Ms. Wojcicki and her board had been at odds for months.
In a shocking move, the entire board of 23andMe, a Francisco-based DNA testing company, resigned in September, following a heated month-long battle over the co-founder and CEO’s plans Anne Wojcicki to privatize the company. As a result, Ms. Wojcicki, who controls 49.75% of the voting rights, remains the sole director of the San Francisco-based company. In a public letter, outgoing board members, including YouTube CEO Neal Mohan and Sequoia Capital’s Roelof Botha, expressed continued confidence in 23andMe’s mission to personalize healthcare through data genetics. However, they revealed deep disagreement with co-founder and CEO Anne Wojcicki’s strategic vision for the company.
In his first official interview with Fortune Since the mass resignations, 23andMe CEO Anne Wojcicki has expressed confidence in her ability to meet the company’s challenges, acknowledging the complexity of the situation.
Notably, Ms. Wojcicki and her board had been at odds for months. The disagreement centered on his plan to privatize the company through a buyout. This proposal comes as 23andMe’s valuation has fallen from $6 billion in 2021 to less than $150 million.
The company has faced significant challenges since its initial public offering (IPO) in 2021. Despite starting at $10 (Rs 840) per share, the company’s stock has struggled to regain momentum , not even reaching a valuation of $1 (Rs 84) in 2024. Following the mass resignation of its board members, the stock price fell to a record low. minimum of $0.30 (Rs 25).
The company’s valuation has also taken a hit, dropping from $6 billion in 2021 to less than $150 million. Additionally, 23andMe has yet to turn a profit, with slowing sales and a massive data breach exacerbating privacy concerns. Its drug discovery business, which was draining company resources, was eventually shut down.
Amid these difficulties, CEO Anne Wojcicki proposed a plan to take 23andMe private. The board of directors, however, rejected its initial proposal, citing the absence of a bonus offer to shareholders.
As the majority voting rights holder, Anne Wojcicki’s control ultimately led to an impasse with the board, resulting in the resignation of all members. However, Ms Wojcicki said she viewed her additional voting rights as recognition of her dedication to the company’s success.
“I’ve always said from the very beginning that I don’t need to be in charge. There is no ego for me. I care about the vision and the mission,” she said Fortune.
I’m sure we’ll spend a lot of time thinking about what we could have done differently. I think we can sail and land this plane, but it’s absolutely complicated,” she added.
A former 23andMe executive said he wasn’t surprised by the board’s resignation, revealing another side of Anne Wojcicki’s leadership. Although charming in public, Ms. Wojcicki has been described as stubborn and controlling behind closed doors. Former high-ranking employees also pointed to its leadership shortcomings and power struggles as major problems that emerged after the company’s IPO.