June 19, 2009 (FinancialWire) — EpiCept Corp. (NASDAQ: EPCT) said it has entered into definitive agreements for the purchase of around 12 million shares of its common stock at $.80 per share and two-and-one-half-year warrants to purchase up to around 4.2 million shares of common stock at an exercise price of $.90 per share exercisable beginning December 19.

The offering is scheduled to close on or about June 23, 2009, subject to the satisfaction of customary closing conditions. EpiCept will receive around $8.9 million in net proceeds.

EpiCept said it will use the net proceeds to meet working capital needs and for general corporate purposes. The company plans to apply a portion of the net proceeds to fund certain expenses necessary for a named patient program for its Ceplene drug, the filing of applications for marketing approval of Ceplene in the United States and Canada and to prepare for the commercial launch of Ceplene in the European Union.

The company said that the proceeds of this offering together with existing cash are expected to be sufficient to fund operations into the second quarter of 2010.

EpiCept is focused on the development and commercialization of pharmaceutical products for the treatment of cancer and pain. The company’s lead product is Ceplene, which has been granted full marketing authorization by the European Commission for the remission maintenance and prevention of relapse in adult patients with acute myeloid leukemia in first remission.

The company has two oncology drug candidates currently in clinical development that were discovered using in-house technology and which, according to EpiCept, have been shown to act as vascular disruption agents in a variety of solid tumors.

EpiCept’s pain portfolio includes EpiCept NP-1, a prescription topical analgesic cream in late-stage clinical development designed to provide effective long-term relief of pain associated with peripheral neuropathies.

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