July 27, 2009 (FinancialWire) — Biopharmaceutical research and development firm CytRx Corp. (NASDAQ: CYTR) (Current Market Cap: $38.65 Mil.) said it has entered into definitive agreements with several institutional investors to purchase 15.3 million shares of common stock at $1.31 per share and warrants to purchase around 3.8 million shares of common stock at an exercise price of $1.70 per share.

The registered direct offering will raise around $20 million from the sale of common stock and warrants, with net proceeds to CytRx of around $18.3 million after deduction of offering expenses.

Rodman & Renshaw acted as the placement agent for CytRx.

Los Angeles-based CytRx is engaged in the development of human therapeutics. The company’s drug development pipeline includes programs in clinical development for cancer indications, including its tamibarotene drug in a registration study for the treatment of acute promyelocytic leukemia.

CytRx is developing two drug candidates based on its molecular chaperone technology, which aims to repair or degrade misfolded proteins associated with disease. The company also maintains a 45% equity interest in RXi Pharmaceuticals.

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