The Law Offices of Frank R. Cruz Announces Investigation of iRobot Corporation (IRBT) on Behalf of Investors

By: The Law Offices of Frank R. Cruz via Business Wire

March 13, 2024 at 14:44 PM EDT

The Law Offices of Frank R. Cruz announces an investigation of iRobot Corporation (“iRobot” or the “Company”) (NASDAQ: IRBT) on behalf of investors concerning the Company’s possible violations of federal securities laws.

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On June 22, 2023, news outlets reported that the European Commission (“EC”) was planning a full-scale investigation into iRobot’s August 2022 merger with Amazon.com, Inc. On this news, iRobot’s stock price fell $4.12, or 8.3%, to close at $45.41 per share on June 22, 2023, thereby injuring investors.

Then, on November 27, 2023, the EC announced that it had “informed Amazon of its preliminary view that its proposed acquisition of iRobot may restrict competition in the market” for robot vacuum cleaner (“RVC”) products. Specifically, the EC stated its concern “that Amazon may restrict competition in the European Economic Area (‘EEA’)-wide and/or national markets for RVCs, by hampering rival RVC suppliers’ ability to effectively compete.” On this news, iRobot’s stock price fell $7.13, or 17.2%, to close at $34.35 per share on November 27, 2023.

Then, on January 10, 2024, it was reported that Amazon did not offer concessions to the EC regarding concerns about the Merger. On this news, iRobot’s stock price fell $7.33, or 19.8%, to close at $29.75 per share on January 10, 2023.

Then, on January 18, 2024, the Wall Street Journal reported that “[t]he European Union’s competition watchdog intends to block Amazon’s $1.7 billion bid to purchase Roomba maker iRobot,” citing “people familiar with the matter.” Additionally, on January 19, 2024, Bloomberg reported that the US Federal Trade Commission was also planning to block the Merger. On this news, iRobot’s stock price fell $6.36, or 26.9%, to close at $17.26 per share on January 19, 2024.

Then, on January 29, 2024, Amazon and iRobot announced that they would be terminating the Merger. iRobot also disclosed that its Chief Executive Officer and Chairman of the Board of Directors would be resigning, and that it planning to cut approximately 31% of its workforce. On this news, iRobot’s stock price fell $1.49, or 8.8%, to close at $15.50 per share on January 29, 2024, thereby injuring investors further.

If you purchased iRobot securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Frank R. Cruz, of The Law Offices of Frank R. Cruz, 2121 Avenue of the Stars, Suite 800, Century City, California 90067 at 310-914-5007, by email to info@frankcruzlaw.com, or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240313452269/en/

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The Law Offices of Frank R. Cruz, Los Angeles

Frank R. Cruz, 310-914-5007

fcruz@frankcruzlaw.com

www.frankcruzlaw.com

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The Law Offices of Frank R. Cruz Announces Investigation of iRobot Corporation (IRBT) on Behalf of Investors

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