An alkalophilic actinomycete, strain OPC-533 regarded as Nocardiopsis dassonvillei subsp. prasina, produced the cytotoxic substance, TS-1, which showed a marked inhibitory activity against L5178Y mouse leukemic cell in vitro. The cytotoxicity of TS-1 on this cell was very strong and its ID₅₀ was 0.018 μg/ml. Through direct comparison of its spectral data with those of an authentic sample, TS-1 was identified as the antifungal antibiotic, kalafungin, already isolated from the culture broth of Streptomyces tanashiensis. However, the isolation of kalafungin from an alkalophilic actinomycete and its cytotoxicity are reported for the first time in this paper.