iRobot, the maker of Roomba robot vacuums, filed for Chapter 11 bankruptcy protection on December 14, 2025, under a restructuring agreement that would transfer ownership to its secured lender and primary contract manufacturer, Picea, subject to court approval.
Under the agreement, Shenzhen PICEA Robotics Co., Ltd. and Santrum Hong Kong Co., Limited, collectively called Picea, would receive 100% of iRobot’s equity. iRobot and certain affiliates began the prepackaged bankruptcy process in Delaware. The company said it expected to complete the process by February 2026.
Upon completion, iRobot would become a private company wholly owned by Picea, and its common stock would no longer be listed on Nasdaq. iRobot said it expected existing shares to be cancelled and common shareholders to receive no recovery on their investment if the court approved the plan.
Operations and restructuring risks
iRobot said it anticipated no disruption during the proceedings to its app functionality, customer programs, relationships with partners and suppliers, or ongoing product support.
The company said it had filed motions seeking court authorization to meet its commitments to employees and make payments in full to vendors and other creditors for amounts owed before, during and after the court-supervised process.
Its December 14 announcement also identified uncertainties surrounding court approval, the timing and outcome of the restructuring, and whether vendors, suppliers and customers would seek alternative commercial relationships. iRobot acknowledged continuing risks to its ability to operate as a going concern.
The failed Amazon acquisition
Amazon agreed to acquire iRobot in 2022 in an all-cash transaction valued at approximately $1.7 billion, including iRobot’s net debt. While the deal was pending, iRobot obtained a $200 million loan from Carlyle Group in 2023.
Amazon and iRobot terminated the acquisition agreement on January 29, 2024, saying the proposed transaction had no path to regulatory approval in the European Union. The termination agreement provided for Amazon to pay iRobot a $94 million breakup fee.
That day, iRobot also announced that co-founder Colin Angle had stepped down as chairman and chief executive. Its restructuring plan called for approximately 350 job cuts, representing 31% of its workforce as of December 30, 2023.
In a December 14, 2025, statement, Angle described the bankruptcy outcome as avoidable. He argued that regulatory opposition to the Amazon acquisition had removed what he considered iRobot’s most viable path to expand and compete globally.
iRobot was founded in 1990 by MIT roboticist Rodney Brooks and his former students Colin Angle and Helen Greiner. The company introduced Roomba in 2002.
