Drugmaker Regeneron Prescribed drugs will purchase genetic testing agency 23andMe for $256 million by a chapter public sale, the businesses stated Monday.
Regeneron stated it’s going to adjust to 23andMe’s privateness insurance policies and relevant legal guidelines with respect to using buyer information 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 shoppers’ genetic information might be bought to unscrupulous patrons.
23andMe final month agreed to permit a court-appointed overseer for the corporate’s dealing with of shoppers’ genetic data and its safety insurance policies in the course of the chapter.
The corporate has collected genetic information from 15 million prospects who ordered its DNA testing kits on-line and offered saliva samples.
The corporate had been combating weak demand for its ancestry testing kits and a knowledge breach in 2023 that uncovered tens of millions of shoppers’ genetic information.
As a part of the settlement, Regeneron will purchase all models 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 stated.
The businesses count on to shut the deal within the third quarter.
