A vacuuming Roomba mannequin robotic is displayed at iRobot headquarters in Bedford, Massachusetts
Scott Eells | Bloomberg | Getty Photographs
Amazon‘s deliberate $1.7 billion acquisition of iRobot, the maker of Roomba vacuums, has been greenlit by Britain’s competitors watchdog.
The Competitors and Markets Authority stated it decided the deal wouldn’t lead to “a considerable lessening of competitors” within the U.Ok. The CMA opened its probe into the proposed buy in April.
iRobot’s inventory surged 21% on information of the CMA’s approval. Amazon shares closed down 1%.
An Amazon spokesperson instructed CNBC in a press release: “We’re happy with the UK Competitors and Markets Authority’s choice and are dedicated to supporting regulatory our bodies of their work. We stay up for comparable selections from different regulators quickly.”
Amazon introduced final 12 months it might purchase iRobot for $1.7 billion, as a part of a transfer to deepen its presence within the good house. However the deal remains to be beneath overview by the U.S. Federal Commerce Fee, in addition to European Union antitrust regulators, who opened a probe earlier this month.
The CMA stated it present in its overview that iRobot’s market place within the U.Ok. is modest and that it faces vital competitors from a number of rivals. It additionally decided the deal wouldn’t restrict rival good house platforms’ potential to compete and that there was no clear incentive for Amazon to favor iRobot’s merchandise on its on-line retailer.
WATCH: Amazon’s good house dominance and the way it may develop with iRobot acquisition
