San Francisco, California - Genetic testing company 23andMe has filed for bankruptcy and is looking for a buyer, after rejecting a takeover offer from its resigning CEO.

23andMe, which sells a mail-back saliva test to determine ancestry or certain health-related genetic traits for less than $200, said late Sunday that it had "filed a voluntary petition for reorganization" with a state bankruptcy court in Missouri.

The Silicon Valley-based company also indicated that it intends to continue business as usual throughout the sale process.

In addition, no changes will be made in terms of storage and protection of customer data, it said.

23andMe said that it rejected a takeover offer from its co-founder and CEO Anne Wojcicki who has resigned from her position but will remain on the company's board of directors, according to the statement.

Wojcicki said in an X post, "While I am disappointed that we have come to this conclusion and my bid was rejected, I am supportive of the company and I intend to be a bidder."

She explained that her resignation as CEO was strategic so as to "be in the best position to pursue the company as an independent bidder."

Wojcicki, who co-founded 23andMe 19 years ago, acknowledged the company's challenges but emphasized her "unwavering" belief in its future.

23andMe, which claims 15 million customers, has seen its sales decline in recent months and has also agreed to pay approximately $37.5 million to settle claims related to a 2023 data breach, according to regulatory filings.

Faced with these difficulties, 23andMe announced the dismissal of 40% of its staff in November, about 200 people. It also suspended its research programs.