iRobot debt acquired by contract manufacturer as bankruptcy looms - The Robot Report

iRobot Corp., a well-known maker of robotic vacuum cleaners such as Roomba, is facing severe financial distress with bankruptcy looming. A recent SEC filing revealed that Santrum Hong Kong Co., a subsidiary of China-based Picea Robotics, acquired iRobot’s debt worth $190.6 million, making it the company’s primary creditor. iRobot currently owes Picea $161.5 million for manufacturing products, with $90.9 million overdue, and is engaged in negotiations to resolve these unpaid amounts. Overall, iRobot’s total debt exceeds $350 million, and the company is struggling to maintain liquidity, having burned through its remaining cash reserves and reporting no new sources of capital as of late 2025. The company’s troubles stem from multiple challenges over recent years, including failed diversification after selling its defense unit in 2016, antitrust hurdles blocking Amazon’s $1.7 billion acquisition attempt, and intensified competition from cheaper Chinese brands and established rivals like Dyson. Layoffs