Lehi, Utah-based Owlet’s placement relates to the sale of shares of its newly issued Series B convertible preferred stock and warrants to purchase Class A common stock. The conversion ratio for the stock and warrants reflects a 25% premium to the company’s most recent closing price on Feb. 23.
Owlet expects the transaction to close on Feb. 28, subject to customary closing conditions.
Under the terms of the agreements, Owlet plans to issue shares of Series B stock convertible into approximately 1.2 million shares of common stock. Each purchaser also received a warrant to purchase 150% of the number of shares of common stock into which their Series B stock is convertible. Owlet priced the warrants at $7.7125 per share. The holder can exercise them at any tome on or after th…