OXiGENE Announces $7.5 Million Financing

SOUTH SAN FRANCISCO, Calif., March 11, 2010 (GLOBE NEWSWIRE) -- OXiGENE, Inc.
(Nasdaq:OXGN) (Stockholm:OXGN), a clinical-stage biopharmaceutical company
developing novel therapeutics to treat cancer and eye diseases, today announced
that it has entered into a definitive agreement with certain institutional
investors to sell 6,578,945 shares of its Common Stock and separate series of
warrants to purchase Common Stock in a private placement. Gross proceeds of the
financing will be approximately $7.5 million, before deducting placement agent
fees and estimated offering expenses, and assuming no exercise of the warrants.
The financing is expected to close on or about March 12, 2010, subject to
satisfaction of customary closing conditions. 

The net proceeds from the offering will be used to fund development of
OXiGENE's high priority oncology programs, including its ongoing trials of
ZYBRESTAT in non-small cell lung cancer (NSCLC) and of OXi4503 trials in solid
tumors, as well as to continue its programs in anaplastic thyroid cancer (ATC)
and in ophthalmology. 

ROTH Capital Partners, LLC acted as the sole placement agent for the offering.

This press release shall not constitute an offer to sell or the solicitation of
an offer to buy any securities of OXiGENE, Inc. nor shall there be any sale of
securities in any state or jurisdiction in which such an offer, solicitation or
sale would be unlawful prior to registration or qualification under the
securities laws of any such state or jurisdiction. 

The shares and warrants offered in the private placement and the shares
issuable upon the exercise of the warrants have not been registered under the
Securities Act of 1933, as amended, or state securities laws, and may not be
offered or sold in the United States without being registered with the
Securities and Exchange Commission ("SEC") or through an applicable exemption
from SEC registration requirements. The shares of common stock and warrants
were offered only to accredited investors. The Company has agreed to file a
registration statement with the SEC covering the securities issued in the
offering and issuable upon the exercise of the warrants within ten business
days of the closing. Any offering of the Company's securities under the resale
registration statement referred to above will be made only by means of a
prospectus. 

About OXiGENE

OXiGENE is a clinical-stage biopharmaceutical company developing novel
therapeutics to treat cancer and eye diseases. The Company's major focus is
developing vascular disrupting agents (VDAs) that selectively disrupt abnormal
blood vessels associated with solid tumor progression and visual impairment.
OXiGENE is dedicated to leveraging its intellectual property and therapeutic
development expertise to bring life-extending and life-enhancing medicines to
patients. 

The OXiGENE, Inc. logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=4969 

Safe Harbor Statement

This news release contains "forward-looking statements" within the meaning of
the Private Securities Litigation Reform Act of 1995, including the anticipated
closing date of the securities purchase and the use of proceeds from this
transaction. Any or all of the forward-looking statements in this press release
may turn out to be wrong. Forward-looking statements can be affected by
inaccurate assumptions OXiGENE might make or by known or unknown risks and
uncertainties, including, but not limited to, the parties' inability to satisfy
the closing conditions in the securities purchase agreement, the impact of VDAs
on the treatment of a variety of tumor types and opthamology indications and
their potential to deliver increased clinical benefit to patients. Additional
information concerning factors that could cause actual results to materially
differ from those in the forward-looking statements is contained in OXiGENE's
reports to the Securities and Exchange Commission, including OXiGENE's reports
on Form 10-K, 10-Q and 8-K. However, OXiGENE undertakes no obligation to
publicly update forward-looking statements, whether because of new information,
future events or otherwise. Please refer to our Annual Report on Form 10-K for
the fiscal year ended December 31, 2008. 

CONTACT:  OXiGENE, Inc.
          Investor and Media Contact:
          Investor Relations
          Michelle Edwards
          650-635-7006
          medwards@oxigene.com