BEVERLY, MA--(Marketwire - May 14, 2012) - Cellceutix Corporation (OTCBB: CTIX) (the “Company”), a biopharmaceutical company developing a novel drug to treat cancers and cancers which have proven resistant to today’s cancer therapies (drug-resistant cancers), is pleased to report that it has successfully negotiated terms and entered into a subscription agreement for Series A Convertible Preferred shares with an accredited investor for an aggregate of $1,000,000. Initial funding from the financing was $100,000 for the purchase 10,000 Series A Convertible Preferred Shares and was closed on May 8, 2012.
The proceeds will be used for expenses associated with the planned Phase I clinical trial for Kevetrin™, the Company’s flagship anti-cancer compound. In laboratory tests Kevetrin™ has shown the potential to be a breakthrough drug in the treatment of cancers by demonstrating potent anti-tumor activity through the re-activation of p53, “the Guardian Angel Gene;" resulting in significant tumor size reduction and growth delay.
The Company would also like to inform shareholders that the Quality Control testing and stabilities studies required to file an amended Investigational New Drug (“IND”) application with the Food and Drug Administration (“FDA”) are completed. The new data is being added to the amended IND and undergoing a final review by the Company and then will be collated and submitted to the FDA.
“I am very pleased with the terms of the financing and the nearing of submission of the IND to the FDA,” commented Leo Ehrlich, Chief Executive Officer at Cellceutix. “We have always held our capital structure in the highest regard to preserve shareholder value and we feel that the terms of the agreement are very favorable. We are in a very enviable position. In Kevetrin, we have a new class of drug that in the laboratory shrunk every cancer tumor it was tested against; plan for Phase 1 clinical trials to begin shortly at DFCC; Beth Israel Deaconess Hospital is covering the costs of their research on Kevetrin™ in combination studies with Pfizer drugs; and we have a meeting coming in June with the FDA regarding guidance to advance Prurisol™ into advanced clinical trials as an indication for psoriasis. Add in Jim Boeheim joining our team and 2012 is aligning to be a banner year for Cellceutix and its shareholders.”
About Cellceutix
Headquartered in Beverly, Massachusetts, Cellceutix is a publicly traded company under the symbol “CTIX”. It is an emerging bio-pharmaceutical company focused on the development of its pipeline of compounds targeting areas of unmet medical need. Our flagship compound, Kevetrin™, is an anti-cancer drug which has demonstrated the ability in pre-clinical studies to regulate the p53 pathway and attack cancers which have proven resistant to today’s cancer therapies (drug-resistant cancers). Cellceutix also owns the rights to seven other drug compounds, including KM-133, which is in development for psoriasis, and KM-391 for the treatment of the core symptoms of autism. More information is available on the Cellceutix web site at www.cellceutix.com.
Safe Harbor Forward-Looking Statements
To the extent that statements in this press release are not strictly historical, including statements as to revenue projections, business strategy, outlook, objectives, future milestones, plans, intentions, goals, future financial conditions, future collaboration agreements, the success of the Company’s development, events conditioned on stockholder or other approval, or otherwise as to future events, such statements are forward-looking, and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The forward-looking statements contained in this release are subject to certain risks and uncertainties that could cause actual results to differ materially from the statements made. Factors that may impact Cellceutix’s success are more fully disclosed in Cellceutix’s most recent public filings with the U.S. Securities and Exchange Commission.
Cellceutix Corp.
Leo Ehrlich
(978) 236-8717
