OncoGenex Pharmaceuticals Completes $9.5 Million Registered Direct Offering

    BOTHELL, WA and VANCOUVER, July 24 /CNW/ - OncoGenex Pharmaceuticals,
Inc. (NASDAQ: OGXI) announced today that it has completed its registered
direct offering, previously announced on July 20, 2009, of 475,000 shares of
its common stock to institutional investors at a price of $20.00 per share,
for gross proceeds to the Company of approximately $9.5 million. The $20
offering price represented a 3.5% discount to the closing price on July 17,
2009, the last trading day prior to announcement. After deducting the
estimated offering expenses payable by the Company, the net proceeds are
expected to be approximately $9.4 million.
    The Company plans to use the net proceeds from the offering primarily for
manufacturing readiness activities and general corporate purposes.
    The shares of common stock offered by OncoGenex in this transaction were
offered and sold pursuant to OncoGenex's existing shelf registration statement
on Form S-3, which was declared effective by the Securities and Exchange
Commission on July 17, 2009. There was no placement agent or underwriter in
this transaction.
    Copies of the prospectus supplement and accompanying base prospectus
relating to this offering may be obtained at the Securities and Exchange
Commission's web site at http://www.sec.gov, or from OncoGenex
Pharmaceuticals, Inc., 1522 217th Pl. SE, Suite 100, Bothell, WA 98021-7617,
Attention: Chief Financial Officer.
    This news release shall not constitute an offer to sell or the
solicitation of an offer to buy the common stock of OncoGenex, nor shall there
be any sale of these securities in any state or jurisdiction in which such
offer, solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of such state or jurisdiction.

    About OncoGenex Pharmaceuticals

    OncoGenex is a biopharmaceutical company committed to the development and
commercialization of new therapies that address unmet needs in the treatment
of cancer. OncoGenex has a deep oncology pipeline, with each product candidate
having a distinct mechanism of action and representing a unique opportunity
for cancer drug development. OGX-011, the lead candidate that has completed
five Phase 2 clinical trials in prostate, lung and breast cancers, is designed
to inhibit the production of a specific protein associated with treatment
resistance; OGX-427 is in Phase 1 clinical development; SN2310 has completed
the Phase 1 clinical trial; and CSP-9222 and OGX-225 are currently in
pre-clinical development.
    OGX-011, OGX-427 and OGX-225 utilize second-generation antisense
technology, licensed from Isis Pharmaceuticals (NASDAQ: ISIS), to effectively
target and inhibit production of specific proteins in tumor cells. OncoGenex
and Isis partnered in the successful discovery of OGX-011, OGX-427 and OGX-225
and with respect to OGX-011, in its initial development. In 2008, OncoGenex
and Isis amended their OGX-011 agreement to provide OncoGenex with sole rights
to OGX-011 and sole responsibility for development and related costs and
partnering decisions, subject to financial obligations to Isis. OncoGenex is
also solely responsible for development and related costs and partnering
decisions regarding OGX-427 and OGX-225. Key intellectual property related to
OGX-011, OGX-427 and OGX-225 were discovered by the University of British
Columbia and the Vancouver Prostate Centre, and were exclusively licensed to
OncoGenex.
    More information about OncoGenex is available at www.oncogenex.com.

    Forward Looking Statements

    This press release contains forward-looking statements within the meaning
of the "safe harbor" provisions of the Private Securities Litigation Reform
Act of 1995, including, but not limited to, statements regarding the use of
proceeds in respect of the financing, the company's manufacturing readiness,
prospects for securing a co-development and commercialization partner and
planned phase 3 trials. Such forward-looking statements are subject to risks
and uncertainties, including, among others: the risk factors set forth in the
Company's filings with the Securities and Exchange Commission, including the
Company's Annual Report on Form 10-K for fiscal year 2008. The Company
undertakes no obligation to update the forward-looking statements contained
herein or to reflect events or circumstances occurring after the date hereof,
other than as may be required by applicable law.

For further information: OncoGenex Contact: Scott Cormack, President &
CEO, [phone], [e-mail]; Media and Investor Contact: Jason
Spark, Porter Novelli Life Sciences, [phone],
[e-mail]