Shares of iRobot Corp ($IRBT) plummeted 43% on what some are calling 'Takeover Thursday' following a report that the European Commission plans to block its acquisition by Amazon ($AMZN). The news comes amidst a series of major acquisitions being halted by regulators, with companies like Microsoft ($MSFT), Visa ($V), Adobe ($ADBE), and Nvidia ($NVDA) also facing regulatory pushback on their respective deals. The potential collapse of the iRobot deal has particularly resonated within the merger arbitrage and hedge fund community, where the deal was speculated to have a 100% upside. Additionally, iRobot is noted to have a breakup fee of $94 million, which is significant considering it represents 25% of the company's after-hours market cap, marking potentially 'one last time' the company impacts the hedge fund community.
Most of the major acquisitions save $MSFT have been shelved by regulators $V said no to @Plaid $ADBE said no to @figma $NVDA had to say no to $ARM now $AMZN has to say no to $IRBT
$IRBT stock down 42% in after hrs. $IRBT Roomba down 42% on Amazon. Consider it a wash. #thurshumor Rate my joke plz https://t.co/wX7LzH8c4G
$IRBT ooooof. M&A are mostly not worth it. https://t.co/hyrDyo53Lt
$IRBT very risky but interesting, have a breakup fee of $94mn, which is 25% of after hours market cap...
Another blowup in the merger arb space after hours, now with the $IRBT buyout by $AMZN. I guess it's appropriate that $IRBT screw over the hedge fund community one last time.
$IRBT Wow wonder if anyone knew. https://t.co/XxdEm1FM5L
Happy Takeover Thursday to those who celebrate. *IROBOT DROPS 43% ON REPORT EU COMMISSION PLANS TO BLOCK DEAL $IRBT $AMZN
Has the Fintwit merger arb crowd heard about a 100% upside deal stock called $IRBT?