23andme Co -founder Linda Avey went to social media on Wednesday Express frustration About the fate of the once permeated genetic test company, which went into insolvency protection in Chapter 11 this week.
Avey helped in 2006 with Paul Cuenza and Anne Wojcicki, who had resigned as CEO on Friday. The company became within the mainstream on account of its popular DNA test kits at home, but has fought lately to attain recurring income, to extend viable therapeutic agencies and research firms and to have in mind data protection concerns.
“My time in the company was shortened in 2009 when my co-founder Anne convinced the board of directors that she should lead the company,” Avey wrote in a post on the social media website X. “And I have to be honest, I was frustrated with the instruction that the company took on this point.”
23Andme, which reached a important market capitalization of around 6 billion US dollars, was accomplished on Wednesday from the market.
“Without continued consumer -oriented product development and without governance, 23Andme has lost its way, and society missed an important opportunity to promote the idea of personalized health,” wrote Avey.
Last March, the independent directors of 23Andme formed a special committee to guage the corporate's potential paths. All seven members resigned from the board in September and said they didn’t agree with Wojcicki in regards to the “strategic orientation of the company”.
“After my departure, she argued a majority for herself that removed the governance of the administrative rate, even when she expanded in the following financing rounds,” said Avey. “For the good or bad, the money heard from her. It was no surprise when the board resigned last year.”
Wojcicki submitted several suggestions to take the corporate privately, but everyone was rejected, even after the corporate had appointed latest board members. The special committee “decided to unanimously reject the latest proposal from Wojcicki's in the early this month.
If the 23Ande plan is approved by the court by the court, the company will “obtain actively qualified offers” using a 45-day procedure. Wojcicki is still planning to pursue the company as an independent bidder, she said in a post on X on Monday.
“There are many warning stories in 23Andme history,” said Avey. “It is essential to make a balance between the need for start -up control and the supervision of the board. Otherwise you will have a board?”
23Andme did not react immediately to the request from CNBC for comment.
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