FOXO licenses its epigenetics tech back to the founder it fired

FOXO Technologies has signed an exclusive license agreement transferring its epigenetics technology — including two patents and related intellectual property — to LongevityFP .

LFP is owned and led by Jon Sabes, the named inventor on the patents, the original architect of the platform, and founder of FOXO’s predecessor company. Sabes also served as FOXO’s CEO and chairman before being terminated by the board in November 2022, just two months after the company went public via SPAC.

Under the agreement, LFP will pay FOXO a 3% royalty on net revenues, capped at $1.3 million. LFP also receives a 10-year option to acquire majority control of FOXO Labs, the subsidiary that holds substantially all of FOXO’s epigenetics IP. If that option is exercised, FOXO will retain a 40% ownership stake in the resulting enterprise. According to the companies, the agreement “resolves all prior matters between the parties.”

For background, FOXO fired Jon Sabes and his brother, Steve Sabes, in 2022, citing a loss of confidence in Jon Sabes’ ability to lead a public company. The terminations drew SEC scrutiny, litigation followed, and the company’s stock fell toward delisting. FOXO never commercialized the technology it was built around and has since pivoted away from insurance entirely. Today, it operates a Tennessee critical-access hospital, a behavioral health facility, and a biospecimen sourcing business. Meanwhile, Sabes rebuilt around retirement and longevity content under the LongevityFP brand.

CEO Seamus Lagan said the transaction unlocks value from FOXO’s legacy assets and strengthens the company’s financial position.

“We are excited to join forces with former FOXO CEO, Jon Sabes. FOXO’s epigenetics technology has not been commercialized over the last few years under the FOXO Technologies Inc. corporate structure. By entering into this agreement with Sabes the technology is being reunited with its visionary and founder, creating a practical pathway to unlock value from the technology while materially improving the Company’s financial and strategic position.” – Lagan.

Sabes described the deal as a reunion with technology he helped create.

“I am thrilled to be reunited with this pioneering technology, on which I am the named inventor and co-creator on U.S. Patent Nos. 11,795,495 and 11,817,214. Recent advances in artificial intelligence, combined with newly published research demonstrating the predictive power of epigenetic DNA methylation patterns as biomarkers of biological aging, have strengthened the original business case on which FOXO was founded. I am grateful for the opportunity and committed to working diligently to create value for FOXO and its stockholders.” – Sabes.