23andMe Holding Co.'s shares surged after CEO Anne Wojcicki revealed plans to potentially take the struggling DNA testing firm private.
The announcement follows the company's dismal performance since going public three years ago, with shares plummeting by over 90% amid sluggish adoption of its personalized DNA services.
23andMe's stock saw a 47% increase, reaching heights not witnessed since August 2022.
Wojcicki's proposal, outlined in a filing with the Securities and Exchange Commission, involves acquiring the company in a go-private transaction.
She aims to retain control and has signaled opposition to alternative deals. With her ownership of over 20% of outstanding shares and nearly 49% of voting power, Wojcicki holds considerable sway over the company's fate.
The move comes amid Wojcicki's efforts to rejuvenate the firm, including exploring strategies like separating its drug-development arm from its consumer DNA business.