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EntreMed Secures $5.1 Million in Registered Direct Offering and Enters into Agreement for Rights to License ENMD-2076 in China
Date:9/8/2010

ROCKVILLE, Md., Sept. 8 /PRNewswire-FirstCall/ -- EntreMed, Inc. (Nasdaq: ENMD), a clinical-stage pharmaceutical company focused on the development of ENMD-2076, its proprietary Aurora A/angiogenic kinase inhibitor for the treatment of cancer, today announced that on September 7, 2010 it entered into a securities purchase agreement with a group of strategic investors for gross proceeds of approximately $5.1 million.  The Company expects to complete the offering on or about September 8, 2010.  The financing will provide capital to fund operations through 2011 and enable the Company to move forward with expansion of development plans for ENMD-2076, which is currently in Phase 1 and Phase 2 clinical trials.  The ongoing Phase 2 trial of ENMD-2076 in ovarian cancer patients continues on track and the Company looks forward to the presentation of data early in 2011.

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The investor group was led by Tak W. Mak, Ph.D., Director of The Campbell Family Institute for Cancer Research, and includes scientific advisors to EntreMed as well as experienced investors who have expertise both in oncology drug development and in drug development in the China markets. Concurrent with the execution of the securities purchase agreement, EntreMed entered into a rights agreement with Selected Value Therapeutics I, LLC (SVT) pursuant to which SVT has an option to exercise, on behalf of the investors, certain license, development and commercialization rights for ENMD-2076 in China, enabling the Company to leverage the experience and access that these investors have in this growing market.  If the option is exercised, EntreMed will be entitled to receive development milestone payments and royalties on future product sales within the geographic market. Th
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