23andMe, a consumer genetics and research company, and Richard Branson’s VG Acquisition announced today that they have entered into a definitive merger agreement.
Upon closing, which is expected in the second quarter, the combined company’s securities will trade on the NYSE under ME.
The transaction will value the outstanding shares of 23andMe at an aggregate enterprise value of approximately $3.5 billion.
23andMe CEO and Co-Founder Anne Wojcicki and Virgin Group’s Branson are each investing $25 million into the $250 million PIPE and are joined by leading institutional investors including Fidelity Management & Research Company LLC, Altimeter Capital, Casdin Capital and Foresite Capital.
The pro forma cash balance of the combined company will exceed $900 million at closing and current 23andMe shareholders will own 81 percent of the combined company. Read more.
