Stock plummets as company plans to sell $150 million of common stock

  • Bluebird Bio shares fall 13% after announcing stock offering
  • Stock down 13% in after-hours trading
  • Company plans to sell $150 million of common stock
  • Proceeds to be used for manufacturing gene therapies and working capital

Shares of Bluebird Bio fell 13% after the company announced its plans to sell $150 million of common stock in a public offering. The stock continued to decline in after-hours trading, reaching $2.66. This drop follows a 6.7% fall at Monday’s close and brings the total decline for the year to 56%. Bluebird Bio, based in Somerville, Mass., stated that the underwriters would have the option to purchase up to an additional $22.5 million shares within 30 days. The company intends to use the proceeds from the offering for manufacturing its approved gene therapies and for working capital.

Public Companies: Bluebird Bio (N/A)
Private Companies:
Key People:

Factuality Level: 8
Justification: The article provides factual information about Bluebird Bio’s decision to sell its common stock in a public offering, the stock’s performance, the amount of stock being sold, and the company’s intended use of the proceeds. There are no digressions, irrelevant information, or biased perspectives. However, the article is short and lacks in-depth analysis or context.

Noise Level: 3
Justification: The article provides relevant information about Bluebird Bio’s decision to sell its common stock in a public offering and the impact on the stock price. However, it lacks in-depth analysis, scientific rigor, and actionable insights. The article stays on topic and supports its claims with specific details and numbers.

Financial Relevance: Yes
Financial Markets Impacted: Bluebird Bio

Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article pertains to financial topics as it discusses the sale of Bluebird Bio’s common stock in a public offering. However, there is no mention of any extreme event or its impact.

Reported publicly: www.marketwatch.com