TARRYTOWN, NY – In a significant move that has the potential to transform the future of consumer genetics and biotechnology, Regeneron Pharmaceuticals revealed it will purchase 23andMe from bankruptcy for $256 million. The action sets Regeneron up to access one of the globe’s biggest collections of consumer genetic information while posing important questions regarding data ownership and privacy.
The transaction, confirmed after Regeneron became the successful bidder at a court-ordered auction, is a milestone in the biotech space. Once a leader in direct-to-consumer genetic testing, 23andMe faced shrinking revenue and a highly publicized data breach in 2023 that exposed close to 7 million customer accounts. The company went Chapter 11 bankruptcy protection earlier this year.
From Peak to Bankruptcy
Silicon Valley-based 23andMe was worth close to $6 billion when it was at its height after going public in 2021 via a SPAC merger. The company, which became famous for its home-use saliva test kits that provided ancestry information and genetic health reports, was an instant household name during the early 2020s DNA test boom.
However, consumer interest in DNA testing waned. Combined with mounting expenses and fallout from the data breach, the company’s financial standing deteriorated. In March 2025, it officially filed for bankruptcy, turning down a separate acquisition proposal from co-founder Anne Wojcicki.
A Strategic Win for Regeneron
Regeneron, based in Tarrytown, New York, views the deal as a strategic bet on the future of precision medicine. CEO Dr. George Yancopoulos called the move a key milestone in building the company’s strength in genetic science and personalized medicine.
“Large-scale genetic data, when used responsibly and ethically, holds the ability to revolutionize the way we treat and prevent disease,” stated Yancopoulos in a statement issued together with 23andMe. “This acquisition affirms our commitment to driving patient-centric, science-inspired innovation.”
Privacy Concerns in the Spotlight
The transaction includes 23andMe’s Personal Genome Service and its extensive genetic biobank, compiled from more than 15 million customers. But it does not encompass Lemonaid Health, the firm’s telemedicine platform, which is set to close down.
The buyout has rekindled fear about DNA privacy and consumer data protection, especially in the wake of the 2023 breach. Though Regeneron has committed to upholding 23andMe’s current privacy protections and keeping strict protocols in place, privacy groups are wary.
A court-appointed privacy ombudsman will conduct an independent review of Regeneron’s data handling protocols, with a report expected before a scheduled court hearing on June 17. The acquisition is set to close in the third quarter of 2025, pending final court approval.
What Happens to Your Genetic Data?
Under the agreement, Regeneron will retain 23andMe’s consumer-facing business, meaning existing customers will continue to receive their DNA reports and health insights. The real value for Regeneron lies in the anonymized data — a vast resource for drug development, population studies, and genetic research.
Still, many are questioning who now owns the genetic blueprint of millions of Americans, and what protections are in place for such personal information. DNA, unlike a password or credit card number, is permanent and uniquely identifiable. Advocates stress that transparency and informed consent must be top priorities in any transaction involving such sensitive data.
A New Chapter for Biotech and Genetic Testing
While Regeneron’s acquisition represents a lifeline for 23andMe, it also signals a new era where genetic data is increasingly central to medical innovation — and where ethical stewardship of that data will be under the public microscope.
As the industry watches this high-profile merger unfold, the outcome may set the tone for how companies, regulators, and consumers navigate the complex intersection of science, business, and genetic privacy in the years ahead.