• Regeneron Pharmaceuticals will buy 23andMe for $256 million, following its bankruptcy filing.
• 23andMe's assets include data from over 15 million customers, raising privacy concerns.
• Regeneron commits to maintaining privacy policies and securing customer data.
• The sale is subject to approval by a bankruptcy court and regulatory bodies.

Regeneron Pharmaceuticals has announced its acquisition of 23andMe for $256 million as the genetic testing firm emerged from bankruptcy, aiming to bolster its efforts in genomics-driven drug discovery. 23andMe, once valued at $6 billion, filed for Chapter 11 in March 2025 due to challenges in generating revenue and managing privacy concerns following a significant data breach in 2023 that compromised millions of customers' information. This acquisition follows a bankruptcy auction, making Regeneron the successful bidder, as reported by latimes, businessinsider, and reuters.

The transaction includes 23andMe's Personal Genome Service and Total Health and Research Services, essential services used by more than 15 million subscribers. Regeneron has committed to adhering to existing privacy policies and ensuring data is used ethically, as it integrates this data into its drug development processes. George Yancopoulos, Regeneron's President, stressed the company's intent to support 23andMe's mission while maintaining consumer consent and privacy protections, according to cbsnews and bbc.

Concerns over data privacy remain significant, especially after past breaches that exposed sensitive genetic data. Regeneron must comply with applicable data protection laws and is also expected to work with a court-appointed ombudsman to ensure that consumer privacy remains a priority. The transaction's approval is pending a court hearing scheduled for June 17, with expectations for completion in the third quarter of 2025, as outlined by aljazeera and abcnews.

Mark Jensen, chair of 23andMe's board, expressed optimism about the deal, highlighting its potential to protect customer data while enabling the company's innovative mission to provide genetic insights. Analysts noted that while the investment aligns with Regeneron's strategic goals, it may take years to fully realize the benefits from this acquisition of a key genetic data resource, per information from huffpost and nytimes.

Under this agreement, Regeneron will not acquire 23andMe's telehealth service, Lemonaid Health, which is being phased out. Regeneron emphasized that it has the capability to securely manage and utilize the troves of genetic data collected by 23andMe for future research and therapeutic developments, ensuring that all user data is handled according to existing consent agreements, according to newsweek and businessinsider.