REGN Signs $256M Buyout Deal With 23andMe to Boost Genomics Research

Regeneron Pharmaceuticals REGN has emerged as the successful bidder in the bankruptcy auction for most of the assets of 23andMe Holding Co., a prominent player in human genetics and biotechnology.

REGN plans to acquire 23andMe’s Personal Genome Service, Total Health and Research Services business units, Biobank and related assets in a transaction valued at $256 million. Consequently, 23andMe will operate as a wholly-owned subsidiary of Regeneron Pharmaceuticals. The impending purchase, however, does not include 23andMe’s Lemonaid Health business.

As part of the deal, 23andMe is expected to continue delivering consumer genome services without interruption. The acquisition remains subject to approval by the bankruptcy court, regulatory clearances and other customary closing conditions, with completion anticipated in the third quarter of 2025.

Year to date, REGN shares have lost 16.3% compared with the industry’s 6.9% decline.

The Impending Deal Benefits REGN’s Genetics Research

Regeneron Pharmaceuticals leverages human genetic data to drive drug discovery and development through its wholly-owned Regeneron Genetics Center (RGC). Through collaborations with partners worldwide, RGC has built a growing database of more than 2.7 million DNA sequences linked to deidentified health information. Using advanced technologies, RGC accelerates the discovery of gene-disease associations to inform and optimize REGN's therapeutic programs across several treatment areas like cancer, infectious diseases and immune disorders.

Regeneron Pharmaceuticals plans to leverage its acquisition of 23andMe to further strengthen its genetics-based drug discovery efforts. By integrating 23andMe’s consumer-facing genomic services with its research capabilities, REGN seeks to enhance its ability to develop innovative treatments across a range of diseases while also supporting 23andMe’s mission to empower individuals with genetic health insights.

Regeneron Pharmaceuticals has also emphasized its commitment to maintaining 23andMe’s consumer privacy standards and complying with all applicable data protection laws as it moves forward with the acquisition. The company has pledged to be transparent about its intended use of customer data and submit its privacy and security protocols for review by a court-appointed Customer Privacy Ombudsman.

Regeneron Pharmaceuticals, Inc. Price and Consensus

Regeneron Pharmaceuticals, Inc. price-consensus-chart | Regeneron Pharmaceuticals, Inc. Quote

REGN's Zacks Rank & Stocks to Consider

Regeneron Pharmaceuticals currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the biotech sector are Bayer BAYRY, Halozyme Therapeutics HALO and Allogene Therapeutics ALLO, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

In the past 60 days, estimates for Bayer’s earnings per share have increased from $1.19 to $1.25 for 2025. During the same time, earnings per share have increased from $1.28 to $1.31 for 2026. Year to date, shares of Bayer have gained 30.5%. 

BAYRY’s earnings beat estimates in one of the trailing four quarters, matched twice and missed on the remaining occasion, the average negative surprise being 13.91%. 

In the past 60 days, estimates for Halozyme’s earnings per share have increased from $5.02 to $5.23 for 2025. During the same time, earnings per share estimates for 2026 have increased from $6.56 to $6.77. Year to date, shares of HALO have risen 8.8%.

HALO’s earnings beat estimates in each of the trailing four quarters, with the average surprise being 17.60%.

In the past 60 days, estimates for Allogene Therapeutics' loss per share have narrowed from $1.19 to $1.07 for 2025. During the same time, loss per share estimates for 2026 have narrowed from $1.18 to $1.00. Year to date, shares of ALLO have lost 46.9%.

ALLO’s earnings beat estimates in three of the trailing four quarters and matched the same on the remaining occasion, delivering an average surprise of 11.70%.

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This article originally published on Zacks Investment Research (zacks.com).

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