Article: Callisto Pharmaceuticals Announces $5.14 Million Private Placement Financing of Common Stock and Warrants; Proceeds to Fund Acceleration of Clinical Trials of Drug Candidates and Expansion of Key Strategic Initiatives.

NEW YORK -- Callisto Pharmaceuticals, Inc. (AMEX:KAL) (FWB:CA4), a developer of new drug treatments in the fight against cancer and other major health threats, announced that it has completed a financing totaling approximately $5.14 million through a private placement involving common stock and warrants.

The proceeds from the financing will be used to continue to fund Callisto's strategic initiatives, including substantial clinical development activities in 2006 plus additional pre-clinical development activities. Callisto currently has two anticancer drug candidates in clinical trials leading its drug development pipeline, and two preclinical programs.

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