On January 7, 2021 Onconova Therapeutics, Inc. (NASDAQ: ONTX) ("Onconova"), a biopharmaceutical company focused on discovering and developing novel products to treat cancer, reported that it has entered into a definitive purchase agreement with certain institutional accredited investors to purchase in a registered direct offering 19,550,562 shares of its common stock at a purchase price of $0.445 per share (Press release, Onconova, JAN 7, 2021, View Source [SID1234573673]).

Schedule your 30 min Free 1stOncology Demo!
Discover why more than 1,500 members use 1stOncology™ to excel in:

Early/Late Stage Pipeline Development - Target Scouting - Clinical Biomarkers - Indication Selection & Expansion - BD&L Contacts - Conference Reports - Combinatorial Drug Settings - Companion Diagnostics - Drug Repositioning - First-in-class Analysis - Competitive Analysis - Deals & Licensing

                  Schedule Your 30 min Free Demo!

Participating investors include Lincoln Park Capital, and Sio Capital.

The gross proceeds to Onconova from this offering are expected to be $8.7 million. The offering is expected to close on or about January 11, 2021, subject to the satisfaction of customary closing conditions.

Onconova anticipates using the net proceeds from the offering for working capital and general corporate purposes.

The securities are being offered by Onconova pursuant to a "shelf" registration statement on Form S-3 that was filed and declared effective by the Securities and Exchange Commission ("SEC") and the base prospectus contained therein (File No. 333-237844). The offering of the securities will be made only by means of a prospectus. A prospectus supplement and accompanying base prospectus relating to the securities being offered will be filed with the SEC. Copies of the final prospectus supplement and accompanying base prospectus may be obtained, when available, on the SEC’s website at View Source or by contacting Onconova Therapeutics, Inc., Inc., 375 Pheasant Run Newtown, PA 18940, Attention: Avi Oler, by phone at 267-759-3680 or email at [email protected].

This announcement is neither an offer to sell, nor a solicitation of an offer to buy, any of these securities and shall not constitute an offer, solicitation or sale in any state or jurisdiction in which such offer, solicitation or sale is unlawful. Any offer, if at all, will be made only by means of the prospectus forming a part of the effective registration statement.