Genta makes $40.8M placing

US biopharmacetuical firm Genta says that it has entered into a definitive agreement with institutional investors to sell approximately 19 million shares of common stock through a registered direct offering for gross proceeds totaling approximately $40.8 million, before fees and expenses.

The closing is expected to take place on March 10, subject to the satisfaction of customary closing conditions. The shares are being sold pursuant to the company's registration statement on Form S-3 declared effective by the US Securities and Exchange Commission on May 11, 2004, and prospectus supplement dated March 6, 2006.