Regeneron Pharmaceuticals is set to acquire the assets of 23andMe, a DNA testing firm, for $256 million. This acquisition follows 23andMe's Chapter 11 bankruptcy filing earlier this year. The deal encompasses 23andMe's personal genome service, total health, and research services business lines, as well as its biobank of customer genetic samples.

Regeneron intends to maintain 23andMe's consumer genome services. George Yancopoulos, cofounder, chief scientific officer, and president of Regeneron, stated that the acquisition aims to enhance 23andMe's mission of providing individuals with insights into their DNA and improving personal health. Additionally, it will support Regeneron's large-scale genetics research to improve disease treatment and prevention.

Mark Jensen, chair of 23andMe’s special committee of directors, emphasized that the deal maximizes the business's value, ensures the continuation of 23andMe's mission, and upholds customer privacy and data consent. Under the agreement, Regeneron must adhere to 23andMe's privacy policies and relevant laws regarding customer data. The transaction is expected to finalize in the third quarter of this year.

23andMe, which went public in 2021 and was once valued at $6 billion, faced financial difficulties, including a $30 million settlement from a class-action lawsuit due to a data breach. The company also experienced two unsuccessful attempts to go private by CEO and cofounder Anne Wojcicki, and a 40% reduction in its workforce to reduce expenses. In a November filing with the Securities and Exchange Commission, 23andMe reported debts of $2.3 billion and approximately $126 million in cash and equivalents, indicating a need for additional funding. Anne Wojcicki stepped down as CEO when the company filed for bankruptcy.