GENAERA COMPLETES $24.5 MILLION FINANCING

Genaera Corporation (Nasdaq: GENR) announced today that it has closed its previously disclosed registered direct offering. The Company sold 11,400,000 shares of its common stock for aggregate gross proceeds of $24.5 million. In addition the investors received warrants to purchase 3,420,000 shares of the Company's common stock. RBC Capital Markets Corporation acted as lead placement agent and Fortis Securities LLC acted as co-placement agent for the offering.

PR Newswire (http://www.prnewswire.com/cgi-bin/stories.pl?ACCT=104&STORY=/www/story/09-15-2005/0004108210&EDATE=)