iRobot has confirmed it has filed for bankruptcy, marking a major turning point for one of the most famous companies in the home robotics space.
The company said the move is part of a court-supervised plan to be acquired by Picea, its secured lender and major manufacturing partner, PR Newswire reports.
iRobot says the process is pre-packaged with its U.S. Chapter 11 filing and is designed to quickly restructure its business while continuing to run day-to-day operations as normal. The company plans to complete the process by February 2026, after which iRobot will become a private company under Picea’s control.
Importantly for existing customers, iRobot says their robot vacuums will not be disrupted during the rebuild. The Roomba robot, iRobot app, customer support, and software updates are all expected to continue operating as normal while the company goes through bankruptcy proceedings.
The deal will give Picea a 100% stake in iRobot, significantly reducing the company’s debt and stabilizing its finances. iRobot says this will allow it to maintain its global presence while continuing to invest in future robot vacuums and smart home technology.
However, this announcement comes with bad news for shareholders. iRobot has confirmed that its existing common stock will be canceled as part of its Chapter 11 plan. This means that shareholders cannot expect any recovery even after the process is completed. As a result, iRobot shares will also be delisted from the Nasdaq once the transaction is completed.
iRobot CEO Gary Cohen said the move is a necessary step to secure the company’s long-term future, noting it is an opportunity to combine iRobot’s consumer-focused design and research and development with Picea’s manufacturing expertise.
Founded in 2002, iRobot effectively created the robot vacuum category with the original Roomba and has sold millions of devices worldwide. The company has faced increased competition in recent years, but with a leaner structure and new ownership, it’s betting it will remain a major player in the next phase of smart home robotics.
