Owlet announced that it has entered into a new $25 million asset-based revolving credit facility with Wells Fargo Bank. The new facility refinances and replaces Owlet’s existing asset-based credit facility and term loan.
Owlet said the refinancing significantly reduces its cost of capital, enhances liquidity, and provides increased financial flexibility to support future operating and strategic initiatives.
The new revolving credit facility lowers the applicable interest rate margin to SOFR plus 2.00% to 2.25%.
That compares to SOFR plus 7.50% to 8.50% under the company’s previous asset-based facility.
Owlet said the new terms reduce borrowing costs by at least 525 basis points.
Following the refinancing, Owlet’s total liquidity was approximately $33.8 million as of June 26, 2026.
That liquidity consists of cash and cash equivalents plus available borrowing capacity under the facility.
The new facility provides up to $25 million of borrowing capacity.
It also includes the ability to increase commitments to as much as $35 million, subject to lender approval.
The facility matures three years from closing.
Owlet is a pediatric health platform and smart infant monitoring company.
The company offers U.S. FDA-cleared and internationally medically certified wearable pediatric monitors designed to bring hospital-grade technology into the home.
Owlet’s products and software combine monitoring systems, an integrated video platform, and an app that gives parents real-time health insights.
Since 2012, more than 2.5 million parents have used Owlet to monitor their children’s well-being and sleep.
KEY QUOTES:
“Our new credit facility with Wells Fargo marks another important milestone in Owlet’s financial evolution. 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.”
Amanda Twede Crawford, CFO of Owlet
“We are pleased to support Owlet as it continues to execute on its growth strategy and we look forward to continuing our relationship.”
Andy Hay, Executive Director at Wells Fargo
