Regeneron Pharmaceuticals on Monday announced plans to purchase genetic testing company 23andMe for $256 million.
The New York-based drugmaker is set to take over 23andMe after winning a bankruptcy auction for the ailing firm, Regeneron said.
Regeneron plans to “continue all consumer genome services uninterrupted,” the company noted in a statement.
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“We believe we can help 23andMe deliver and build upon its mission to help people learn about their own DNA and how to improve their personal health, while furthering Regeneron’s efforts to improve the health and wellness of many,” Regeneron President George Yancopoulos said.
In March, 23andMe filed for Chapter 11 bankruptcy, saying it would enter a “court-supervised” sale process. At the same time, the company’s CEO, Anne Wojcicki, resigned from her role as chief executive.
The move followed a series of setbacks for the company, including a 2023 class-action settlement over a data breach and a mass resignation among its board of directors in 2024.
Founded in 2006, 23andMe helped pioneer consumer genetic testing but faced difficulty turning the service into a sustainable business.
The bankruptcy elicited fears about the security of genetic data belonging to the company’s roughly 15 million customers.
Regeneron on Monday vowed to maintain the data privacy protocol employed by 23andMe.
“Regeneron intends to ensure compliance with 23andMe’s consumer privacy policies and applicable laws with respect to the treatment of customer data,” the company said.
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The acquisition of 23andMe will not include Lemonaid Health, a telemedicine service that 23andMe purchased for about $400 million in 2021.
Regeneron pointed to its own genetic testing of some 3 million people over the course of various research studies, saying the information had helped facilitate pharmaceutical breakthroughs.
“We share 23andMe’s founding vision of the power of genetics and data and the health benefits to individuals and society in understanding the human genome,” Regeneron said. “We believe we are uniquely suited to be responsible and effective stewards of 23andMe’s future, and we look forward to welcoming their talented team.”
ABC News’ Mary Kekatos contributed to this report.
Regeneron Pharmaceuticals to buy 23andMe for $256M originally appeared on abcnews.go.com
