Wojcicki's Non-Profit Wins Bid to Acquire 23andMe After Bankruptcy

Anne Wojcicki's plan to purchase 23andMe, the genetic testing company she co-founded, has been approved by the court. Her non-profit, TTAM Research Institute, will acquire most of 23andMe's assets for $305 million. The deal is expected to be finalized in the coming weeks, following the company's Chapter 11 bankruptcy filing.

Wojcicki expressed her excitement about TTAM's ability to continue 23andMe's mission of helping people understand and benefit from their genetic information. The sale concludes a bidding war between TTAM and Regeneron Pharmaceuticals, a biotech company that initially offered $256 million for the assets.

Under the agreement, TTAM will obtain 23andMe's DNA testing kits, research operations, and its telehealth subsidiary, Lemonaid Health. Wojcicki had previously sought to take 23andMe private, believing it would operate better outside market pressures. However, this effort faced challenges, including the resignation of all independent directors from the board.

Before the bankruptcy filing, Wojcicki's attempts to acquire the company were unsuccessful. She resigned as CEO when 23andMe filed for Chapter 11, stating she wanted to be in the best position as an independent bidder. It is currently unknown if she will resume the CEO role.

Concerns about customer data privacy have emerged, particularly after a 2023 data breach. The genetic testing business had approximately 13 million customers at the time of the sale hearing. Several states filed a lawsuit to prevent the sale of personal genetic data without customer consent. While many objections have been resolved, some states remain opposed to the sale.

23andMe has confirmed that TTAM will adhere to its privacy policies, including allowing users to delete their data and opt out of research. TTAM will also provide customers with two years of identity theft monitoring. 23andMe reiterated these privacy policies, and Wojcicki emphasized the importance of individual choice and transparency regarding genetic data. Customers will receive emails with details on TTAM's privacy commitments and instructions on managing their data.