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Summary Notice of Proposed Settlement of Derivative Actions

1. Owlet is settling a shareholder derivative lawsuit. 2. Proposed reforms aim to enhance corporate governance and controls. 3. Settlement hearing is scheduled for February 6, 2026. 4. Plaintiffs' attorneys seek $675,000 in fees from the settlement. 5. Objections to the settlement require strict compliance with court procedures.

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Why Bullish?

The proposed reforms indicate positive changes in corporate governance, which may restore investor confidence. Historically, similar settlements led to stock price recoveries for companies like Facebook following governance overhauls.

How important is it?

The article's legal aspect and proposed reforms directly connect with OWLT's governance, which could affect investor sentiment and stock valuation. Reforms and related corporate restructuring are critical in addressing past claims.

Why Long Term?

Long-term implications include improved governance structures that could attract institutional investors. Past instances, such as underwhelming governance, led to prolonged stock decline, while improvements reversed trends over time.

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LEHI, Utah, Sept. 24, 2025 (GLOBE NEWSWIRE) -- Owlet, Inc. (NYSE:OWLT) has released the following notice: IN THE UNITED STATES DISTRICT COURTFOR THE CENTRAL DISTRICT OF CALIFORNIA IN RE OWLET, INC. SHAREHOLDER DERIVATIVE LITIGATIONLead Case No.   2:24-cv-07258-FLA-PVC  This Document Relates to:NOTICE OF PROPOSED DERIVATIVE SETTLEMENT              ALL ACTIONS.    NOTICE OF PROPOSED SETTLEMENT OF STOCKHOLDER DERIVATIVE MATTERS, HEARING THEREON, AND RIGHT TO APPEAR  TO:ALL CURRENT RECORD HOLDERS AND BENEFICIAL OWNERS OF COMMON STOCK OF OWLET, INC. (“OWLET” OR “THE COMPANY”) AS OF APRIL 2, 2025 (THE “RECORD DATE”).   PLEASE TAKE NOTICE that the above-captioned derivative lawsuit (the “Consolidated Action”) is being settled on the terms set forth in a Stipulation and Agreement of Settlement dated April 2, 2025 (the “Stipulation”).1 Under the terms of the Stipulation, as part of the proposed Settlement, Owlet will adopt, implement, and/or maintain certain corporate governance practices, policies and procedures, and internal controls reforms (the “Reforms”). These Reforms, which are detailed more fully in the Stipulation and Long Form Notice, are intended to address the claims asserted in the Consolidated Action. The Settling Parties acknowledge and agree that the Reforms confer substantial benefits on the Company and its stockholders and that the Settlement on the terms set forth in the Stipulation is in all respects fair, reasonable, and adequate, and serves the best interests of the Company and its stockholders. Plaintiffs’ Counsel intends to request approval of attorneys’ fees and reimbursement of expenses in the amount of $675,000.00, inclusive of a requested Service Award for Plaintiffs. The Defendants have agreed not to oppose this request. The amount of attorneys’ fees and expenses will be within the sole discretion of the Court. IF YOU WERE A RECORD OR BENEFICIAL OWNER OF OWLET COMMON STOCK AS OF APRIL 2, 2025, PLEASE READ THIS NOTICE CAREFULLY AND IN ITS ENTIRETY AS YOUR RIGHTS MAY BE AFFECTED BY PROCEEDINGS IN THE ABOVE-REFERENCED LITIGATION. On February 6, 2026, at 1:30pm PT, the Court will hold the Settlement Hearing either in person at the United States District Courthouse for the Central District of California, First Street Courthouse, 350 W. 1st Street, Courtroom 6B, 6th Floor, Los Angeles, California 90012, or by telephone or videoconference (at the discretion of the Court). At the Settlement Hearing, the Court will consider whether the Settlement is fair, reasonable and adequate and thus should be finally approved and whether the Consolidated Action should be dismissed with prejudice pursuant to the Stipulation. The Court also will rule upon the Fee and Expense Amount to Plaintiffs’ Counsel and Plaintiffs’ Service Award. Any Current Owlet Stockholder may, but is not required to, appear in person at the Settlement Hearing. If you want to be heard at the Settlement Hearing in opposition to the Settlement, the Fee and Expense Amount or the Service Award, then you must first comply with the following procedures for objecting. Any objections must be presented in writing and must contain the following information: 1.Notice of intent to appear at the Settlement Hearing;  2.Your name, legal address, and telephone number;  3.Proof of being a Current Owlet Stockholder as of the Record Date and representation that you will continue to own Owlet common stock as of the date of the Settlement Hearing;  4.The date(s) you acquired your Owlet shares and the number of Owlet shares held;  5.A detailed statement of your specific position with respect to the matters to be heard at the Settlement Hearing, including a statement of each objection being made; and  6.The grounds for each objection or the reasons for your desire to appear and to be heard.   Any counsel retained by a purported objector for the purpose of asserting an objection must make a notice of appearance on the Court at least fourteen (14) days before the Settlement Hearing. The Court will not consider any objection that does not substantially comply with these requirements.Any written objections must be filed with the court and sent by hand or by first class mail, postage pre-paid to Plaintiffs’ Counsel no later than fourteen (14) days prior to the Settlement Hearing at the following addresses: Justin A. KuehnKuehn Law, PLLC53 Hill Street, Suite 605Southampton, NY 11968(833) 672-0814Plaintiffs’ Co-Lead CounselSeth D. RigrodskyVincent A. LicataRigrodsky Law, P.A.825 East Gate Boulevard, Suite 300Garden City, NY 11530(516) 683-3516Plaintiffs’ Co-Lead Counsel   The Court will not consider any objection that is not timely filed with the Court and delivered to Plaintiffs’ Counsel.     Any person or entity who fails to object or otherwise requests to be heard in the manner prescribed above will be deemed to have waived the right to object to any aspect of the Settlement or otherwise request to be heard (including the right to appeal) and will be forever barred from raising such objection or request to be heard in this or any other action or proceeding, but shall otherwise be bound by the Judgment to be entered and the releases to be given. This Notice summarizes the Settling Parties’ Stipulation. It is not a complete statement of the events of the Consolidated Action or the Stipulation. You may inspect the Stipulation and other papers at https://investors.owletcare.com/. PLEASE DO NOT CALL, WRITE, OR OTHERWISE DIRECT QUESTIONS TO EITHER THE COURT OR THE CLERK’S OFFICE. Any questions you have about matters in this Notice should be directed by telephone or in writing to Plaintiffs’ Counsel at the addresses set forth above. _______________1 This Notice should be read in conjunction with, and is qualified in its entirety by reference to, the text of the Stipulation and its Exhibits, which have been filed with the United States District Court for the Central District of California. The capitalized terms used in this Notice and not otherwise defined are defined in the Stipulation.

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