Sleep Cycle to Acquire Audiowell in SEK2.3 Billion All-stock Deal

05:40 AM EDT, 10/09/2026 (MT Newswires) -- Sleep Cycle (SLEEP.ST) proposed to acquire all shares in Swedish music company Audiowell AB for 2.26 billion kronor in an all-stock deal to expand its focus on the wellness market, according to a Friday release. The Swedish sleep analysis app developer will issue 92.04 million new shares at 24.50 kronor apiece as consideration. The new shares will increase Sleep Cycle's total share count to 112.3 million from 20.3 million, giving Audiowell Group AB an 82% controlling stake and diluting existing shareholders to 18%, according to a Friday release. As the new primary owner, Audiowell Group must offer to buy out remaining shares at 24.5 kronor each within four weeks of the deal closing. Audiowell Chief Executive Officer Gustav Forssell will lead the combined business, while Sleep Cycle's Mikael Kageback returns to his role as chief technology officer. The deal is expected to close in the fourth quarter of 2026, subject to shareholder approval at a general meeting on Nov. 11 and foreign investment clearances.