A federal judge has approved the sale of the genetics and biotech company 23andMe in a bankruptcy case.
The company, 23andMe Holding Co, will be sold to TTAM Research Institute, a genetics-led healthcare company based in California.
The big picture: The acquisition includes assets such as the Personal Genome Service (PGS) and Research Services business lines, as well as telehealth services provider Lemonaid Health, for a purchase price of $305 million.
- The acquisition by TTAM was finalized after a bidding war with Regeneron Pharmaceuticals, which was previously in agreement to purchase most of 23andMe’s assets for $256 million.
Go deeper: The sale marks the culmination of a challenging period for 23andMe, which filed for Chapter 11 bankruptcy more than three months ago. The bidding war signifies the evolving landscape of the genetics and biotech industry, with companies vying for valuable assets and technologies amid financial uncertainties.
- The sale to TTAM Research Institute, led by 23andMe co-founder and former CEO Anne Wojcicki, comes after months of negotiations and strategic decisions. The involvement of Wojcicki in the acquisition process highlights the importance of leadership and visionary decision-making in the biotech sector.
- Wojcicki, who co-founded 23andMe nearly two decades ago, has been instrumental in reshaping the company’s trajectory amidst financial challenges.
- The bankruptcy filing in March raised concerns about the protection of customer data. TTAM has reassured customers of its commitment to safeguarding their privacy and has pledged additional security measures.
What we’re watching: The approval of the sale by US Bankruptcy Judge Brian C. Walsh signals a new chapter for 23andMe and its stakeholders. The transition to new ownership under TTAM Research Institute will bring changes in management and operations, potentially reshaping the company’s strategic direction.
- Customers of 23andMe will be notified in advance of the transaction closing, ensuring transparency and clear communication during the ownership transition.
