Regeneron Pharmaceuticals to Acquire 23AndMe for $256 Million
Regeneron Pharmaceuticals has announced its intent to purchase the bankrupt genetic testing company 23AndMe for $256 million. This move presents a chance for Regeneron to obtain a wealth of genetic samples and data, including details from over 15 million customers. However, this acquisition has sparked concerns among privacy advocates, especially given the sensitive nature of the information involved.
The deal includes 23AndMe’s personal genomic services and its extensive biobank. Regeneron has assured that all of 23AndMe’s genetic testing services will continue without interruption post-acquisition. The transaction is set to be completed in the third quarter of 2025, pending necessary approvals from the bankruptcy court and regulatory bodies.
To alleviate privacy concerns, Regeneron has pledged to adhere to 23AndMe’s established consumer privacy policies. They also plan to collaborate with court-appointed ombudsmen investigating these matters, aiming to safeguard customer data. “We are committed to maintaining high standards of data privacy and security to help improve human health,” stated Aris Baras, Head of Regeneron’s Genetics Center.
Nonetheless, Regeneron’s new access to this vast collection of genetic data, amassed since 23AndMe launched its direct-to-consumer testing in 2007, raises eyebrows. Once valued at $5 billion, the company faced significant challenges, especially following a data breach affecting nearly 7 million users.
In light of these developments, California Attorney General Rob Bonta has urged 23AndMe customers to take steps to protect their privacy. He recommended that customers remove their data from the 23AndMe database and request the destruction of stored saliva samples before the company’s assets change hands. Users can log into their accounts to manage their data, give consent for research, and request the deletion of samples.
The announcement of this acquisition comes simultaneous to the resignation of Anne Wojcicki, co-founder and CEO of 23AndMe. Wojcicki stepped down on the day the bankruptcy was filed after a prolonged conflict with the board regarding her proposal to take the company private. Following this, seven independent board members also resigned in a significant upheaval for the company.
