NEW YORK – 2seventy Bio on Wednesday announced it would sell $170 million worth of shares in a private placement financing.
The Cambridge, Massachusetts-based company agreed to sell 13,934,427 shares at $12.20 per share, the closing price of 2seventy's stock on the Nasdaq on March 15. The proceeds, before paying offering commissions and expenses, will be $170 million and will be used to support its research and development of CAR T-cell and T-cell receptor therapies, as well as for general corporate purposes and working capital. The private placement closed on Thursday.
Investors participating in the private placement included 683 Capital, Armistice Capital, Bain Capital Life Sciences, Boxer Capital, CaaS Capital, Casdin Capital, Cowen Healthcare Investments, EcoR1 Capital, Heights Capital, Janus Henderson Investors, Madison Avenue Partners, Newtyn Management, Nick Leschly & family, RTW Investments, LP, and existing investors.
2seventy spun out from Bluebird Bio in November, taking Bluebird's oncology products and pipeline candidates. 2seventy's lead candidate Abecma (idecabtagene vicleucel), developed with Bristol Myers Squibb, was approved in the US to treat multiple myeloma last year. Abecma is an autologous CAR T-cell therapy that targets the B-cell maturation antigen protein expressed on multiple myeloma cells.
"Roughly 100 days into the launch of 2seventy Bio, we have taken important steps to secure the company's financial foundation," 2seventy CEO Nick Leschly said in a statement. "We have increasing conviction in the Abecma US commercial launch, we are executing on a plan to rebalance our burn, and we have secured important funding from leading healthcare investors. Taken together, we expect these steps will get us through critical milestones and into 2025."
The company's pipeline candidates also include bbT369, a dual-targeted CAR T-cell therapy for patients with relapsed or refractory B-cell non-Hodgkin lymphoma; bbT4015, an engineered CAR T-cell therapy targeting MUC16 in solid tumors; and SC-DARIC33, being studied in CD33-positive acute myeloid leukemia.