In a significant turn of events, Anne Wojcicki, the co-founder and former CEO of a prominent consumer genetics company, is set to regain control of the firm following its recent bankruptcy filing. Her nonprofit organization has reached an agreement to acquire nearly all of the company’s assets for a substantial sum of $305 million, marking a new chapter for the brand.
Earlier this year, the company filed for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the Eastern District of Missouri, initiating a process aimed at facilitating the sale of its assets. This move came as a surprise to many, leading to Wojcicki’s resignation from her CEO position, with the board appointing the chief financial officer as the interim leader.
During a competitive bankruptcy auction, Wojcicki’s nonprofit outbid a major pharmaceutical company that had previously expressed interest in acquiring the assets for $256 million. This acquisition includes not only the company’s research services but also its personal genome service line and its telehealth subsidiary.
The deal is still pending approval from the bankruptcy court, but Wojcicki has expressed her commitment to maintaining the company’s existing privacy policies and consumer services. She aims to enhance consumer protections and data privacy measures, ensuring that users feel secure in their genetic data management.
Wojcicki stated, “I am excited that my nonprofit will continue the mission of helping individuals access and understand their genetic information. It is essential for people to have transparency and choice regarding their genetic data, as well as the opportunity to explore their ancestry and health risks at their own pace.”
She further emphasized that the community of individuals who have consented to share their genetic information will play a vital role in advancing genetic research, contributing to a deeper understanding of DNA and its implications for health and wellness.
WIDER CONTEXT
The company went public in 2021 through a Special Purpose Acquisition Company (SPAC) backed by a well-known entrepreneur. At its peak, the stock price soared to $320.80 per share, but it has since plummeted to around $4.22 per share, reflecting the challenges faced by the company.
In its recent financial report for the second quarter of 2025, the company disclosed total revenue of $44 million, a decline from $50 million in the same quarter the previous year. This decrease was attributed to lower sales of personal genome service kits and telehealth orders, as well as reduced revenue from research services following the conclusion of a collaboration.
The company reported a net loss of $59 million for the second quarter, an improvement compared to a loss of $75 million in the same period the previous year. Operating expenses also decreased, indicating some cost management efforts.
In 2023, the company faced a significant data breach that compromised the information of approximately seven million users, exposing sensitive data, including ancestry and health-related information. This incident, which involved a cyberattack technique known as “credential stuffing,” led to a class-action lawsuit and a proposed settlement of $30 million, further complicating the company’s financial landscape.