Business
The Bedford-based Roomba maker says its search for a buyer has hit a wall amid ongoing financial troubles.
iRobot’s efforts to find a buyer have hit a wall, deepening uncertainty about the company’s future months after it warned investors of “substantial doubt” about its ability to stay afloat.
In a SEC filing last week, the Bedford-based maker of the Roomba vacuum said that its remaining potential buyer backed out after a “lengthy period of exclusive negotiations,” stalling a sale process that began in March.
The filing said the company is not negotiating with other alternative buyers.
In an emailed statement, the company said it does “not comment on matters of this nature beyond our public disclosures.”
The company’s turmoil began in 2024 when Amazon announced it wouldn’t acquire iRobot after facing regulatory scrutiny and opposition from European and U.S. antitrust regulators, who raised concerns over competition issues.
Despite introducing a new lineup of robot vacuums and mops that hit the market last March, the company canceled its fourth-quarter meeting, citing doubts that it can continue past the end of the fiscal year.
The loan deadline that is helping keep the company afloat is coming up fast. In the Monday filing, the company disclosed that it was able to extend its $200 million loan maturation date from an affiliate of The Carlyle Group. The new deadline is Dec. 1.
The company took out the loan in 2023 after Amazon agreed to buy it in August 2022 for $1.7 billion.
The extension will allow the company to review strategic alternatives, including exploring a sale or refinancing its debt.
During the most recent negotiations, the company said in the filing that the counterparty offered a price per share to pay for buying the company that was “significantly lower than the trading price of our stock over the recent months.”
Shares of iRobot are down more than 50% this year.
In an emailed statement, the company said that despite its financial woes, it is preparing to meet customers’ demands this holiday season, adding, “We remain focused on executing our strategy and delivering for our valued customers, partners, and consumers.”
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