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European Commission opens in-depth review of iRobot buyout

The European Commission said it has opened an in-depth investigation to assess, under the European Union Merger Regulation, the proposed acquisition of iRobot (IRBT) by Amazon.com (AMZN). The Commission is “concerned that the transaction would allow Amazon to restrict competition in the market for robot vacuum cleaners and to strengthen its position as online marketplace provider.” The Commission’s preliminary investigation indicates that the transaction may allow Amazon to restrict competition in the market for the manufacturing and supply of robot vacuum cleaners. Shares of iRobot are down 1% to $44.58 following the announcement.

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