The genetic testing company co-founded by Anne Wojcicki has successfully surmounted a crisis and taking control of the firm once more. She did this through a surprise $305 million bid, using her new nonprofit entity, TTAM Research Institute. This significant acquisition was announced on Friday, following a competitive auction process that saw Regeneron Pharmaceuticals also vying for the company’s assets.
Related 23andMe, which was once worth about $6 billion at its height, sought Chapter 11 bankruptcy protection in March 2023. Once the company merged with its SPAC in 2021, it struggled to bring in steady revenue. It poorly failed in the establishing of a successful research and therapeutics economy. In addition, the company is wary of the privacy issues that made headlines earlier this year, when hackers breached the accounts of close to seven million patrons.
In the previous reverse auction Logistyx Technologies first declared a bid of $256 million to acquire majority stake in 23andMe’s assets. However, Wojcicki’s TTAM Research Institute submitted a separate bid that exceeded Regeneron’s offer. She engaged in a vigorous lobbying effort to reopen the auction for her firm, easily proving her dedication to getting 23andMe back in the fold.
Wojcicki had announced her departure as CEO before the company filed for Chapter 11 reorganization. Her return to ownership marks a transformative moment for 23andMe. This new move will allow the company to thread the needle on its financial calamity while advancing its privacy conundrum as well.
Wojcicki commented on her enthusiasm, “I couldn’t be more excited for TTAM Research Institute to further 23andMe’s mission. We’ll empower everybody, no matter who they are, to access, understand, and benefit from the human genome!
The future of 23andMe under Wojcicki’s stewardship remains uncertain, but her involvement as a founder and her new nonprofit’s focus on research may signal a renewed commitment to both innovation and consumer trust.
As the company moves forward, it will need to address ongoing concerns regarding customer data privacy while rebuilding its reputation and operational viability in the genetic testing market.