticseattle.com/investors.htm


'/>"/>
SOURCE Cell Therapeutics, Inc.
Copyright©2008 PR Newswire.
All rights reserved

Related medicine news :

1. Oracle Healthcare Acquisition Corp. and Precision Therapeutics, Inc. Agree in Principle to Amend Merger Agreement to Reduce Consideration by 15%
2. DARA BioSciences, Inc. and Point Therapeutics, Inc. Announce Consummation of Merger
3. Cell Therapeutics, Inc. (CTI) Cuts Net Operating Expenses 35% and Expands Commercial Team to Support Zevalin(R) Sales and Applications Seeking Two Product Approvals in 2009
4. Reckitt Benckiser Completes Acquisition of Adams Respiratory Therapeutics, Inc.
5. Cell Therapeutics, Inc. (CTI) Completes Acquisition of Lymphoma Drug Zevalin(R) From Biogen Idec for Sales and Marketing in the United States
6. Cell Therapeutics, Inc. Announces $6.5 Million Offering
7. Cell Therapeutics, Inc. (CTI) Plans to Submit Supplemental Biologics License Application (sBLA) for ZEVALIN(R) Consolidation of First Remission in Advanced Stage Follicular Lymphoma in 2008
8. Clinical Trial Investigators Update Wall Street on Progress and Prospects of Cell Therapeutics, Inc.s Drug Pipeline
9. InteKrin Therapeutics, Inc. Appoints Former Amgen Clinical Development Executive Chief Medical Officer
10. Cell Therapeutics, Inc. (CTI) Appoints Jim Fong as Vice President, Commercial Operations
11. Cell Therapeutics, Inc. (CTI) Reports Recent Accomplishments and Third Quarter 2007 Financial Results
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:2/10/2016)... ... February 10, 2016 , ... ... digital self-scheduling readily available to physicians. The integration will enable Allscripts users ... select appointments via Everseat’s free mobile app. , The partnership gives Everseat substantial ...
(Date:2/10/2016)... ... February 10, 2016 , ... ... 32224, February 26th: Amateur & Professional Divisions - Time: 7:00pm – 10:00pm ... 10:00pm | Ticket Prices $30, Social Media: http://www.USPoleSportsFed.org , Facebook: ...
(Date:2/10/2016)... ... 10, 2016 , ... Workrite Ergonomics, who is celebrating their 25th year of ... to being an internationally recognized leader in their industry. , "We are very proud ... President of Workrite. “Workrite recognized the importance of good ergonomics before most of ...
(Date:2/10/2016)... ... ... Anxiety of older Americans over steep cost increases of prescription drugs is at ... to The Senior Citizens League (TSCL). Since last fall, TSCL has ... costs. “The implications are chilling, particularly for people with chronic health problems,” says ...
(Date:2/10/2016)... , ... February 09, 2016 , ... ... and staff helped give free oral screenings to 150 children in kindergarten through ... , The College of Dental Medicine joined Chinese American Dental Society of Southern ...
Breaking Medicine News(10 mins):
(Date:2/10/2016)... Mast Therapeutics, Inc. (NYSE MKT: ... sickle cell disease and heart failure, today announced the ... at a price to the public of $0.275 per ... Company,s common stock and one warrant to purchase one ... price of $0.42 per share. The warrants are exercisable ...
(Date:2/10/2016)... WINDSOR, ON , Feb. 10, 2016 /PRNewswire/ ... Perry , has announced the release of an ... This is a revolutionary breakthrough in the treatment ... environmental radiation exposure. It will assist in the ... are present. It will also protect only the ...
(Date:2/10/2016)... , Feb. 10, 2016 ALSP, Inc. announced that ... as Consultant for Medical Affairs in preparation for its move ... Pierschbacher , PhD, CEO, stated, "We are pleased to welcome ... forward to working with an individual of such practical knowledge ... forward to drawing deeply on his broad experience and success ...
Breaking Medicine Technology: