Cambridge-based 2seventy Bio Inc. recently announced that the company's CEO, Nick Leschly, is stepping down, in conjunction with laying off approximately 40% of their workforce, which amounts to 176 employees according to NBC Boston. Leschly, who had been leading the company since its split from bluebird bio Inc. back in 2021, informed the company's board of directors that he intends to step down upon the identification of a successor.
Leschly will assume the role of chairman of 2seventy's board once the CEO transition takes place. In his statement, Leschly expressed gratitude for the past 14 years at the helm of bluebird and 2seventy, particularly for their contributions to advancing the field of cell therapies as reported by the Boston Business Journal. Leschly joined bluebird bio in 2010, having previously worked at Third Rock Ventures.
However, it has not been smooth sailing for the company in recent times. Following the split of bluebird in November 2021, 2seventy developed Abecma, a CAR-T product, in collaboration with Bristol Myers Squibb Company. The drug has faced waning demand, partly due to competition from Janssen's Carvykti, which led to a $42.1 million loss last quarter, as against the anticipated profits projected in a conversation with the Boston Business Journal earlier this year. Additionally, 2seventy conducted a round of layoffs impacting around 25 people a few months post the split.
2seventy Bio now aims to expand Abecma's label to cover other types of cancers besides multiple myeloma. Among these, potential treatments for pediatric acute myeloid leukemia, B-cell non-Hodgkin lymphoma, and ovarian cancer are being explored. However, the pediatric leukemia trial faced a major setback in June, with the death of a patient reportedly due to the drug. The company stated last month that it is collaborating with the authorities to identify the root cause of the tragedy and propose necessary alterations to the clinical study as per the Boston Business Journal.
