Poniard Pharmaceuticals enters into $20M committed equity financing facility with Commerce Court Small Cap Value Fund

Poniard Pharmaceuticals, Inc. (Nasdaq: PARD), a biopharmaceutical company focused on innovative oncology therapies, today announced that it has entered into a committed equity financing facility under which it may sell up to $20 million of its registered common stock to Commerce Court Small Cap Value Fund, Ltd. over an approximately 18-month period. Poniard is not obligated to utilize any of the facility and remains free to enter into other financing transactions.

Poniard will determine, at its sole discretion, the timing, dollar amount and floor price per share for any draw under this facility, subject to certain conditions. When and if Poniard elects to use the facility, the number and price of shares sold in each draw will be determined by a contractual formula, whereby Poniard will issue shares to Commerce Court at a pre-negotiated discount to the volume weighted average price of Poniard's common stock over a preceding period of trading days. Reedland Capital Partners, an Institutional Division of Financial West Group, Member FINRA/SIPC, acted as placement agent for the initial signing of the facility and will receive a fee for its services at the time of any draw under the facility.

In connection with the execution of the equity financing facility, Poniard will issue to Commerce Court 121,183 shares of registered common stock as a commitment fee. The offer and sale of shares by Poniard under this equity facility have been registered pursuant to a shelf registration declared effective by the Securities and Exchange Commission on June 2, 2009.

Poniard intends to use the proceeds from any sale of securities under the facility to fund the Company's clinical and regulatory activities to enable a registrational filing seeking approval of picoplatin as a second-line therapy for small cell lung cancer patients with refractory disease following first-line treatment with platinum-containing chemotherapy, and to support its efforts to secure a strategic partner to continue the development of picoplatin in other cancer indications and formulations.

SOURCE Poniard Pharmaceuticals, Inc.