US EditionRobot Vacuum Roomba's Parent Company Is Filing for Bankruptcy
iRobot's restructuring will hand control to Shenzhen PICEA Robotics, wiping out existing stock but allowing continued operations and innovation amid intense competition and tariffs.
- On Dec 14, iRobot filed for Chapter 11 in the U.S. Bankruptcy Court for the District of Delaware, with a restructuring support agreement transferring control to Shenzhen PICEA Robotics and Santrum Hong Kong.
- Since 2021, earnings fell amid supply-chain chaos and cheaper rivals, while a collapsed Amazon acquisition, a $200 million lifeline from The Carlyle Group, and debt sales to Shenzhen PICEA left iRobot cash-strapped.
- IRobot's third-quarter revenue was $145.8 million, and cash on September 27 totaled $24.8 million after a $5 million restricted cash withdrawal.
- Existing common shareholders will be wiped out as Shenzhen PICEA Robotics gains 100% equity, and iRobot said it will operate through the court-supervised reorganization process, meeting commitments to employees and vendors.
- Founded in 1990 by three MIT roboticists, iRobot sold more than 50 million robots and warns Roomba owners could lose app-based features amid ongoing uncertainties about suppliers and company survival.
83 Articles
83 Articles
By Michelle Chapman - iRobot, the maker of the Roomba, has filed for Chapter 11 bankruptcy protection, but says no disruption to the devices is expected as the 30-plus-year-old company goes private under a restructuring process. iRobot, which became known for its robotic vacuum cleaners, has faced difficulties recently, grappling with increasing competition, layoffs, and a drop in its stock price. In 2022, Amazon announced it had agreed to buy i…
Roomba changes ownership after iRobot's bankruptcy
The manufacturer of vacuum cleaner Roomba, one of the most innovative products for house cleaning, has declared bankruptcy: the company iRobot will transfer the activity to two Chinese companies and that will cease to be listed on the Stock Exchange
IRobot files for bankruptcy, will be sold to Chinese manufacturer - The Boston Globe
The Bedford-based robotics company and Picea, iRobot’s main supplier, announced that iRobot filed for Chapter 11 bankruptcy, to help clear up its debt in preparation for a sale.
The iRobot, the company that manufactures Romba's vacuum cleaners, declared failure, moving towards a process of protection against believers in the United States. It will be purchased by Chinese Picea.
Coverage Details
Bias Distribution
- 45% of the sources lean Left
Factuality
To view factuality data please Upgrade to Premium
