iRobot Corporation has announced a strategic acquisition by its secured lender and primary manufacturing partner, Picea, marking a pivotal step in securing the company’s long-term growth. The transaction, structured as a pre-packaged Chapter 11 process in Delaware, will allow Picea to acquire 100% of iRobot’s equity, reducing debt and strengthening the company’s financial foundation while ensuring continuity of operations worldwide. The process is expected to conclude by February 2026.

CEO Gary Cohen highlighted the benefits: “This transaction not only stabilizes iRobot financially but also enables us to continue delivering innovative Roomba robots and smart home technologies. Picea’s expertise in manufacturing and R&D complements our innovation-driven approach, positioning iRobot to lead the next generation of smart home robotics.”

During the Chapter 11 process, iRobot will operate normally with no disruption to its apps, customer programs, supply chains, or partnerships. Standard court motions ensure timely payments to employees and vendors. After completion, iRobot will become a privately held company under Picea’s ownership, with shares delisted from Nasdaq. Current shareholders will not receive equity in the reorganized company.

Picea, with facilities in China and Vietnam and more than 7,000 employees, has produced over 20 million robotic vacuums and holds more than 1,300 global intellectual property rights. The acquisition leverages Picea’s manufacturing strength and global reach, enhancing iRobot’s ability to invest in new products, expand its smart home portfolio, and maintain market leadership.

This strategic move underscores iRobot’s commitment to innovation, financial stability, and delivering consumer-friendly robotics solutions in an increasingly competitive smart home market.

Source: PR Newswire