ZIOPHARM Oncology prices public offering of 15,484,000 shares of its common stock

ZIOPHARM Oncology, Inc. (NASDAQ: ZIOP) announced the pricing of its previously announced underwritten public offering of 15,484,000 shares of its common stock and warrants to purchase 7,742,000 shares of its common stock at a public offering price of $3.10 per unit. The warrants, which represent the right to acquire 0.50 of a share of the Company’s common stock for each share of common stock purchased in the offering, will have a five-year term from the date of issuance and will be exercisable at a price of $4.02 per share. JMP Securities LLC and Rodman & Renshaw, LLC, a subsidiary of Rodman & Renshaw Capital Group, Inc. (NASDAQ: RODM), are acting as co-lead managers for the offering.

The offering will result in gross proceeds of approximately $48.0 million and net proceeds, after deducting underwriting discounts and commissions and other estimated offering expenses are expected to be approximately $45.2 million. The offering is subject to customary closing conditions and is expected to close on Wednesday, December 9, 2009.

The Company plans to use net proceeds from this offering for general corporate purposes, which may include ongoing clinical development of its three product candidates, palifosfamide (Zymafos^TM or ZIO-201), darinaparsin (Zinapar^TM or ZIO-101), and indibulin (Zybulin^TM or ZIO-301).