bluebird bio to Split into Two Separate Companies

bluebird bio has announced its intent to separate its severe genetic disease (SGD) and oncology businesses into differentiated and independent publicly traded companies. bluebird bio, Inc. will retain focus on SGD and will launch its oncology business (“Oncology Newco”) as a new entity.

Upon completion of the separation, current chief bluebird, Nick Leschly, will lead Oncology Newco as Chief Executive Officer and will take on the role of Executive Chair for bluebird bio, Inc. Current President of the SGD business, Andrew Obenshain will continue his leadership as Chief Executive Officer of bluebird bio, Inc. Further, current Chair of bluebird’s Board of Directors, Daniel Lynch, will become Chair of the Board for Oncology Newco.

“After careful strategic review, it is clear to us that the two businesses are best served by independent leadership and teams to drive distinct strategic and operational objectives. Specifically, we believe it is the right time to double down on the respective businesses to fully enable and optimize the continued innovation, development and deployment of transformative gene and cell therapies for the patients we serve,” said Nick Leschly.

“We are committed to working together through this transformative process to ensure each company is optimized with the right teams in place for progressing these therapies through the regulatory process into commercialization, harnessing the power of the pipeline to continue creation of innovative medicines, establishing and rapidly growing product revenue, and creating value for shareholders,” said Daniel Lynch.

bluebird anticipates both companies will be headquartered in Cambridge. European operations will remain with bluebird bio and the SGD business. Facilities, research and manufacturing operations in Seattle, WA and Durham, NC will migrate with the Oncology Newco. The separation is subject to customary closing conditions and final approval by bluebird’s Board of Directors. There can be no assurance regarding the ultimate timing of the separation or that the separation will ultimately occur. (Source: bluebird bio Website, 11 January, 2021)