Kaskela Law LLC is investigating Owlet, Inc. (“Owlet”) (NYSE: OWLT) f/k/a Sandbridge Acquisition Corporation (NYSE: SBG) on behalf of the company’s long-term stockholders.
The investigation is focused on whether the members of Owlet’s board of directors violated the securities laws or breached their fiduciary duties to stockholders in connection with recent corporate actions and disclosures.
Owlet, Inc. operates as a digital parenting platform in the United States. The company’s platform focuses on giving real-time data and insights to parents. The current company was formed in July 2021 via a business combination with SPAC entity Sandbridge Acquisition Corporation, with Owlet as the surviving, public entity.
On October 4, 2021, Owlet disclosed that it had received a warning letter from the U.S. Food and Drug Administration (“FDA”), which stated that “the Company’s marketing of its Owlet Smart Sock product . . . renders [it] a medical device requiring premarket clearance or approval from FDA.” Owlet has not obtained such clearance or approval. Moreover, the FDA “requests the Company cease commercial distribution of the Smart Sock for uses in measuring blood oxygen saturation and pulse rate where such metrics are intended to identify or diagnose desaturation and bradycardia using an alarm functionality to notify users that measurements are outside of preset values.” Following this this news, Owlet’s stock price fell $1.29 per share, or 23% in value, to close at $4.19 per share on October 4, 2021, on unusually heavy trading volume.
Current Owlet stockholders who purchased or acquired shares of OWLT or SBG stock prior to June 1, 2021 are encouraged to contact Kaskela Law LLC (David Seamus Kaskela, Esq.) at (888) 715 – 1740, or by email ([email protected]) or by completing the information form on this page, for additional information about this investigation and their legal rights and options.