Following its previous announcement that it has entered into a definitive agreement to sell the Allbirds brand and footwear assets to American Exchange Group, which intends to continue to build on Allbirds’ legacy and deliver compelling products to Allbirds’ customers, footwear brand Allbirds has announced the execution of a definitive agreement with an institutional investor for a $50 million convertible financing facility.

The facility, which is expected to close during the second quarter of 2026, will enable Allbirds to pivot its business to AI compute infrastructure, with a long-term vision to become a fully integrated GPU-as-a-Service (GPUaaS) and AI-native cloud solutions provider. In connection with this pivot, Allbirds anticipates changing its name to “NewBird AI.”

The conversion of the facility is subject to stockholder approval at the upcoming special meeting of stockholders, anticipated to take place on May 18, 2026, for stockholders of record as of April 13, 2026. 

As a result of these transactions, the Allbirds brand and legacy will continue under the ownership of American Exchange Group for the benefit of all of its customers, investors as of the dividend record date will receive a special dividend, and investors who elect to continue to hold NewBird AI stock will be invested in a growing AI compute infrastructure business supported by the facility.

For more information, visit allbirds.com.