NEW YORK (AP) — 23andMe has filed for Chapter 11 bankruptcy protection and its co-founder and CEO has resigned as the continues its push to cut costs.
San Francisco-based 23andMe announced on Sunday that it will look to sell “substantially all of its assets” through a court-approved reorganization plan.
Anne Wojcicki, who co-founded 23andMe nearly two decades ago, is also stepping down as CEO effective immediately, the company said — but will remain on the 23andMe board. Her resignation comes just weeks after a board committee rejected a nonbinding acquisition proposal from Wojcicki, who has been trying to take the company private.
And Wojcicki intends to still bid on 23andMe as the company pursues a sale through the bankruptcy process. In a statement Wojcicki said that she resigned as CEO to be “in the best position” as an independent bidder.
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“There is no doubt that the challenges faced by 23andMe through an evolving business model have been real, but my belief in the company and its future is unwavering,” she later added.
23andMe has faced an uncertain future for some time. Beyond battles to go private, the company struggled to find a profitable business model since going public in 2021. Privacy concerns related to customers’ genetic information have also emerged, notably spanning from a along with questions around what new ownership could mean for users’ data.
