(WKBN) – A federal judge has given the green light for the sale of genetics and biotech company 23andMe.
23andMe Holding Co. will be sold to TTAM Research Institute, a genetics-led healthcare company based in California and led by 23andMe co-founder and former CEO Anne Wojcicki.
Under the terms of the agreement, TTAM will acquire substantially all 23andMe assets, including the Personal Genome Service (PGS) and Research Services business lines and the telehealth services provider Lemonaid Health, for a purchase price of $305 million.
The deal, which comes more than three months after 23andMe filed for Chapter 11 bankruptcy, is set to officially close in the coming weeks.
The sale, which was approved by U.S. Bankruptcy Judge Brian C. Walsh on Friday, marks the end of a monthslong bidding war between TTAM and Regeneron Pharmaceuticals — a biotech company that had previously agreed to buy most of 23andMe’s assets for $256 million in May. But Wojcicki’s nonprofit later topped that offer, winning the final round of bidding held last month.
Wojcicki, who cofounded 23andMe nearly 20 years ago had worked to take the company private for some time. With the company struggling to find a profitable business model since going public in 2021, she’s maintained that it would operate better outside market pressures. But that endeavor proved to be tumultuous — notably in September of last year, when all of 23andMe’s independent directors resigned from its board, citing a “clear” difference of opinion with Wojcicki on the company’s future following drawn-out negotiations.
Leading up to 23andMe’s March bankruptcy filing, subsequent efforts from Wojcicki to acquire the company were unsuccessful. And when 23andMe filed for Chapter 11 in late March, Wojcicki resigned as CEO — noting at the time that she was stepping down to be “in the best position” as an independent bidder.
Users agreed to data transfer when they signed up: 23andMe chief
Now that Wojcicki’s nonprofit will acquire 23andMe, it’s unclear whether the co-founder will step back into the CEO seat. But despite stepping down from the top post months ago, Wojcicki has remained on the company’s board throughout the bankruptcy process.
All customers will be emailed in advance of the transaction closing with a notice of the sale.
23andMe filed for bankruptcy in March, raising concerns about private data. TTAM said it is committed to protecting customer privacy and is adopting additional protections.
The Associated Press contributed to this report.
