Allbirds, Inc. secured a new $75 million asset-based revolving credit facility with Second Avenue Capital Partners while introducing a program to sell up to $50 million in stock with TD Cowen. The financing provides additional liquidity and financial flexibility to support plans to reignite growth.

The credit line consists of a $50 million tranche and a $25 million accordion feature. The new facility, which replaces the company’s previous $50 million revolving credit facility maturing in April 2026, has a maturity date of June 30, 2028, and is priced at SOFR plus 575 basis points.

Under the sales agreement with TD Cowen, Allbirds can sell, from time to time, up to $50 million of shares of Class A common stock through an At-the-Market (ATM) program.

Allbirds reported that the agreement is part of a comprehensive financing strategy designed to support Allbirds’ previously announced initiatives, focusing on product and marketing advancements, with the introduction of new products scheduled to begin in the coming weeks. Highlights include:

  • An initial drop of Allbirds’ fall product lineup, available in mid-July, includes the first of over 15 new casual, elevated and relaxed silhouettes.
  • Supporting upcoming product introductions, with the launch of a new marketing strategy earlier this year, underpinned by its “Allbirds by Nature” brand platform.
  • A store refresh program, scheduled to begin in the second quarter of 2025, includes a website redesign, slated to launch in July.

“Our teams are laser-focused on executing our product, marketing, and customer experience strategies,” said Joe Vernachio, CEO. “We’re taking deliberate steps to strengthen our financial position as we enter this next chapter, while continuing to prioritize operational discipline and focus on driving long-term, profitable growth.”

Allbirds reported that it remains in a “strong financial condition, with $39.1 million in cash and cash equivalents on its balance sheet as of March 31, 2025.”

Annie Mitchell, CFO, added, “We’re pleased to have put in place a comprehensive financing package, including a new credit facility with a higher borrowing base and improved terms. Importantly, these actions enhance our capital structure and provide the company with increased optionality as we pursue our growth plans. We are continuing to act with financial discipline as we focus on driving long-term profitable growth and building durable value for our shareholders.”

TD Cowen acted as the exclusive financial advisor to Allbirds. Holland & Hart LLP served as legal counsel to Allbirds. TD Cowen is also acting as Sales Agent to Allbirds. Allen Overy Shearman Sterling US LLP served as legal counsel to TD Cowen.

Image courtesy Allbirds