Roomba maker iRobot has filed for bankruptcy and will be taken over by its Chinese supplier after the company that popularised the robot vacuum cleaner fell under the weight of competition from cheaper rivals.
The US-listed group on Sunday said it had filed for Chapter 11 bankruptcy in Delaware as part of a restructuring agreement with Shenzhen-based Picea Robotics, its lender and primary supplier, which will acquire all of iRobot’s shares.
The deal comes nearly two years after a proposed $1.5bn acquisition by Amazon fell through over competition concerns from EU regulators.
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