Luma, a US-based wifi hub manufacturer backed by internet technology group Alphabet and e-commerce firm Amazon, has been acquired by consumer group Newell Brands for an undisclosed sum, Axios has reported.
The transaction concluded last week according to Axios, and was reported by Atlanta Business Chronicle to have been sized at more than $10m. Luma had raised approximately $22m in funding.
Founded in 2014, Luma had developed a smart home wi-fi system intended to give better internet reception by using up to three routers to provide a surround effect.
The system is compatible with Alexa, Amazon’s voice-operated control system, and Luma added a subscription-based offering called Luma Guardian in July 2017 that includes cybersecurity, a virtual private network (VPN) option and an enhanced support system.
Amazon’s Alexa Fund invested in Luma’s $12.5m series A round in April 2016, which was led by venture capital firm Accel and backed by Felicis Ventures, BIP Capital, Relay Ventures, 500 Startups, Webb Investment Network and angel investor David Dorman.
Alphabet’s corporate venturing unit, GV, and venture capital firm Andreessen Horowitz added $7m in series B funding in September the same year.
Newell plans to integrate Luma with its smart home security brand, First Alert. Luma and First Alert announced dual-branded products at the Consumer Electronics Show trade conference last week before confirming the acquisition had taken place.