Blackstone acquired Ancestry.com in 2020, not 2024

Context

On July 22, a user on X (formerly Twitter) shared a post stating, "Blackstone to acquire Ancestry.com for $4.7 billion, giving investment firm total ownership of all DNA from every person who's ever used the service." The claim quickly became viral, garnering over 4.6 million views in less than a day.

While it is true that Blackstone Group acquired Ancestry.com, the deal was finalized on December 4, 2020. Presenting this information as if it were recent is misleading.

In fact

Ancestry.com, the world's leading provider of DNA services, enables customers to trace their genealogy and identify genetic health risks through at-home testing kits. The company reportedly has over 25 million people in "the world's largest consumer DNA network," with 60 billion records online. On December 4, 2020, Blackstone, an American investment management company, acquired Ancestry for $4.7 billion from private equity firms Silver Lake, Spectrum Equity, and Permira (see the official press release here). Thus, claims that present this deal as timely information are misleading. 

The acquisition has garnered significant attention over the years, as news of the purchase has resurfaced repeatedly after the transaction was finalized. The change in ownership has sparked considerable controversy and led to multiple surges of misinformation, as the genetic data provided to Ancestry is highly sought after by drug companies, insurance firms, and employers, among others. For instance, in 2022, social media users claimed that Blackrock owns 75 percent of Ancestry, while others stated that Blackstone bought Americans' DNA. The company also faced backlash in 2021, as plaintiffs Carolyn Bridges and Raymond Cunningham filed a class action complaint, alleging Blackstone violated the Genetic Information Privacy Act, which was dismissed. 

In April 2021, the Los Angeles Times inquired to Blackstone about their plans regarding Ancestry's genetic data. A spokesperson for Blackstone clarified their intent by stating, "We invested in Ancestry because it is a clear leader in its industry with a digital subscription business that has continued to grow significantly." He added that Blackstone "... has not and will not access user DNA and family tree data, and we will not be sharing this data with our other companies." According to his statement, it was never part of their investment thesis. Although Blackstone explicitly denied that the deal was motivated by a desire to obtain genetic consumer data, multiple bioethicists expressed their skepticism. 

In a comment provided to Newsweek in 2022, following renewed claims about the company's motivations and use of genetic data, a spokesperson for Ancestry reiterated, "Ancestry does not sell or share customer DNA data with insurers, employers or third-party marketers, nor do we share customer personal information with law enforcement unless compelled to by a valid legal process. Ancestry's commitment to these robust consumer privacy and data protections remain unchanged under our new ownership." According to Newsweek, there is no evidence Blackstone owns or has access to Ancestry.com DNA data, nor is there any evidence that its purchase presents legal or financial irregularities compared to previous company buy-outs.

Logically Facts has contacted Blackstone for clarification on this most recent misleading claim but received no response.

The verdict

Although the Blackstone Group acquired Ancestry.com, presenting it as timely information is incorrect and could be misleading. The deal was finalized on December 4, 2020. According to previous reports, the company does not sell or share customer DNA data with third parties.