ILEX Oncology Inc. reported plans to raise about $115.9 million through a public offering of 6 million common shares.

The San Antonio-based company plans to sell 5.5 million shares on its own, which would raise gross proceeds of $109.3 million based on Friday's $19.27 closing bid price of the stock. At the same time, the Cancer Therapy and Research Center Endowment, a current shareholder, plans to offer 500,000 shares to garner an additional $9.6 million. On Monday, ILEX's shares (NASDAQ:ILXO) dropped $1.06 to close at $18.36.

Both parties plan to grant a 30-day, 900,000-share overallotment option to the underwriters, a group that includes New York-based UBS Securities LLC as the offering's book-running underwriter. Co-managers include Lehman Brothers, CIBC World Markets Corp. and U.S. Bancorp Piper Jaffray.

The sale is based on a $150 million shelf registration statement filed earlier this month with the SEC. ILEX, which reported 32.7 million shares outstanding through the period ended June 30, recorded an $8.8 million net loss in the same quarter. But the company's revenue grew to $10.1 million, driven primarily by $23.3 million in global sales of the cancer drug Campath (alemtuzumab).

ILEX, which had $153.3 million in cash and marketable securities through June 30, is developing several other cancer products as well.

The company said it recently completed accrual in a double-blinded Phase III study of eflornithine in 450 patients with low-grade, superficial bladder cancer.

Results recently reported at last month's American Society of Clinical Oncology meeting showed an overall response rate of 28 percent in a Phase II study of clofarabine in heavily pretreated children with acute leukemia. The studies are open and enrolling, with 39 patients treated at that point.

Other results reported at the conference included Phase I data on another investigational compound, ILX-651, showing that it appears to be biologically active at tolerable doses in patients with advanced refractory solid tumors. Later this year, ILEX plans to begin Phase II studies of the tubulin-interactive agent, a third-generation synthetic pentapeptide analogue of the natural substance dolastatin.

Another cancer product, apomine for melanoma and ovarian cancer, also is being developed outside the oncology arena. A year ago, the company began a proof-of-principle program of the drug in women with low bone mass or osteoporosis.