2seventy Bio cut to Market Perform at TD Cowen as outlook hinges on Abecma

TD Cowen downgraded 2seventy Bio (TSVT) to Market Perform from Outperform with no price target. With the sale of the company’s R&D pipeline to Regeneron (REGN) for $5M cuts cash burn to $80M-100M in 2024 and extends runway to 2027+, but 2seventy Bio’s outlook now hinges on Abecma, which faces increasing competition from Carvykti and bispecifics, the analyst tells investors in a research note. The firm adds that it expects approval for 3L MM post ODAC, but also anticipates headwinds given the competition.