Abstract Background The two Caenorhabditis elegans somatic gonadal precursors (SGPs) are multipotent progenitors that generate all somatic tissues of the adult reproductive system. The sister cells of the SGPs are two head mesodermal cells (hmcs); one hmc dies by programmed cell death and the other terminally differentiates. Thus, a single cell division gives rise to one multipotent progenitor and one differentiated cell with identical lineage histories. We compared the transcriptomes of SGPs and hmcs in order to learn the determinants of multipotency and differentiation in this lineage. Results We generated a strain that expressed fluorescent markers specifically in SGPs (ehn-3A::tdTomato) and hmcs (bgal-1::GFP). We dissociated cells from animals after the SGP/hmc cell division, but before the SGPs had further divided, and subjected the dissociated cells to fluorescence-activated cell sorting to collect isolated SGPs and hmcs. We analyzed the transcriptomes of these cells and found that 5912 transcripts were significantly differentially expressed, with at least two-fold change in expression, between the two cell types. The hmc-biased genes were enriched with those that are characteristic of neurons. The SGP-biased genes were enriched with those indicative of cell proliferation and development. We assessed the validity of our differentially expressed genes by examining existing reporters for five of the 10 genes with the most significantly biased expression in SGPs and found that two showed expression in SGPs. For one reporter that did not show expression in SGPs, we generated a GFP knock-in using CRISPR/Cas9. This reporter, in the native genomic context, was expressed in SGPs. Conclusions We found that the transcriptional profiles of SGPs and hmcs are strikingly different. The hmc-biased genes are enriched with those that encode synaptic transmission machinery, which strongly suggests that it has neuron-like signaling properties. In contrast, the SGP-biased genes are enriched with genes that encode factors involved in transcription and translation, as would be expected from a cell preparing to undergo proliferative divisions. Mediators of multipotency are likely to be among the genes differentially expressed in SGPs. Electronic supplementary material The online version of this article (10.1186/s12864-019-5821-z) contains supplementary material, which is available to authorized users. Keywords: SGP, hmc, Multipotent progenitor, C. elegans, Transcriptome, Differential gene expression Background Embryonic stem cells are pluripotent; they can generate all cell types of the body, including cells from all three germ layers. Adult stem and progenitor cells can give rise to a more limited array of cell types and are therefore classified as multipotent. Although progress has been made in understanding the determinants of pluripotency [[35]1], much less is known about the determinants of multipotency. The C. elegans somatic gonadal precursors (SGPs) are multipotent progenitors that generate all somatic cells of the adult reproductive system. The two SGPs, Z1 and Z4, are born during embryogenesis and they migrate to join the primordial germ cells (PGCs) to form the four-celled gonadal primordium [[36]2]. SGPs remain quiescent until the first larval stage, when they go through two periods of cell division to produce all 143 cells of the mature hermaphrodite somatic gonad (Fig. [37]1a) [[38]3]. The SGPs give rise to important regulatory cells, the distal tip cells (DTCs) and the anchor cell (AC), as well as complex multicellular tissues, including the sheath, spermatheca, and uterus (reviewed in [[39]4]). The sisters of the SGPs are the two head mesodermal cells, hmcR and hmcL. hmcR undergoes programmed cell death late in embryogenesis and hmcL differentiates without further division as the single head mesodermal cell (Fig. [40]1b) [[41]2]. The hmc cell extends cellular processes along the anterior-posterior and dorsal-ventral body axes to generate its distinctive H-shaped morphology [[42]5]. The function of hmc remains unknown. Fig. 1. Fig. 1 [43]Open in a new tab FACS sorting SGPs and hmcs from L1 larvae. (a) The SGPs (Z1 and Z4; red), and one hmc (green) are present in the first larval (L1) stage. The SGPs divide to produce support cells of the adult reproductive system, including distal tip cells (DTC), sheath, spermatheca, and uterus (grey). Each SGP produces one of the two gonadal arms: Z1 makes the anterior arm and Z4 makes the posterior arm. (b) Cell lineage leading to SGPs and hmcs. Precursor cells (not shown) divide asymmetrically to generate one SGP and one hmc. The hmcR cell dies by programmed cell death prior to the L1 stage. (c) Merged confocal differential interference and fluorescence microscopy image of an L1 stage worm with reporters expressed in the SGPs (ehn-3::tdTomato, red) and the hmc (bgal-1::GFP, green). Inset shows fluorescence images for each cell type. (d) Cell dissociates from L1 stage larvae showing individual cells expressing ehn-3::tdTomato (D, SGPs) and bgal-1::GFP (D’, hmcs). (e) FACS profile of dissociated cells from L1 larvae. GFP positive (green) and tdTomato positive cells (red) are outlined with boxes We previously reported that hnd-1 and the SWI/SNF (SWItching defective/Sucrose Non-Fermenting) chromatin remodeling complex play roles in the SGP/hmc cell fate decision [[44]6]. hnd-1 encodes a bHLH transcription factor and the SWI/SNF chromatin remodeling complex regulates gene expression by altering chromatin structure. In animals carrying mutations in either of these transcriptional regulators, the SGPs usually express SGP-characteristic markers and migrate to form the gonadal primordium, but they can also express markers of the hmc cell fate and sometimes fail to develop into the tissues of the reproductive system [[45]6]; this suggests that SGPs are often partially transformed into hmcs in these mutants. The incompletely penetrant phenotype of the mutations indicates that there are additional regulators of the SGP/hmc cell fate decision. Here, we perform transcriptional profiling of isolated SGP and hmc cells to identify the gene expression differences underlying their distinctive cell fates. We find that the differentiated hmc cell expresses genes characteristic of neurons, suggesting that it has neuronal properties. In contrast, the SGP cells express genes involved in transcription and translation, which is consistent with the fact that they are poised to proliferate to generate the tissues of the somatic gonad. Methods Strains C. elegans strains were cultured as described previously [[46]7, [47]8]. All strains were grown at 20 °C unless otherwise specified and were derived from the Bristol strain N2. Strains were obtained from the Caenorhabditis Genetics Center or were generated as described below. The following alleles were used in this study and are described in C. elegans II [[48]9], cited references, or this work: