iRobot Says It Is Cooperating With FTC Review of Amazon Deal
Amazon’s proposed acquisition of iRobot has drawn the attention of the U.S. Federal Trade Commission (FTC), which has reportedly asked the two companies for more information about the deal.
iRobot said in a Tuesday (Sept. 20) filing with the Securities and Exchange Commission (SEC) that the FTC had requested more details Monday (Sept. 19).
About 20 organizations have urged regulators to halt the deal, saying they are concerned about privacy and about Amazon boosting its strength in the market for smart home devices, Reuters reported Tuesday.
Read more: FTC Begins Review of $1.7B Amazon-iRobot Deal
In its SEC filing, iRobot said it and Amazon filed notification and report forms under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 (HSR Act) with the FTC and the Antitrust Division of the U.S. Department of Justice Aug. 19. The companies received a request for additional information and materials — a step in the regulatory review process called a “Second Request” — from the FTC Monday.
“Both parties expect to promptly respond to the Second Request and to continue to work cooperatively with the FTC in its review of the merger,” iRobot said in the filing. “Completion of the merger remains subject to the expiration or termination of the waiting period under the HSR Act and the satisfaction or waiver of the other closing conditions specified in the merger agreement.”
An iRobot spokesperson said the company had no comment beyond the information in its SEC filing.
An Amazon spokesperson declined to comment on the report.
PYMNTS has reached out to the FTC for comment.
Amazon announced its plans to acquire iRobot Aug. 5, noting that the completion of the transaction is subject to customary closing conditions.
Read more: Amazon to Acquire iRobot, Maker of Roomba Robot Vaccum
It said it aims to buy the maker of the Roomba robot vacuum cleaner in an all-cash transaction valued at $1.7 billion.