What happened
Shares of Editas Medicine (EDIT -2.43%) 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.
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.
