Regeneron Pharmaceuticals has announced its intention to acquire the majority of assets from 23andMe, a leading genetic testing firm. This acquisition follows a court-supervised auction in which Regeneron was the winning bidder, offering $256 million for the assets of the struggling company.
The auction took place as part of 23andMe’s Chapter 11 bankruptcy protection, filed in March to enable the sale of its operations. In its bankruptcy documentation, the company had projected that its assets were worth between $100 million and $500 million, with estimated liabilities within the same range.
The acquisition is anticipated to close in the third quarter of 2025, contingent on receiving approval from the bankruptcy court overseeing 23andMe’s Chapter 11 case. The court deliberations concerning the deal are scheduled for mid-June.
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Regeneron’s purchase will encompass 23andMe’s personal genome services, along with its total health and research services segments. The company emphasized that the agreement includes commitments to adhere to 23andMe’s privacy policies and relevant legal standards. This involves processing customer data according to existing consents and privacy agreements to ensure the safeguarding of personal information.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| REGN | REGENERON PHARMACEUTICALS INC. | 591.66 | -2.66 | -0.45% |
George Yancopoulos, co-chair of Regeneron’s board, assured 23andMe customers that the company would uphold high standards for data safety and integrity, leveraging its established experience in protecting personal genetic information. He noted, “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 is also focusing on the continuation of 23andMe’s personal genomics services, aspiring to enhance the platform’s offerings while ensuring the integrity and privacy of user data.
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As part of the review process, a court-appointed consumer privacy ombudsman is scheduled to provide a report on June 10 regarding the implications of Regeneron’s acquisition on consumer privacy protections associated with 23andMe.
Following the acquisition, Regeneron aims to integrate 23andMe as either a wholly owned or indirect subsidiary, retaining its operations in personal genomics.
Mark Jensen of 23andMe expressed optimism about the transaction, stating, “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.”
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It is important to note that Regeneron is not acquiring 23andMe’s telehealth subsidiary, Lemonaid Health, which will be discontinued following the sale.
