Online retailer Amazon Inc. (AMZN) will officially acquire self-driving car startup Zoox Inc. Internal sources revealed the e-commerce giant had reached an agreement to purchase the Foster City based self-driving company for over $1 billion.
The Information was the first to publish the revelation, citing no specific amount for the deal but it is expected both parties will make the details public when the deal is closed.
According to the post, a majority of Zoox investors are cashing out their investments with significant returns. Some of notable names in the investors list include, the co-founder of Atlassian Michael Cannon-Brooks, LUX Capital and DFJ.
Late in the previous month, Wall Street Journal published a report indicating the two companies were engaged in advanced acquisition talks further estimating Amazon could end up purchasing Zoox at any value less than the $3.2 billion the company raised in its latest financing round.
In recent times, Amazon has been making entry in the self-driving sector through various mechanisms, last year the company participated in in a $530 million funding round conducted by Aurora Innovation Inc. a self-driving car startup.