23andMe: 23andMe Announces Business Restructuring to Streamline Operations, Reduce Costs and Position Company for the Future

Reduces workforce by roughly 40%; expects annualized cost savings of more than $35 millionDiscontinues development of therapeutics division and commences strategic alternatives process for all in-house therapeutic programsSUNNYVALE, Calif., Nov. 11, 2024 (GLOBE NEWSWIRE) -- 23andMe Holding Co. (NASDAQ:ME) (the "Company" or "23andMe"), a leading human genetics and preventive health company, today announced a business restructuring to streamline operations and reduce costs. In addition, 23andMe is discontinuing further development of all its therapeutics 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. The business restructuring is expected to substantially reduce operating expenses and result in annualized cost savings of more than $35 million. The Company expects to incur up to $12 million in costs and expenses primarily related to one-time severance, transition and termination-related costs."We are taking these difficult but necessary actions as we restructure 23andMe and focus on the long-term success of our core consumer business and research partnerships," said Anne Wojcicki, 23andMe's CEO, Co-Founder, and Chair of the Board. "I want to thank our team for their hard work and dedication to our mission. We are fully committed to supporting the employees impacted by this transition."Strategic Alternatives Process for Therapeutics ProgramsIn parallel with the discontinuation of its therapeutics division, the Company is actively exploring all strategic options for a limited time to maximize the value of its therapeutics programs, including licensing agreements, asset sales or other transactions. 23andMe intends to wind-down its ongoing clinical trials as quickly as practical, while the strategic alternatives process is ongoing."We continue to believe in the promise shown by our clinical and preclinical stage pipeline and will continue to pursue strategic opportunities to continue their development. We remain deeply grateful to the patients, investigators and study staff for their participation in our clinical trials," said Wojcicki.The Company's therapeutic programs include 23ME-00610 (a Phase 1/2a therapeutic antibody that is designed to restore the ...Full story available on Benzinga.com