First Alert, a subsidiary of Newell Brands, has quietly acquired Luma, a home WiFi system maker that had raised $22 million in VC funding from firms like Accel Partners and Amazon.
Bottom line: This comes shortly after Luma rival Eero announced layoffs, reflecting the difficulty of competing with NetGear and Google.
More notes:
The deal officially closed last week, and the two companies unveiled a joint product offering this week at CES (without announcing the acquisition).
No specifics yet on pricing, but this was not any sort of win for Luma shareholders.
Luma CEO Michael Bruinisse and chairman Paul Judge will transition out over the next couple months, but the Atlanta-based product and engineering teams will remain in place, per a source familiar with the situation.
Per an internal memo from Judge: "Now that Luma is part of a Fortune 500 company (Fortune #208 to be precise), we have much wider distribution, reach and scale."
