Gene therapy developer Bluebird Bio has sold itself to private equity firms Carlyle and SK Capital in a deal worth $68 million, with the option to pay an additional $96 million if sales of its gene therapies reach $600 million by 2027. The company’s share price plummeted from $2,300 to just $3 per share over the past seven years.
Bluebird Bio developed three innovative and expensive treatments but failed to build a market for them, despite being one of the world’s premier developers of gene therapies in 2018. The sale comes after the company faced significant challenges, including declining revenue and an unsuccessful attempt to secure a priority review voucher for its sickle cell disease treatment Lyfgenia.
Private equity firms Carlyle and SK Capital are taking a gamble on Bluebird Bio, with $29 million at stake if they can boost sales of the gene therapies. The companies will transform Bluebird Bio into a private company, with former CEO David Meek taking the reins.
Meek stated that Bluebird Bio is committed to unlocking its full potential for patients and will use the backing of Carlyle and SK Capital to accelerate and expand patient access to its life-changing gene therapies.
Source: https://www.fiercepharma.com/pharma/once-valued-10b-bluebird-bio-sells-private-equity-firms-29m