Bluebird bio reported Wednesday that just four patients have started the process for receiving its sickle cell therapy Lyfgenia, endangering a $50 million loan that the pioneering yet cash-strapped company needs to fund its operations.
Because of the slower-than-expected uptake, bluebird said it has renegotiated terms of a loan from Hercules Capital, part of which was set up as two $25 million tranches that were accessible based on certain milestones.
Previously, bluebird could have accessed $25 million if it reached 35 starts on Lyfgenia by the end of September, or 55 by the end of the year. Under the new terms, it needs to receive additional financing by mid-December and to complete more than 50 Lyfgenia patient starts by the end of March, or 70 by the end of June 2025.
The terms for the next $25 million were revised as well. The $50 million is part of a larger
