Regeneron to Acquire Core Assets of 23andMe for $256 Million in Bankruptcy Auction, Pledges to Preserve Consumer Genetics Mission and Strengthen Human Health Research
In a major development within the biotechnology and genetics sectors, Regeneron Pharmaceuticals, Inc. (NASDAQ: REGN) has announced that it emerged as the successful bidder in the bankruptcy auction for substantially all of the assets of 23andMe Holding Co., a company once hailed as a pioneer in consumer genomics. The acquisition marks a pivotal moment in the evolution of consumer-facing genetic testing and large-scale health data utilization, as Regeneron seeks to both preserve 23andMe’s consumer-facing services and enhance its own drug discovery capabilities.
Under the terms of the $256 million asset purchase agreement, Regeneron will acquire 23andMe’s Personal Genome Service® (PGS), its Total Health and Research Services business lines, the 23andMe Biobank, and other associated assets. The company emphasized that 23andMe’s consumer genome services will continue without interruption throughout the transition. The transaction remains subject to approval by the U.S. Bankruptcy Court, regulatory clearances, and other customary closing conditions. Finalization is expected by the third quarter of 2025.
A Strategic Merger of Science and Consumer Health
The acquisition represents the convergence of two companies that share a common belief in the transformative power of genetics. Regeneron, long known for its innovative approach to drug discovery and development, views the deal as a logical expansion of its existing efforts to harness genomic information to improve human health on both an individual and societal level.
“Regeneron was one of the first biotech companies to bet its future on the power of DNA, fueling our drug discovery efforts to deliver some of the world’s leading and most innovative medicines,” said Dr. George D. Yancopoulos, co-Founder, Board co-Chair, President, and Chief Scientific Officer of Regeneron. “Our medicines today span a wide range of critical areas, from vision preservation and allergic diseases to cancer, Ebola, and even COVID-19.”
Yancopoulos noted that Regeneron has long embraced the use of large-scale, deidentified genetic data in collaboration with global partners. The company has already linked genomic data from nearly three million research participants to electronic health records (EHRs), enabling a data-driven approach to medical discovery while respecting privacy and ethical boundaries.
“We believe we can help 23andMe deliver and build upon its mission to help those interested in learning about their own DNA and how to improve their personal health,” he continued. “At the same time, this acquisition will further enhance Regeneron’s own efforts to advance medicine through genetics-driven research.”
Ensuring Privacy, Security, and Ethical Stewardship
One of the most sensitive aspects of the transaction involves customer data privacy. With tens of millions of individuals having contributed DNA samples to 23andMe since its founding, concerns about the ethical use, protection, and ownership of genetic information are front and center.
Regeneron stated that it will ensure full compliance with 23andMe’s consumer privacy policies as well as all applicable local, state, and federal data protection laws. To bolster public confidence, the company has committed to a transparent review process overseen by a court-appointed, independent Customer Privacy Ombudsman. This body will examine how customer data will be used, as well as assess Regeneron’s existing privacy infrastructure, including security measures and consent frameworks.
Dr. Aris Baras, Senior Vice President and Head of the Regeneron Genetics Center® (RGC), reaffirmed the company’s commitment to data protection and ethical research conduct. “We understand the responsibility that comes with stewarding one of the world’s most unique and meaningful genetic datasets,” Baras said. “We assure 23andMe customers that we are committed to protecting their data with our high standards of privacy, security, and ethical oversight.”
The Regeneron Genetics Center, established in 2013, has been a powerhouse in the field of genomic research. The center has sequenced the DNA of nearly three million individuals participating in health-related studies and has leveraged this deidentified data to rapidly identify genetic contributors to disease, discover potential drug targets, and understand patient populations at scale.
“We share 23andMe’s founding vision of the power of genetics and data, and the health benefits to individuals and society that come from better understanding the human genome,” Baras added. “We believe we are uniquely suited to be responsible and effective stewards of 23andMe’s future, and we look forward to welcoming their talented team.”
Preserving a Consumer-Focused Legacy
Founded in 2006, 23andMe became a household name by offering at-home DNA testing kits that allowed users to gain insights into ancestry, genetic traits, and potential health risks. The company was widely credited with popularizing direct-to-consumer genomics, reaching millions of customers and building one of the largest consumer genetic databases in the world.
However, in recent years, 23andMe faced mounting financial challenges, declining consumer engagement, and scrutiny over data monetization practices. These pressures ultimately led the company to seek bankruptcy protection and pursue a strategic sale.
In a statement, Joe Selsavage, Interim CEO of 23andMe, expressed optimism about the company’s future under Regeneron’s leadership. “We are pleased to reach an agreement with a science-driven partner that maintains our team and helps ensure our mission will carry forward,” Selsavage said. “With Regeneron’s support and deep experience in genetic sequencing, testing, and discovery, we look forward to continuing to help people access and understand the human genome for the benefit of customers and patients.”
Importantly, 23andMe will operate as a wholly owned direct or indirect subsidiary of Regeneron and will retain its focus on personal genomics services. The acquisition will not include 23andMe’s Lemonaid Health business, an online medical platform that offered virtual doctor visits and prescription services.
Further details on the integration and future strategy for 23andMe’s operations will be announced once the transaction closes later in 2025.
A Shared Vision for the Future of Genomic Medicine
By bringing together Regeneron’s robust research infrastructure with 23andMe’s consumer engagement model and large-scale biobank, the deal aims to unlock synergies that could redefine how personal and population health intersect. The integration could accelerate efforts to identify novel drug targets, develop personalized therapies, and create early detection strategies for a range of diseases.
The announcement comes at a time when both public interest and regulatory attention on genetic data are intensifying. With ethical use of consumer genomics under the spotlight, Regeneron’s proactive approach—coupled with its established reputation in the scientific community—positions it as a potential model for responsible stewardship.
As science, technology, and medicine continue to converge, the acquisition of 23andMe by Regeneron could serve as a landmark case in how biopharma companies can partner with consumer-facing genetic platforms to drive innovation while maintaining public trust.
The healthcare community will be watching closely in the coming months as the deal progresses toward completion, and as the two companies begin to execute a shared vision of genetic empowerment and precision health for millions worldwide.
