Troubled genetic testing company 23andme Announced on Friday That it reached an agreement to sell itself to a non -profit led by the company’s co -founder and former general manager Anne Wojcicki.
After a massive cyber attack in 2023 and a related process of litigation, 23andme filed for bankruptcy In March, with Wojcicki resigning to become an independent bidder for the company. But a pharmaceutical company regenerate was announced as the company’s buyer with an offer of $ 256 million.
According to The Wall Street JournalThe non -profit TTAM research institute of Wojcicki reopened the bidding process making an unsolicited offer earlier this month, and Regenener refused to hit TTAM’s $ 305 million offer.
In the announcement, TTAM (an acronym that is in line with the first letters of twenty -three and I) said that customers will be notified of the acquisition at least two trade deals before the agreement is closed, and that the nonprofit will continue to fulfill the privacy policies of 23Andme, allowing clients Remove their data and choose research. It also said it will set up a consumer advisory board within 90 days of the closure.
“I am thrilled that a TTAM research institute will be able to continue the 23andme mission to help people access, understand and benefit from the human genome,” Wojcicki wrote on LinkedIn. “We believe that it is important that individuals have the right to have choice and transparency in relation to their genetic data and have the opportunity to continue learning about their ancestors and health risks, as they wish.”
The acquisition must still be approved by the bankruptcy court, and it faces additional legal obstacles – a group of 28 state lawyers led by New York’s Letitia James presented a lawsuit This week challenging the sale of the company’s assets.
“23AndMe can’t auction millions of personal genetic information from people without their consent,” James said.
A court-designated privacy defender also said that it is unclear that the 23andme privacy policies allow the sale of its genetic data, according to the MSV.
Nor is it clear that 23Andme could regain consumer confidence if the agreement continues. The Interim Director of the company Joseph Selsavage recently told a house for dominance 15% of customers asked to remove their data Because the company filed for bankruptcy.
