IRBT: iRobot Stock Wipes Out 55% in One Day After EU Vows to Block Amazon Acquisition

Roomba maker was gearing up for a takeover by Amazon at $61 a share. Today, the stock will open at less than $15 a pop.

• Shares of iRobot IRBT washed out a sweeping 55% of their valuation after the European Union’s competition regulator said it planned to reject a takeover bid by Amazon AMZN. The Roomba vacuum maker lost over 14% in regular trading Thursday and is looking to erase another 40% pre-market loss at the market open today.
• A report by The Wall Street Journal said that the European Commission has opposed the merger but that decision still needed the votes of all 27 EU members. Political leaders have until February 14 to make a final call on the acquisition.
• Amazon agreed to buy the smart vacuum maker in August 2022. Back then, the takeover was valued at $61 a share, pricing the all-cash deal at $1.7 billion. Once the market opens on Friday, iRobot’s shares are set to drop under $15 a piece, valuing the company at around $400 million.