02:31 PM EDT, 03/18/2024 (MT Newswires) -- Bluebird bio (BLUE) said Monday it has entered into a $175 million five-year, term loan facility with Hercules Capital.

The first tranche of $75 million was drawn upon agreement and two additional tranches of $25 million each will be drawn upon the achievement of commercial milestones. The facility is expected to extend bluebird's cash runway through Q1 of 2026.

The availability of up to $50 million in the fourth tranche is subject to Hercules' sole discretion, the company said.

Shares of bluebird rose nearly 8% in recent trading.

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