23andMe to continue operations under new owner Regeneron
23andMe will continue to offer its DNA testing services to customers after being acquired by Regeneron Pharmaceuticals for $256 million. The New York-based biotech company announced the agreement on Monday, alongside the purchase of 23andMe’s Total Health and Research Services business and its biobank of customer data and genetic samples.
Regeneron won the bankruptcy auction, with all bidders required to comply with applicable laws and 23andMe’s privacy policies regarding customer data. 23andMe states that customer data is anonymized, and stored genetic samples are destroyed when users delete their accounts. The acquisition is expected to close later this year, pending US Bankruptcy Court approval.
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Regeneron’s co-founder, George D. Yancopoulos, said the purchase will further the company’s “large-scale genetics research” into future drugs and treatments. 23andMe has collected genetic samples and data from over 15 million customers since launching its at-home DNA testing kit business. The company was once valued at $6 billion after going public in 2021 but filed for bankruptcy in March after failing to turn a profit.
23andMe chair Mark Jensen said, “We are pleased to have reached a transaction that maximizes the value of the business and enables the mission of 23andMe to live on, while maintaining critical protections around customer privacy, choice, and consent with respect to their genetic data.” Jensen added that Regeneron will offer employment to all employees of the acquired business units, allowing 23andMe to continue its mission.