Overview
- iRobot filed for Chapter 11 protection in the U.S. District of Delaware on December 14, ending its 35-year run as a public company.
- Under a restructuring support agreement, Shenzhen PICEA Robotics and Santrum Hong Kong will receive 100% of the reorganized equity, canceling existing common stock.
- Company statements say operations will continue without disruption to app functionality, product support, vendor payments or employee commitments during the process.
- The bankruptcy follows multi-year revenue declines driven by supply-chain pressures, increased competition from lower-priced rivals and the collapse of the proposed Amazon acquisition.
- Shenzhen PICEA, already iRobot’s main supplier and lender, acquired a large portion of debt previously held by Carlyle as liquidity eroded, with iRobot reporting just $24.8 million in cash at the end of Q3.