Key Takeaways
- Regeneron acquires 23andMe for $256M following bankruptcy auction
Regeneron will take over key assets including 23andMe’s Personal Genome Service, Biobank, Total Health, and research operations, excluding its Lemonaid Health unit. - Deal includes strict privacy oversight and data protection measures
Regeneron has committed to complying with 23andMe’s privacy policies and applicable laws, with data practices reviewed by a court-appointed customer data representative. - 23andMe filed for Chapter 11 in May 2024 due to financial struggles
The sale process was launched under court supervision following ongoing revenue challenges and operating losses faced by the consumer genetics company.
Regeneron Pharmaceuticals has announced an agreement to acquire all assets of 23andMe for $256 million following a successful bankruptcy auction. According to the company, the acquisition includes 23andMe’s Personal Genome Service, Total Health and Research Services, and its Biobank. Additionally, Regeneron plans to continue 23andMe’s consumer genetics operations without interruption and integrate the business as a wholly owned subsidiary, excluding the Lemonaid Health unit.1
What Does Regeneron’s Acquisition Mean for the Future of Consumer Genetics?
“Regeneron was one of the first biotech companies to bet its future on the power of DNA, fueling our drug discovery efforts so as to deliver some of the world’s leading and most innovative medicines, including treatments to prevent blindness, for allergic diseases from asthma to atopic dermatitis, for several forms of cancer, and even for Ebola and COVID-19,” said George D. Yancopoulos, MD, PhD, co-founder, board co-chair, president, chief scientific officer, Regeneron, in a press release. “We have deep experience with large-scale data management, having worked with collaborators around the world to link deidentified DNA sequences from nearly three million consented participants to electronic health records, safely and securely enabling future medical advances. We believe we can help 23andMe deliver and build upon its mission to help those interested in learning about their own DNA and how to improve their personal health, while furthering Regeneron’s efforts to use large-scale genetics research to improve the way society treats and prevents illness overall.”
Data Privacy and National Security Shape the Acquisition Process
Last month, 23andMe stated that any acquisition of the company must comply with its strict privacy protocols and applicable data protection laws. This included regulatory vetting, with offers from entities based in or controlled by countries such as China, Russia, or Iran explicitly disqualified due to national security and data privacy concerns. The company also requested court approval to appoint an independent customer data representative with the goal of ensuring that the acquisition met privacy standards.2 As the successful bidder, Regeneron will comply with 23andMe’s privacy policies and applicable laws, and will outline its intended data use, privacy safeguards, and security measures for review by the court-appointed Privacy Ombudsman.1
Regeneron Pledges Commitment to Ethical Data Stewardship
“23andMe is a pioneer in consumer genetics and research, and we are excited for the opportunity to support their important mission and grow their platform and business,” said Aris Baras, MD, SVP, head, Regeneron Genetics Center, in the press release. “As a world leader in human genetics, Regeneron Genetics Center is committed to and has a proven track record of safeguarding the genetic data of people across the globe, and, with their consent, using this data to pursue discoveries that benefit science and society. We assure 23andMe customers that we are committed to protecting the 23andMe dataset with our high standards of data privacy, security and ethical oversight and will advance its full potential to improve human health.”
Anticipated Timing for Regulatory and Court Approvals
Pending approval from the bankruptcy court, regulatory authorities, and satisfaction of customary closing conditions, the transaction is expected to be finalized in the third quarter of 2025. Additional details regarding operational plans and integration are expected to be shared following the close of the acquisition.1
“Since 2013, the Regeneron Genetics Center has sequenced the genetic information of nearly three million people in research studies, using this deidentified data to make meaningful discoveries at speed and scale,” continued Baras, in the press release. “We share 23andMe’s founding vision of the power of genetics and data and the health benefits to individuals and society in understanding the human genome. We believe we are uniquely suited to be responsible and effective stewards of 23andMe’s future, and we look forward to welcoming their talented team.”
References
1. Regeneron Enters into Asset Purchase Agreement to Acquire 23andMe® for $256 Million; Plans to Maintain Consumer Genetics Business and Advance Shared Goals of Improving Human Health and Wellness. Regeneron. May 19, 2025. Accessed May 19, 2025. https://investor.regeneron.com/news-releases/news-release-details/regeneron-enters-asset-purchase-agreement-acquire-23andmer-256
2. 23andMe Provides Update Regarding Court-Supervised Sale Process. 23andMe. April 18, 2025. Accessed May 19, 2025. https://investors.23andme.com/news-releases/news-release-details/23andme-provides-update-regarding-court-supervised-sale-process?_gl=1*kquivi*_ga*MTUwMTk0MDAyMS4xNzQ3NjYxNTAz*_ga_G330GF3ZFF*czE3NDc2NjE1MDMkbzEkZzEkdDE3NDc2NjE1MTUkajAkbDAkaDA.
