Amazon has acquired robotic floor care supplier iRobot in an all-cash transaction valued at about $1.7 billion.
Completion of the transaction is subject to customary closing conditions, including approval by iRobot's shareholders and regulatory approvals. Upon completion, Colin Angle will remain as CEO of iRobot.
"Amazon shares our passion for building thoughtful innovations that empower people to do more at home, and I cannot think of a better place for our team to continue our mission,” said Angle. “I'm hugely excited to be a part of Amazon and to see what we can build together for customers in the years ahead."
Dave Limp, senior vice president of Amazon Devices, said the iRobot team has reinvented how people clean with products that are practical and inventive.
“Customers love iRobot products—and I'm excited to work with the iRobot team to invent in ways that make customers' lives easier and more enjoyable,” he added.
News of the deal comes the same day iRobot reported a drop in revenue for its second quarter. Total sales of $255.4 million were down from sales of $365.6 million in the comparable quarter last year. Revenue for the first half of 2022 was $547.3 million compared to $668.9 million in the first half of 2021.
Company officials said iRobot’s second-quarter revenue primarily impacted by unanticipated order reductions, delays and cancellations from retailers in North America lower-than-anticipated direct-to-consumer sales