Due to resistance from European competition watchdogs, Amazon decided not to acquire iRobot. The online retailer said Monday it saw no way to get EU approval for the $1.4 billion deal.
According to previous insider statements, the international community wanted to veto the purchase of the provider of “Roomba” vacuum cleaner robots, as this would have further strengthened the already strong position of the world’s largest online retailer in the market for intelligent home appliances. Amazon already owns the assistance system ‘Alexa’ and the home monitoring specialist ‘Ring’.
In response to the failed takeover, iRobot’s shares fell nearly 20 percent in pre-market U.S. operations and were as cheap at $13.76 as they were more than 14 years ago. The company announced major restructuring measures, including the layoff of 31 percent of its workforce, or 350 employees. Amazon titles remained slightly positive ahead of the trading session.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
