Regeneron acquires 23andMe for $256M, gaining access to genetic data to support its push into personalized medicine and biotech innovation
Regeneron, a pharmaceutical manufacturer, announced on Monday that it will acquire 23andMe, a genetic testing company, for $256 million as a result of a bankruptcy auction.
Regeneron has announced that it will acquire 23andMe’s genomics service and its library of 15 million customers’ personal and genetic data as part of the agreement.
The pharmaceutical company has announced its intention to utilize the customer data from 23andMe to facilitate drug discovery. Additionally, it has pledged to “prioritize the privacy, security, and ethical use of 23andMe’s customer data.”
In March, 23andMe filed for bankruptcy protection following a data breach that compromised the private and genetic data of 7 million consumers in 2023.
Additionally, the company’s stock price plummeted to nearly zero due to a decline in consumer interest in its DNA testing products. Anne Wojcicki, the founder and CEO of 23andMe, resigned from the company in the wake of the company’s collapse.
The appointment of a federal bankruptcy court to supervise the sale of 23andMe’s assets following its filing raised concerns that the company’s customer data stores could be sold to unethical purchasers or adversarial nations.
Regeneron stated it “intends to ensure compliance” with 23andMe’s privacy policies and laws regarding customer data as the named buyer in the bankruptcy auction.
Regeneron’s acquisition is scheduled for consideration by the bankruptcy court on June 17. Regeneron has announced that it will not acquire 23andMe’s Lemonaid Health business.
