Drugmaker Regeneron Prescribed drugs will purchase genetic testing agency 23andMe Holding for $256 million USD via a chapter public sale, the businesses mentioned on Monday.
Regeneron mentioned it can adjust to 23andMe’s privateness insurance policies and relevant legal guidelines with respect to the usage of buyer knowledge and that it is able to element its supposed use of the information to a court-appointed overseer.
The chapter proceedings, filed in March, had drawn scrutiny from lawmakers who warned that tens of millions of consumers’ genetic knowledge might be bought to unscrupulous patrons.
23andMe final month agreed to permit a court-appointed overseer for the corporate’s dealing with of consumers’ genetic info and its safety insurance policies throughout the chapter.
The corporate has collected genetic knowledge from 15 million prospects who ordered its DNA testing kits on-line and offered saliva samples.
The corporate had been scuffling with weak demand for its ancestry testing kits and a knowledge breach in 2023 that uncovered tens of millions of consumers’ genetic knowledge.
As a part of the settlement, Regeneron will purchase all items of 23andMe, besides telehealth service Lemonaid Well being, which the genetic testing agency plans to wind down.
After the transaction completes, 23andMe will proceed to function as a completely owned direct or oblique unit of Regeneron, the businesses mentioned.
The businesses anticipate to shut the deal within the third quarter of this yr.
