Cell Therapy Setback: Vor Bio Winds Down Operations Amid Industry Challenges

Vor Bio, a pioneering cell therapy company, has announced its decision to wind down operations, marking another setback for the cell and gene therapy sector. The biotech firm, founded by renowned oncologist and author Siddhartha Mukherjee, M.D., is halting clinical trials and manufacturing activities while laying off the majority of its workforce.
Immediate Cessation of Operations and Workforce Reduction
Vor Bio is implementing an immediate wind-down of its clinical and manufacturing operations. In a stark move, the company is reducing its workforce by approximately 95%, retaining only eight employees. These remaining staff members will be tasked with exploring strategic alternatives, including potential asset divestment, licensing opportunities, or a possible sale or merger of the company.
The decision comes after a thorough assessment of data from Vor Bio's clinical programs, coupled with consideration of the current challenging fundraising environment. The company emphasized that the wind-down is not driven by safety concerns related to any of its assets.
Impact on Clinical Programs
The wind-down affects two of Vor Bio's lead assets, both of which were in phase 1/2 trials:
-
Trem-cel: A hematopoietic stem cell transplant therapy being developed in combination with Pfizer's Mylotarg for certain patients with acute myeloid leukemia (AML).
-
An allogeneic CAR-T therapy: Also in development for AML.
These promising therapies were at the forefront of Vor Bio's efforts to advance gene-edited stem cell therapies for blood cancers.
Broader Industry Implications
Vor Bio's closure is part of a concerning trend in the cell and gene therapy sector. According to Fierce Biotech's tracking, nearly one-third of the 63 biotech layoff rounds in the first quarter of 2025 came from cell and gene companies. This pattern suggests ongoing challenges in the field, despite its potential for groundbreaking treatments.
Recent examples of similar setbacks include:
- Cargo Therapeutics, a CAR-T company, which liquidated all assets and laid off 90% of its workforce in March.
- Carisma Therapeutics, focused on macrophage therapies, followed a similar path in April, retaining only six employees to manage the company's closure.
These developments highlight the difficulties faced by cell and gene therapy companies in navigating the complex landscape of clinical development and financial sustainability.
References
- Vor Bio to wind down, halting cell therapy trials and shedding most staff
Vor Bio is the latest cell therapy company to reach the end of the road. The biotech is immediately winding down clinical and manufacturing operations and laying off almost all staff.
Explore Further
What has been Vor Bio's financial performance over the past few years leading up to its closure?
What other recent personnel changes have occurred in the cell and gene therapy sector?
What is the professional background of the key executives who made the decision to wind down Vor Bio's operations?
How have other companies addressing acute myeloid leukemia (AML) therapies handled personnel changes and operational challenges?
What are the possible factors that contributed to the decision of Vor Bio to lay off 95% of its workforce despite the potential of their clinical programs?