Biotech firm Regeneron has announced plans to acquire 23andMe for $256 million after the direct-to-consumer genetics company filed for bankruptcy in March.
The deal, made through a bankruptcy auction, includes access to 23andMe’s DNA testing services and its massive database of over 15 million customers’ genetic and personal data.
Regeneron, known for its work in pharmaceuticals and genetic research, said the acquisition would strengthen its drug discovery efforts by leveraging 23andMe’s rich genomic dataset. The company also promised to “prioritize the privacy, security, and ethical use” of the data it acquires.
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Fallout from breaches and declining trust
The acquisition follows a turbulent period for 23andMe. A major data breach in 2023 compromised the sensitive information of 7 million users, eroding consumer confidence and causing the company’s stock to plummet. Founder and CEO Anne Wojcicki resigned amid the fallout.
Bankruptcy proceedings raised fears about the potential misuse of 23andMe’s customer data, including concerns it could be sold to foreign or unethical actors. Regeneron’s involvement was seen as a safer option given its industry standing and commitments to data governance.
What’s next
The bankruptcy court is expected to review and potentially approve the acquisition on June 17. Notably, Regeneron will not acquire Lemonaid Health, a telehealth subsidiary of 23andMe.
If finalized, the deal could mark a new chapter for both companies—one doubling down on data-driven drug development, the other a cautionary tale in the era of consumer genomics and data privacy.
