$305M Power Play: Anne Wojcicki Outbids Regeneron for 23andMe
After a data breach, a board exodus and a rejected takeover bid, 23andMe’s co-founder and former is reclaiming control of 23andMe and its trove of genetic data
Anne Wojcicki is reclaiming 23andMe, the genetic testing company she co-founded and once led as CEO, through a new nonprofit, outbidding Regeneron Pharmaceuticals’ $256 million offer.
The company, which filed for bankruptcy in March, has entered into a definitive agreement to sell nearly all of its assets to TTAM Research Institute, a California-based nonprofit public benefit corporation led by Wojcicki, for $305 million.
The deal includes 23andMe’s Personal Genome Service, its research services unit, and Lemonaid Health, the company’s telehealth arm. A court hearing to approve the sale is scheduled for June 17, and the transaction is expected to close in the coming weeks.
Regeneron has been named the backup bidder.
The agreement marks a dramatic twist in 23andMe’s recent saga. Last fall, all seven board members resigned over strategic differences after Wojcicki signaled interest in taking the company private. Though her initial acquisition proposal was rejected by a special committee of the board, she stepped down as CEO in early 2024 to position herself as an independent bidder.
The company has faced mounting setbacks in recent years, including a 40% workforce reduction and fallout from a high-profile 2023 data breach that exposed information from nearly 7 million users and resulted in a $30 million settlement.
“We are pleased that the competitive bidding process has resulted in significantly more value to our stakeholders while enhancing critical protections around customer privacy, choice and consent with respect to their genetic data,” said Mark Jensen, chair of the board and member of the special committee of the board of directors of 23andMe. “As 23andMe’s founder, Ms. Wojcicki is well positioned to advance the company’s founding vision of helping people access, understand and gain health benefits through greater understanding of the human genome. We will work to complete the transaction quickly so that 23andMe can begin its next chapter as a nonprofit.”
As part of the agreement, TTAM will expand upon 23andMe’s existing data privacy policies. The organization will continue honoring customer rights to delete accounts and genetic data and to opt out of research indefinitely. With 23andMe’s cooperation, all customers will be emailed at least two business days before the sale closes with instructions on privacy choices. Additional safeguards include restrictions on data transfers in the event of another sale or bankruptcy, the creation of a Consumer Privacy Advisory Board within 90 days, annual privacy reports for Attorneys General, two years of free Experian identity theft monitoring and continued support for academic research using de-identified data.
“I am thrilled that TTAM Research Institute will be able to continue the mission of 23andMe to help people access, understand and benefit from the human genome,” Wojcicki said. “We believe it is critical that individuals are empowered to have choice and transparency with respect to their genetic data and have the opportunity to continue to learn about their ancestry and health risks as they wish. The 23andMe community of consented individuals will also have the opportunity to be part of making novel genetic discoveries that improve our knowledge of DNA – the code of life – and the health and wellness of everyone. I remain committed to the 23andMe community and driving forward this mission. The future of healthcare belongs to all of us.”