Consumer DNA testing company 23andMe plans to go public through a merger with a special-purpose acquisition company started by Virgin Group. As sales of DNA testing kits wane, how will 23andMe drum up new interest for its business?
On the company's LunaDNA platform, a whole genome can be exchanged for 300 company shares, while 20 days of fitness data is equal to two shares.
The future looks bright for the integrated specialty pharmacy model – for health systems, providers, and most importantly, for patients.
The company, which was founded in 2014 by a team including genetics pioneer Leroy Hood, raised more than $50 million over its existence from investors including Maveron, Polaris Partners and ARCH Venture Partners.
In contrast to 23andMe's previous FDA approvals for genetic risk tests for conditions like Alzheimer's, the diabetes assessment did not go through the FDA clearance pathway because it was characterized as a wellness product not intended to make diagnoses and provide medical advice.
The company used its previous authorization for breast cancer genetic screening as a predicate for its 510(k) approval.