Owlet, a company in smart infant monitoring, entered into a new $25 million asset-based revolving credit facility on June 26, 2026, with Wells Fargo Bank. The new facility refinances and replaces the company’s existing asset-based credit facility and term loan, significantly reducing Owlet’s cost of capital, enhancing liquidity and providing increased financial flexibility to support future operating and strategic initiatives. The improved terms reflect the Company’s stronger financial position and continued operational execution.
The new revolving credit facility lowers the applicable interest rate margin to SOFR plus 2.00% to 2.25%, compared to SOFR plus 7.50% to 8.50% under the company’s previous asset-based facility, significantly reducing borrowing costs by at least 525 basis points. Following the closing of the refinancing, the company’s total liquidity, consisting of cash and cash equivalents and available borrowing capacity under the facility, was approximately $33.8 million as of June 26, 2026.
“Our new credit facility with Wells Fargo marks another important milestone in Owlet’s financial evolution,” Amanda Twede Crawford, chief financial officer of Owlet, said. “By replacing our previous debt structure with a more flexible revolving facility, we expect to meaningfully lower annual interest expense while enhancing liquidity and financial flexibility. The support from Wells Fargo positions us to continue investing in our strategic priorities while maintaining a disciplined approach to capital allocation.”
Andy Hay, executive director of Wells Fargo, added, “We are pleased to support Owlet as it continues to execute on its growth strategy and we look forward to continuing our relationship.”
The new facility provides up to $25 million of borrowing capacity and includes the ability to increase commitments to as much as $35 million, subject to lender approval. The facility matures three years from closing.
