What happened
Shares of Editas Medicine (EDIT 4.10%) were up 12.7% this week, as of Thursday's close, according to data provided by S&P Global Market Intelligence. The biotech specializes in gene-editing therapies, and its shares are down more than 50% over the past year.
So what
This week was a significant bounce back after Editas' shares stumbled following an announcement by the company on Jan. 9 that it was suspending some of its programs and cutting about 20% of its workforce. The company said it was halting work on some programs. It did so to improve its cash position, which as of the third quarter was listed at $478.5 million, enabling it to fund operations through 2025.
NASDAQ: EDIT
Key Data Points
The reason for the bounce, though, came 10 days later, when the company announced it had sold some of those programs, including solid tumor therapy EDIT-202, to private pharmaceutical company Shoreline Biosciences for an undetermined amount and future milestone payments.
Now what
The move further helps Editas' cash position and allows it to focus on its in-vivo gene-editing programs and promising blood therapies, including EDIT-301, used to treat transfusion-dependent beta thalassemia and sickle cell disease. The therapy is in separate phase 1/2 trials for the maladies.
The company only had $42,000 in revenue in the third quarter, all from collaboration and research efforts, and it reported a loss of $55.7 million, or $0.81 per share, a worsening from a loss of $39.1 million, or $0.57 per share, in the third quarter of 2021.