The U.K. regulatory body has given Amazon the green light to pursue its planned $1.7 billion USD (roughly $2.4 billion CAD) acquisition of iRobot.
The Competition and Markets Authority (CMA) has effectively determined that Amazon’s purchase of the Roomba vacuum cleaner maker would not lead to competitive concerns for residents in the U.K.
In a statement to Reuters, an Amazon spokesperson said, “We’re pleased with the UK Competition and Markets Authority’s decision and are committed to supporting regulatory bodies in their work.”
In August 2022, Amazon and iRobot signed an agreement in which both parties agreed that the Roomba maker was to be purchased by the tech conglomerate for $61 per share in an all-cash transaction. This acquisition is valued at the previously noted $1.7 billion USD.
In April, the CMA launched a “Phase 1” investigation into the deal. As Amazon explained, the purchase of iRobot would fit well into its expanding services and products within the smart home ecosystem. iRobot would join the likes of Alexa, Ring, Ecobee, etc.
“It marks a significant milestone, and both companies are continuing to work cooperatively with other relevant regulators in their review of the merger,” iRobot Chief Executive Colin Angle said following the CMA’s determination.
Although the CMA has given Amazon and iRobot the thumbs up, both are awaiting a determination from the Federal Trade Commission (FTC) in the U.S. and EU antitrust regulators. There’s no word on when the FTC will reach its conclusion. However, it’s expected that the EU regulators will provide a decision by July 6, 2023.
