Robot vacuum maker iRobot's shares tank 28% in early trading on Friday. European Union's competition watchdog plans to block Amazon's $1.4 billion acquisition of the Roomba vacuum maker, according to WSJ report.
For the decision to become official, it must gain the endorsement of the commission's 27 top political leaders. It's rare for these leaders to overturn a recommendation from the competition commissioner, Margrethe Vestager. According to the WSJ, the commission is expected to make its final decision by Feb. 14.
While the European Commission has not yet commented on these developments, Amazon retains the option to withdraw from the deal, which was initially agreed upon in August 2022. The commission had previously expressed concerns in November, suggesting that the acquisition could potentially limit competition in the robotic vacuum cleaner market.