InsideArbitrage Potential Deal Alert: 23andMe announces CEO’s Intention to Pursue A Potential Take-private

POTENTIAL DEAL DETAILS

23andMe Holding Co. (ME), a human genetics and biopharmaceutical company, has been made aware that Anne Wojcicki, Chief Executive Officer, Co-Founder, and Chair of the Board of Directors of 23andMe, is considering making a proposal to acquire all of the outstanding shares of 23andMe that she does not currently own, as she stated in an amendment dated April 17, 2024 to her Schedule 13D filing with the Securities and Exchange Commission. 

​Anne Wojcicki owns shares constituting more than 20% of the total outstanding shares, entitling her to approximately 49% of the voting power.

The filing noted that Wojcicki wishes to maintain control of 23andMe and, therefore, will not be willing to support any alternative transaction.

23andMe Holding Co. Investor Relations

Update(s):

July 29, 2024: 23andMe (ME) CEO Anne Wojcicki offered to purchase the DNA-testing company for 40 cents per share. According to a 13D filing, Wojcicki delivered a non-binding offer to the special committee of 23andMe’s board on Monday. The offer indicates that Wojcicki is in discussions with potential financing sources, and any potential deal would be fully financed through committed equity financing.

August 2, 2024: 23andMe (ME) rejected CEO Anne Wojcicki’s take-private bid, as the proposal was “insufficient and not in the best interest of the non-affiliated shareholders”.

September 11, 2024: 23andMe (ME) CEO Anne Wojcicki indicated that she is open to considering outside takeover bids for the company. “Ms. Wojcicki notified the members of the Special Committee that Ms. Wojcicki would be open to considering third-party takeover proposals for the Issuer,” the company said in a 13D filing.

September 17, 2024: The independent directors of the 23andMe (ME) Board submitted their immediate resignations, citing the lack of a fully financed, actionable proposal from CEO Anne Wojcicki, despite months of waiting.

CEO Anne Wojcicki in a memo to employees said that she remains committed to taking the genetic testing company private following the resignation of its independent board members. “We will immediately begin identifying independent directors to join the board,” said Wojcicki, who is also the board’s chair and now its only remaining member.

September 30, 2024: Genetic testing firm 23andMe (ME) CEO Anne Wojcicki would no longer be open to considering third-party takeover proposals for the company, according to a 13D filing. “It has become even clearer to me that the best path forward is for me to take the company private,” Wojcicki said.

October 11, 2024: 23andMe (ME) announced that the 1-for-20 reverse stock split of the company’s Class A and Class B common stock will become effective on October 16, 2024.

October 28, 2024: Bloomberg reported that Ancestry.com said a hypothetical takeover of its rival in the consumer genetic testing industry, 23andMe (ME), likely wouldn’t be possible for antitrust reasons. “Although we are always interested in looking at possibilities that are out there, 23andMe specifically would be challenging because they’re the No. 2 in the category and we’re the No. 1 in the category and those combinations can be challenging from an FTC standpoint,” Chief Legal Officer Greg Packer said.

October 29, 2024: 23andMe (ME) announced the appointments of Andre Fernandez, Jim Frankola, and Mark Jensen as independent members of the Company’s Board, effective October 28, 2024. The Board will now consist of the three new independent directors and Anne Wojcicki, 23andMe’s CEO, Co-Founder, and Chair.

November 11, 2024: 23andMe (ME) announced a business restructuring to streamline operations and reduce costs. It is discontinuing the further development of all its therapeutic programs while evaluating strategic alternatives for its clinical and preclinical assets. The Company is reducing its overall headcount by over 200 employees, representing approximately 40% of the workforce.

Disclaimer: Our intent with this section of the website is to present potential deals that appear to be in the pipeline. These potential deals are ones where i) the company has indicated that it is "seeking strategic alternatives", ii) there has been an unsolicited bid for a company as mentioned in a press release by the company or iii) news about the deal has been published by a leading news organization like The Wall Street Journal, The New York Times, Bloomberg, Financial Times, The Washington Post, Reuters and The Associated Press. As best as possible we will try to avoid baseless rumors. There is a high probability that many of these potential deals may not materialize and if they do, the terms of the deal may be different from what was initially reported. Please do your own due diligence before buying or selling any securities mentioned on this website. We do not warrant the completeness or accuracy of the content or data provided.