23andMe co-founder Anne Wojcicki has bought back the company
What's the story
Anne Wojcicki, the co-founder and ex-CEO of 23andMe, is set to reclaim control of the beleaguered genetic testing company.
Her new nonprofit organization, TTAM Research Institute, has won a bidding war against Regeneron Pharmaceuticals.
The deal will witness TTAM acquire most of 23andMe's assets for $305 million. This includes its Personal Genome Service and Research Services business lines, as well as telehealth subsidiary Lemonaid Health.
Bidding war
TTAM's bid reopens auction
TTAM's successful bid comes after Regeneron Pharmaceuticals had previously agreed to buy 23andMe for $256 million. The deal was announced last month after a bankruptcy auction.
However, Wojcicki announced a separate $305 million bid through TTAM and pushed to reopen the auction.
The name "TTAM" is an acronym for the first letters of 23andMe, as per The Wall Street Journal.
Mission statement
'TTAM will help people access, understand human genome'
Expressing her delight at the acquisition, Wojcicki said, "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."
The company gained popularity via its at-home DNA testing kits that provided customers, insights into their family histories and genetic profiles.
Company history
23andMe's struggles
Once valued at almost $6 billion, 23andMe struggled to generate recurring revenue and establish viable research and therapeutics businesses once it went public.
The company has also faced privacy concerns since hackers breached the data of almost seven million customers in 2023.
The acquisition by TTAM is still pending approval from the US Bankruptcy Court for the Eastern District of Missouri.
Privacy assurance
TTAM makes consumer protections, privacy safeguard commitments
TTAM has promised to respect 23andMe's "privacy policies and applicable law," and has made "binding commitments to adopt additional consumer protections and privacy safeguards."
These include establishing a consumer privacy advisory board within 90 days of the deal closing.
The transaction is still subject to court approval but is expected to close "in the coming weeks."