China-based cell therapy firm JW Therapeutics (HKG: 2126) and US biotech 2seventy Bio Inc., (NASDAQ: TSVT) have announced plans to build on their 2022 collaboration agreement. The latest deal grants JW Therapeutics the option to develop up to two additional candidate drugs from 2seventy Bio’s product portfolio, including a T cell receptor-based technology for solid tumor indications and a chimeric antigen receptor (CAR) T-cell technology for autoimmune diseases. Specific terms of the deal are still under negotiation.
2seventy Bio Inc.’s Restructuring for Cost Reduction and Growth
On the same day as the expanded deal with JW Therapeutics, 2seventy Bio announced a substantial restructuring aimed at reducing costs while maintaining its long-term growth trajectory. The company plans to cut its workforce by around 40% to achieve at least USD 130 million in cost savings during 2024-2025. Additionally, 2seventy Bio will reduce the number of internally advanced pipeline programs under development. CEO Nick Leschly is set to step down and become chairman of the board, with CFO Chip Baird taking over as interim CEO while a search for a replacement is underway.
Revenue Forecasts and Pipeline Development
Despite generating revenues for its CAR-T therapy Abecma (idecabtagene vicleucel) in the US market, the first CAR T therapy approved for multiple myeloma in March 2021, 2seventy Bio noted that full-year 2023 US revenues for Abecma are now forecast to be lower than the previously projected USD 470-USD 570 million range. The expansion of its partnership with JW Therapeutics allows 2seventy to outsource early development of its early-stage pipeline while engaging in cost-cutting measures.
Investigator-Initiated Study and Future Developments
Following the 2022 deal, JW Therapeutics initiated an investigator-initiated study for 2seventy Bio’s MAGE-A4 T cell receptor (TCR) program in solid tumors ahead of schedule, with results expected later this year. JW will now take charge of an additional solid tumor TCR program and be responsible for the first-in-human trials for 2seventy Bio’s CAR-T candidate for autoimmune diseases.-Fineline Info & Tech
