2seventy bio has announced a strategic restructuring, with an eye on optimizing its R&D approach and cost structure.
The plan includes a workforce reduction of 176 roles, or about 40% of the company's staff.
The bluebird spinout will focus on a "return to growth" strategy for its lead drug, Abecma, as it attempts to bring the therapy into earlier lines of treatment for multiple myeloma. Abecma, jointly developed and commercialized with Bristol Myers Squibb, became the first cell-based gene therapy approved by the FDA for the treatment of multiple myeloma in March 2021.
While 2seventy noted that 2023 revenue for Abecma will likely be lower than expected, the company is awaiting a potential label expansion into triple-class exposed relapsed or refractory multiple myeloma, which currently has a PDUFA date of December 16, 2023.
Meanwhile, back in August, the FDA placed 2seventy's phase 1 trial for its CAR T-cell therapy, SC-DARIC33, on hold after a Grade 5 serious adverse event resulted in a patient's death. Now, the company says it is working with the FDA to enable restart of the PLAT-08 study.
Along with the restructuring, 2seventy also revealed that its CEO, Nick Leschly, will step down and will likely be appointed chairman of the board upon this transition.
All told, the company says that its workforce reductions combined with related restructuring actions are expected to achieve $130+ million savings in the 2024-2025 period, extending its projected cash runway into at least 2026.