(Reuters) -Cancer treatment maker 2seventy bio will sell all its experimental cell therapies to Regeneron Pharmaceuticals for an upfront payment of $5 million and focus on its sole approved product Abecma, the two companies said on Tuesday.
2seventy bio’s shares rose more than 10% in premarket trade.
In September, 2seventy said it plans to cut 40% of its workforce to lower costs and focus on its cancer cell therapy Abecma, for which it has partnered with Bristol Myers Squibb.
Investors were pushing for changes within 2seventy, with activist investor Engine Capital urging for a board refresh at the company and insisting for focusing exclusively on Abecma.
Regeneron will take on the program, infrastructure and personnel costs related to 2seventy’s trials and pay the company just one milestone payment – for the first major market approval of the first approved product.
(Reporting by Leroy Leo and Christy Santhosh in Bengaluru; Editing by Savio D’Souza)
Comments