23andMe, known for its at-home DNA testing kits, is expected to be obtained by its highest bidder following a bankruptcy auction after reaching a peak valuation of $6 billion.
On Monday, 23andMe announced in a press release that it’s being sold to Regeneron Pharmaceuticals, which is “a leading U.S.-based, NASDAQ-listed biotechnology company that invents, develops and commercializes life-transforming medicines for people with serious diseases.” Regeneron plans to purchase 23andMe’s Personal Genome Service, Total Health and Research Services divisions.
Details about Regeneron purchasing 23andMe
The transaction remains subject to approval by the U.S. Bankruptcy Court for the Eastern District of Missouri. If approved, it is expected to close in the third quarter of this year. Dr. George Yancopoulos, Regeneron’s co-founder, board co-chair, president and chief scientific officer, is excited about adding 23andMe’s service lines to his company’s portfolio.
“Through our Regeneron Genetics Center, we have a proven track record of safeguarding personal genetic data, and we assure 23andMe customers that we will apply our high standards for safety and integrity to their data and ongoing consumer genetic services,” Yancopoulos said in the press release. “We believe we can help 23andMe deliver and build upon its mission to help people learn about their own DNA and how to improve their personal health, while furthering Regeneron’s efforts to improve the health and wellness of many.”
Regeneron will not acquire 23andMe’s telehealth subsidiary, Lemonaid Health, which the company purchased for approximately $400 million in 2021. Although the potential new owner has extended employment offers to all staff from the acquired business units, Lemonaid Health will be terminated.
“We are grateful to Regeneron for offering employment to all employees of the acquired business units, which will allow us to continue our mission of helping people access, understand and gain health benefits through greater understanding of the human genome,” Jenson said.
Can 23andMe survive auction without compromising customers’ privacy?
As Blavity reported, 23andMe filed for Chapter 11 bankruptcy protection in March 2025 after experiencing a tumultuous period following their transition to a publicly traded company in 2021. According to CNBC, it’s been an uphill battle for the enterprise to establish sustainable income streams while building credible ventures in research and therapeutic development.
The Federal Trade Commission and many other lawmakers and officials voiced concerns about the safety of consumers’ genetic information in this sale. The privacy ombudsman is set to deliver a report on the acquisition to the court by June 10.
As part of its bankruptcy proceedings, 23andMe required all bidders to adhere to its existing privacy policies. An independent Consumer Privacy Ombudsman, appointed by the court, will review and evaluate the terms of the deal.
“We are pleased to have reached a transaction that maximizes the value of the business and enables the mission of 23andMe to live on, while maintaining critical protections around customer privacy, choice and consent with respect to their genetic data,” Mark Jensen, chair and member of the special committee of the board of directors of 23andMe, said in statement, per the press release.
