bluebird bio Inc (NASDAQ:BLUE), a clinical-stage company committed to developing potentially transformative gene therapies for severe genetic and rare diseases and T cell-based immunotherapies, today announced the pricing of an underwritten public offering of 2,941,176 shares of its common stock at a public offering price of$170.00 per share, before underwriting discounts. In addition, bluebird bio has granted the underwriters a 30-day option to purchase from it up to an additional 441,176 shares of common stock.
BofA Merrill Lynch, Morgan Stanley and Cowen and Company are acting as joint book-running managers of the proposed offering. SunTrust Robinson Humphrey, Wedbush PacGrow and Roth Capital Partners are acting as co-managers. The offering is expected to close on or about June 29, 2015, subject to customary closing conditions.
bluebird bio anticipates the total gross proceeds from the offering (before deducting underwriters’ discounts and commissions and estimated offering expenses) will be approximately $500 million, excluding any exercise of the underwriters’ option to purchase additional shares. bluebird bio intends to use the proceeds of this offering primarily to advance its immuno-oncology programs, build its commercial infrastructure to support a potential conditional commercial launch in Europe, expand its manufacturing capabilities to support ongoing and anticipated development and commercial efforts and initiate clinical studies of LentiGlobin in adult, adolescent and pediatric subjects with beta-thalassemia major. The balance will be used for general and administrative expenses, potential future development programs, early-stage research and development, capital expenditures and working capital and other general corporate purposes.
The shares are being offered by bluebird bio pursuant to an automatically effective shelf registration statement that was previously filed with the Securities and Exchange Commission(SEC). A preliminary prospectus supplement relating to and describing the terms of the offering was filed with the SEC on June 23, 2015. The final prospectus supplement relating to the offering will be filed with the SEC and will be available on the SEC’s web site at www.sec.gov. When available, copies of the final prospectus supplement and the accompanying prospectus relating to these securities may also be obtained by contacting one of the following: BofA Merrill Lynch,222 Broadway, New York, NY 10038, Attn: Prospectus Department, or via email, email@example.com; Morgan Stanley, Attn: Prospectus Department, 180 Varick Street, 2nd Floor, New York, NY 10014; or Cowen and Company, LLC, c/o Broadridge Financial Services, 1155 Long Island Avenue, Edgewood, NY, 11717, Attn: Prospectus Department.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of such state or jurisdiction. (Original Source)
Shares of bluebird bio Inc closed yesterday at $174.31 . BLUE has a 1-year high of $197.35 and a 1-year low of $29.73. The stock’s 50-day moving average is $173.58 and its 200-day moving average is $123.22.
On the ratings front, bluebird bio Inc has been the subject of a number of recent research reports. In a report issued on June 17, Wedbush analyst David Nierengarten reiterated a Buy rating on BLUE, with a price target of $222, which represents a potential upside of 27.4% from where the stock is currently trading. Separately, on June 15, Roth Capital’s Debjit Chattopadhyay reiterated a Buy rating on the stock and has a price target of $192.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, David Nierengarten and Debjit Chattopadhyay have a total average return of 59.7% and 36.1% respectively. Nierengarten has a success rate of 66.3% and is ranked #9 out of 3640 analysts, while Chattopadhyay has a success rate of 71.9% and is ranked #12.
In total, 7 research analysts have given a Buy rating to the stock. When considering if perhaps the stock is under or overvalued, the average price target is $206.40 which is 18.4% above where the stock closed yesterday.
bluebird bio Inc is a clinical-stage biotechnology company. It is engaged in developing potentially transformative gene therapies for severe genetic and rare diseases and in the field of T cell-based immunotherapy.