Why Bluebird Bio Stock Is Tumbling Tuesday

Bluebird Bio Inc BLUE shares are trading lower Tuesday after the company announced a proposed offering.

What Happened: Bluebird Bio said it commenced an underwritten public offering of $150 million worth of shares of its common stock. The company also intends to grant the underwriters the option to purchase up to an additional $22.5 million worth of its common stock. 

Bluebird said it intends to use the net proceeds to support commercialization and manufacturing for three approved gene therapies including ZYNTEGLO, SKYSONA and LYFGENIA, as well as to fund working capital and for other general corporate purposes.

Bluebird did not provide pricing details for the offering and noted that there can be no assurance as to whether or when the offering may be completed. All shares in the offering are being sold by the company.

See Also: What's Going On With Boeing Stock Tuesday?

BLUE Price Action: Bluebird Bio shares were down 12.8% at $2.66 at the time of publication, according to Benzinga Pro.

Photo: 3844328 from Pixabay.