EXHIBIT
99.1
{Access Letterhead}
ACCESS NEWS
Contact:
Company Contact:
Investor Relations
Stephen B. Thompson Donald C. Weinberger/Diana Bittner
(media)
Vice President, Chief Financial
Officer Wolfe Axelrod Weinberger Assoc.
LLC
Access Pharmaceuticals,
Inc. (212) 370-4500
(214) 905-5100
ACCESS PHARMACEUTICALS
RAISES
$6.3 MILLION IN REGISTERED DIRECT
OFFERING
DALLAS, TX, January
22 2009, ACCESS
PHARMACEUTICALS, INC. (OTCBB: ACCP), today announced that it has entered into
definitive agreements with
accredited investors to sell in a registered direct offering an aggregate of
2.10 million shares of its common stock at a price of $3.00 per share for
aggregate gross proceeds of $6.3 million. Additionally, at the
closing, Access will issue to the investors warrants to purchase, in
the aggregate, approx. 1.05 million shares of common stock at a price of $3.00
per share, which warrant are exercisable immediately for a term of 5 years from
the closing date. The closing of the
offering is expected to take place
subject to the satisfaction of customary closing conditions.
Rodman & Renshaw, LLC, a wholly
owned subsidiary of Rodman & Renshaw Capital Group, Inc. (Nasdaq: RODM),
acted as the Company's sole lead placement agent in connection with the
offering. EarlyBirdCapital, Inc. acted as a sub
agent in connection of the offering.
“With our strategy of partnering and
managing our cash burn, this additional capital from current and new investors
will provide runway for meaningful progress with our MuGard, Prolindac, Thiarabine and
Cobalmin programs,” stated
Jeffrey B. Davis, President & CEO.
The
common stock and warrants are being offered by Access pursuant to an effective
registration statement(s) on Form S-1 filed with the Securities and Exchange
Commission ("SEC"). A prospectus relating to the offering will be filed with the
SEC.
This
press release shall not constitute an offer to sell or the solicitation of an
offer to buy nor shall there be any sale of the securities in any state or
jurisdiction in which such offer, solicitation or sale would be unlawful prior
to registration or qualification under the securities laws of any such state or
jurisdiction. The securities may only be offered by means of a prospectus.
Copies of the prospectus can be obtained directly from Rodman & Renshaw, LLC
at 1251 Avenue of the Americas, 20th Floor, New York, NY 10020, or from the
SEC's website at www.sec.gov.
About Access:
Access Pharmaceuticals, Inc. is an
emerging biopharmaceutical company that develops and commercializes propriety
products for the treatment and supportive care of cancer patients. Access' products include
ProLindac™, currently in Phase 2 clinical testing
of patients with ovarian cancer, and MuGard™ for the management of patients with
mucositis. The company also has other advanced drug delivery
technologies including
Cobalamin™-mediated
targeted delivery and oral
drug delivery, its proprietary nanopolymer delivery technology based on the
natural vitamin B12 uptake mechanism and Thiarabine, a new generation nucleoside analog
which has demonstrated both pre-clinical and clinical activity in certain
cancers. For additional information on Access Pharmaceuticals, please visit our
website at www.accesspharma.com.
This press release contains certain
statements that are forward-looking within the meaning of Section 27a of the
Securities Act of 1933, as amended, and that involve risks and uncertainties.
These statements include
those relating to: our cash burn rate, clinical trial plans and timelines and
clinical results for ProLindac, MuGard, Thiarabine and Cobalamin and other
product candidates, our ability to achieve clinical and commercial success and
our ability to successfully develop marketed
products. These statements are subject to numerous risks, including but not
limited Access’ need to obtain additional financing in
order to continue the clinical trial and operations and to the risks detailed in
Access’ Annual Reports on Form 10-K and other
reports filed by Access with the Securities and Exchange
Commission.