While direct competitors are using the CRISPR/CAS9 technology, which allows selecting only a specific DNA section to modify and limit the risk of oncogenesis, $BLUE ‘s treatment is a widespread injection with unknown potential inclusions and side effects more likely to develop.

$BLUE ‘s technology is way less advanced and older than its competitors'. Most scientists we consulted agree that it also bears more risks.

Following the recent Arbitrator Award, SRT filed a new lawsuit on April 27th, essentially trying to stop $BLUE ‘s alleged illegal use of SRT's technology. We believe this suit poses an enormous risk to $BLUE ‘s future.

The Arbitrator Final Award dated February 7th, 2023 states that SRT has "exclusive, royalty-free commercial license" to patents that are indispensable to $BLUE ‘s technology. These patents appear to have been wrongfully used by $BLUE to develop their gene therapy treatments.

The long-lasting legal battle that started in 2017 against San Rocco Therapeutics (SRT), which $BLUE attempted to de-emphasize in its disclosures, seems to have recently turned in SRT's favor.

We think management has long realized that $BLUE is crashing and are trying to salvage the parts that might have more promise. But we also think there might be a more nefarious reason for management and board to abandon the company, which is to avoid legal liabilities.

Experts we consulted stressed that $BLUE has placed undue focus on parts of its clinical results data to make its treatment seem more beneficial than it actually is. Data cherry-picking and misrepresentation is, in our opinion, rampant in $BLUE ‘s disclosures.

We believe these early signs of non-adoption are very telling with regard to future market share.

Moreover, specifically for Zynteglo, 13 Qualified Treatment Centers (QTC) have been activated as of May 8th, 2023. According to the company, these were set up in the most prominent areas in terms of eligible patients, making these low numbers very alarming.

$BLUE ‘s recent Q4 2022 and Q1 2023 reports were filled with disappointing news, including a delay in their BLA submission for their SCD treatment and a very low number of patients that have initiated cell collections on both available treatments.

Potentially eligible patients for $BLUE ‘s treatments "Zynteglo" and new lovo-cel, which are aiming to cure TDT (Transfusion Dependent Thalassemia) and SCD (Sickle Cell Disease), are, according to numerous experts we consulted, far fewer than the company portrays.

Moreover, $BLUE ‘s treatments are extraordinarily expensive: $3.0 for Skysona and $2.8 million for Zynteglo. Even with the "adjustments" and "payment facilitation" offered by $BLUE , we doubt the treatment can ever be commercialized anywhere outside the USA.

$BLUE withdrew its Conditional Market Authorization from the European Union for “commercial reasons”. This is a strong indication that $BLUE ‘s treatments are simply commercially unviable outside the U.S., while its window of opportunity narrows within the U.S.

Projections made by $BLUE rely on old and inaccurate data, while some more recent data suggests a lower total addressable market for both the Zynteglo (Beta-Thalassemia) and the SCD (Sickle Cell Disease) treatment.

We believe $BLUE is in a death spiral – foreseen by management who jumped at the chance to bail out during the oncology division spin-off after raking in piles of cash. We believe $BLUE will continue to dilute investors while putting forth false hopes and narratives.

Notably, almost the entire executive team and board of directors exited $BLUE in late 2021, amidst the recent spin-off of BlueBird's oncology division.

Considering $BLUE ‘s operational cash needs and dire prospects for commercial success, we believe the company will have to continue to dilute shareholders for the foreseeable future.

$BLUE raised new funds in January only days after publicly stating that it had sufficient funds for the remainder of the year. The company also just recently filed a new shelf offering. We see $BLUE as a dilution machine.

The short summary of our $BLUE short thesis: 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.

We believe Bluebird Bio Inc ($BLUE) former High-Flyer, has Crashed to Earth. Read our new report here:

We will publish a brand-new critical report tomorrow. So stay tuned!

We made a mistake. In an earlier version of our report, we mentioned that “Sigma Lithium” only shows three employees on LinkedIn. We removed this part because the list of employees we pulled from LinkedIn refers to another company with the legal name “Sigma Lithium Ltd.” And…

We made a mistake. In an earlier version of our report, we mentioned that “Sigma Lithium” only shows three employees on LinkedIn. We removed this part because the list of employees we pulled from LinkedIn refers to another company with the legal name “Sigma Lithium Ltd.” And…

All told, we agree with $SGML ’s insiders who have realized gains of CAD29.3 million through net sales of 924,100 shares in 2H22 and 2023. Based on expert opinions on the valuation in a buyout scenario and concerns we have highlighted, we see ~50-75% downside in shares of $SGML.

It is our view that the Groto do Cirlo Project will require substantially higher CapEx than projected. Based on its current burn rate, we estimate the company will run out of cash if it does not begin to generate revenue within 2 years.