Regeneron Acquires 23andMe for $256 Million: What This Means for the Future of DNA Testing

Regeneron Pharmaceuticals is set to acquire the genetic testing company 23andMe for $256 million. This deal comes through a bankruptcy auction that was announced on Monday.

Regeneron assures that it will uphold 23andMe’s privacy policies. They commit to using customer data responsibly, under the watch of a court-appointed overseer.

The bankruptcy proceedings began in March, attracting attention from lawmakers. Concerns were raised about the risk of customers’ genetic data being sold, potentially to unethical buyers.

Recently, 23andMe agreed to have a court-appointed overseer ensure proper handling of genetic information during these proceedings. The company has amassed genetic data from around 15 million customers who used their DNA testing kits.

In recent months, 23andMe faced challenges due to a decline in demand for its ancestry tests and a data breach that compromised millions of customers’ genetic information.

As part of this acquisition, Regeneron will take control of all 23andMe’s assets, but the company will stop its telehealth service, Lemonaid Health. 23andMe will continue to function as a subsidiary of Regeneron.

The deal is expected to wrap up in the third quarter of this year. This acquisition shows the ongoing trend in the biotech sector, where larger firms are looking to expand their reach through strategic purchases, especially in areas related to genetic technology.

According to market analysis, the genetic testing market is projected to grow significantly, reaching an estimated $28 billion by 2026. This surge points to strong consumer interest in genetic health insights.

As experts in genetics warn, the rise in data sharing and acquisitions raises questions about data security and ethical considerations. Maintaining public trust in genetic testing services will be crucial for companies like Regeneron and 23andMe as they navigate this evolving landscape.

For more details on the implications of genetic data handling, you can refer to [this report from the National Institutes of Health](https://www.nih.gov). Understanding these issues is vital as we move into an age where genetic information plays an increasingly central role in health and wellness.

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