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Steven Cohen Doubles Down on Sickle Cell Disease Therapeutics Company Global Blood

- By James Li

On Oct. 2, Steven Cohen (Trades, Portfolio) increased his Global Blood Therapeutics Inc. (GBT) position, according to GuruFocus real-time picks.

The Point72 Asset fund manager invested in 1,570,034 shares for $31 per share, boosting the position 224.69%. With this transaction, Cohen expanded his portfolio 0.27%.


Company background

San Francisco-based Global Blood develops novel therapeutics to treat blood-based disorders like sickle cell disease (SCD). The company's primary product, GBT440, offers a once-daily therapy for SCD patients according to an Oct. 3 press release.

Global Blood CEO Dr. Ted Love said regulatory authorities like the U.S. Food and Drug Administration and the European Medicines Agency are addressing the need for new SCD treatments. The former granted "fast track, orphan drug and rare pediatric disease" designations for GBT440 while the latter included the company's SCD treatments in the agency's "Prime Medicines" program. Over the past six months, the company evaluated its GBT440 through several studies, including the Hemoglobin Oxygen Affinity Modulation to Inhibit HbS PolymErization (HOPE) study in patients aged 12 and up. Love mentioned the two GBT440 presentations in October will highlight two critical case studies that focus on the development of a new treatment for SCD patients.

Global Blood stock traded near $31.20 per share at market open, up 5% from the previous close as the company provided encouraging details about their development of GBT440.

Guru expands health care sector again

As of Oct. 4, Cohen has a 5% stake in four health care companies: Global Blood, Array BioPharma Inc. (ARRY), Pacira Pharmaceuticals Inc. (PCRX) and Achaogen Inc. (AKAO). Global Blood represents the guru's fourth major bet in the health care sector since July based on information from a previous article.

Disclosure: I do not have any postions in the stocks mentioned.

This article first appeared on GuruFocus.