tags:

• thesis/fraud
• thesis/dilution
• analyst/grizzly-reports ...

Drug prospects dwindling, cash runway now drying up, abandoned by management, all while attempting to retain an investor base with false hopes driven by misleading statements

Bluebird bio (NASDAQ:BLUE), once a darling of the pre-revenue hot-biotech-money crowd, has entered its death spiral. Access to capital for bringing any product to market becomes increasingly dilutive and forces management into additional stock sales. Its core technology has been eclipsed by newer, safer, and more reliable treatment pathways. CEO Andrew Obenshain is now compelled to parrot a less and less credible portrayal of patient populations, treatment risks, and insurance reimbursement uptakes for his drug candidates. In this researcher’s view, Bluebird’s time for achieving escape velocity is past, and the forces of gravity pulling it toward a liquidation or dissolution scenario can no longer be escaped.