23AndMe shares will enter the CEO exit after bankruptcy
DNA testing company 23andMe stock (myself) deleted 59% on Monday after filing federal bankruptcy protection and CEO exit. This is the dramatic collapse of a biotech company that once captivated Silicon Valley and attracted 15 million consumers.
Nearby: March 25th at 4:01pm EDT
23AndMe filed for a reorganization under Chapter 11 of the U.S. Bankruptcy Code after failing to find a buyer. The company announced in January that it would seek to sell its assets.
The petition seeks court’s permission to pursue a structured sale of assets through auctions.
The 23AndMe committee rejected an offer to acquire non-bindingly from co-founder and CEO Anne Wojcicki, who resigned on Friday.
Wojcicki has been trying to keep the company private since April.
In September, all 23andMe’s independent board members resigned, citing their differences with Wojcicki regarding the company’s instructions.
wojcicki Posted on x On Monday, when she was disappointed, the board rejected her bid, but intended to continue pursuing the acquisition.
“I have resigned as CEO of the company, so I can be in the best position to pursue the company as an independent bidder,” Wojcicki writes.
23Andme made its public debut in 2006 with its first public offer.
Since then, he has struggled with lawsuits, including a data privacy invasion in 2023, which raised concerns that hackers had used client genetic information.
A consumer class action lawsuit was followed, and the company settled it by suing its client for $30 million.
The UK and Canada have launched an investigation into 23andMe after the 2023 violation.
Early on, 23AndMe was ordered by the FDA to immediately suspend widely publicized cheek swab tests after making unfounded claims that the company could identify risk levels for many diseases.
California Attorney General Rob Bonta I warned On Friday, 23AndMe California customers have the right to scrub genetic data from the company’s system, including DNA, identity and biological samples, 23AndMe’s California client includes saliva test samples submitted to the company.
“Because of the large crowd of sensitive consumer data, 23andMe has been accumulated… Californians who want to call these rights can do so by going to the 23andme website,” the Attorney General’s Office said. statement This outlines the steps consumers can take.