AMZN Stock Is Down as Sen. Warren and Others Seek the FTC to Prevent the Proposed Acquisition of Irobot


AMZN stock was trading at $114.85 as of 12:49 PM EDT.

Five additional members of Congress, including Sen. Elizabeth Warren (D-MA), are reportedly pleading with the Federal Trade Commission to stop Amazon’s (NASDAQ:AMZN) proposed acquisition of iRobot (NASDAQ:IRBT). This is according to a story from Axios.

In a letter obtained by Axios, Senator Warren wrote with representatives Mondaire Jones (D-NY), Mark Pocan (D-WI), Jesus G. Garcia (D-IL), Pramila Jayapal (D-WA), and Katie Porter, “Given Amazon’s record of infringing on consumers’ privacy, and their ongoing history of anticompetitive mergers to increase their monopoly power, the FTC should use its authority to oppose the Amazon – iRobot (D-Calif.).

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The iRobot/Amazon agreement received a second request from the FTC, the businesses acknowledged last Monday, which prompted Warren’s effort. Early last month, Amazon (NASDAQ:AMZN) and iRobot (NASDAQ:IRBT) reached an agreement for iRobot to be acquired by Amazon (NASDAQ:AMZN) for a price per share of $61 (including iRobot’s net debt).

Warren is not just concentrating on the iRobot/Amazon agreement. She also urged the Department of Justice earlier this month to closely examine and ultimately reject JetBlue’s (NASDAQ:JBLU) proposed acquisition of Spirit Airlines (NYSE:SAVE).

iRobot and AMZN Partnership

AMZN will acquire consumer robot manufacturer iRobot (NASDAQ:IRBT) for $61/share in an all-cash transaction valued at ~$1.7B, including iRobot’s net debt. The agreement must meet the usual closing requirements, which include shareholder and regulatory clearances for iRobot (NASDAQ:IRBT) before it can be finalized. After it is finished, Colin Angle will stay on as CEO of iRobot.

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Robotics and intelligent home developments are iRobot’s specialties. Technologies and cutting-edge ideas in cleaning, mapping, and navigation are included in its product line. The enterprise produced adj. $291.97 million in revenue and -$0.66 in earnings per share in its most recent quarter.

Featured Image-  Megapixl @ Marcosdelmazo

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