Caribou Biosciences plans to discontinue both of its CRISPR-edited cell-therapy programs and substantially reduce its workforce while it explores a sale, merger or other strategic transaction.
The company's board approved the restructuring on Oct. 2, according to an Oct. 6 regulatory filing. Caribou attributed the decision to a difficult financing environment for allogeneic CAR-T therapies, which it said made the capital needed to advance the programs increasingly hard to secure.
Two clinical programs will stop
Caribou's announcement says it will stop further development of vispa-cel, an experimental treatment for relapsed or refractory B-cell non-Hodgkin lymphoma, and CB-011, a candidate for relapsed or refractory multiple myeloma.
The company said vispa-cel was ready for a pivotal trial and that it had reached alignment with the Food and Drug Administration on a Phase 3 study design. But STAT reported that Caribou failed to raise the money needed to fund that late-stage trial. The outlet described the Berkeley biotech as having emerged from the research lab of CRISPR scientist and Nobel laureate Jennifer Doudna.
Caribou reported $113.8 million in cash, cash equivalents and marketable securities as of June 30. It has not announced a buyer or other transaction.
Workforce cuts are expected in phases
The SEC filing says the workforce reduction will happen in phases, with most affected employees expected to depart during the fourth quarter of 2026. A limited number of workers are expected to remain while Caribou evaluates transactions and handles business wind-down activities.
Possible outcomes include a merger, acquisition, business combination or transactions involving the company or its assets. Caribou said there is no timetable for the review and no assurance that it will produce a deal.
The filing estimates restructuring expenses of $15 million to $19 million, including severance and costs associated with winding down two Phase 1 trials.
