iPower Announces Repayment of JPMorgan Asset-Based Lending Facility and Begins Related UCC Lien Terminations
Rhea-AI Summary
iPower (Nasdaq: IPW) announced it fully repaid its asset-based lending facility with JPMorgan Chase Bank on December 7, 2025 and has initiated termination of the related UCC liens.
To fund the payoff and provide near-term flexibility, iPower secured a no-fee bridge loan at 6.5% per annum to retire the ABL while evaluating longer-term capital solutions.
Management described the actions as simplifying the capital structure, clearing liens, and creating runway to pursue growth and profitability priorities.
Positive
- ABL repaid in full on December 7, 2025
- UCC lien terminations initiated to clear legacy encumbrances
- 6.5% no-fee bridge loan provides near-term transitional liquidity
- Management cites expanded flexibility to evaluate longer-term financing options
Negative
- Bridge loan creates new interest expense at 6.5% per annum
- Bridge is interim financing pending longer-term capital solutions
Key Figures
Market Reality Check
Peers on Argus 2 Down
Two internet retail peers in the momentum set, JFBR and WBUY, were both down sharply (-13.74% and -15.27%). With IPW down 4.87%, weakness appears partly tied to broader sector pressure.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Nov 14 | Earnings update | Neutral | -2.5% | Fiscal Q1 2026 results with lower revenue but improved net loss and debt. |
| Nov 11 | Listing compliance | Positive | -1.1% | Regained compliance with Nasdaq’s $1.00 minimum bid price requirement. |
| Oct 22 | Funding strategy | Positive | +4.5% | Announced pursuit of alternative funding to enhance capital flexibility. |
| Oct 21 | Reverse stock split | Negative | -8.3% | 1-for-30 reverse split to help regain Nasdaq minimum bid compliance. |
| Oct 09 | Earnings update | Negative | +6.9% | Full-year 2025 results with declining revenue and wider net loss. |
Stock reactions have been mixed, with some positive strategic or funding updates sold off, while negative fundamentals occasionally saw upside moves.
Over the last few months, iPower reported weaker revenue trends and widening full-year losses, while steadily reducing debt and pursuing alternative funding solutions. A 1-for-30 reverse split and subsequent regaining of Nasdaq bid-price compliance reshaped the capital structure. Recent earnings showed improved net loss and lower operating expenses. Today’s announcement about fully repaying the JPMorgan ABL facility and clearing related UCC liens continues this focus on capital structure simplification and flexibility.
Market Pulse Summary
This announcement detailed the full repayment of iPower’s JPMorgan asset-based lending facility and the start of related UCC lien terminations, funded via a 6.5% bridge loan. It followed earlier disclosures about seeking alternative funding and reducing total debt. The key takeaways are a simpler capital structure and near-term flexibility, while ongoing risks include previously highlighted revenue declines, past covenant issues, and the need to align future financing with profitability goals.
Key Terms
bridge loan financial
AI-generated analysis. Not financial advice.
RANCHO CUCAMONGA, Calif., Dec. 09, 2025 (GLOBE NEWSWIRE) -- iPower Inc. (Nasdaq: IPW) (“iPower” or the “Company”), today announced the full repayment of its asset-based lending facility (“ABL”) with JPMorgan Chase Bank, N.A. on December 7, 2025. Additionally, the Company has initiated the termination of the related Uniform Commercial Code (“UCC”) filings. To facilitate the payoff and provide near-term flexibility, iPower secured a bridge loan bearing interest at
“Today we turned the page to a simpler, more flexible capital structure,” said Lawrence Tan, CEO of iPower. “By retiring the ABL and moving quickly to clear the related liens, we’re positioning iPower to go on offense. The bridge loan gives us a clean, predictable runway as we pursue ‘true opportunities’—the ones that can meaningfully advance our retail engine and adjacent initiatives—while staying disciplined on cost and execution. We will also continue to evaluate longer-term capital solutions that align with our strategic growth and profitability objectives.”
Transaction Highlights
- ABL repaid in full on December 7, 2025.
- UCC lien terminations initiated related to the legacy facility.
6.5% no-fee bridge, used primarily to fund the payoff and provide transitional liquidity.- Expanded flexibility to evaluate a broader range of financing alternatives aligned with growth priorities.
About iPower Inc.
iPower Inc. (Nasdaq: IPW) is a technology- and data-driven online retailer and a provider of value-added e-commerce services for third-party products and brands. iPower operates a nationwide fulfillment network and is expanding infrastructure across software, logistics, and manufacturing, with an aim to also pursue initiatives in digital assets and blockchain integration. For more information, please visit www.meetipower.com.
Forward-Looking Statements
All statements other than statements of historical fact in this press release are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations and projections about future events and financial trends that iPower believes may affect its financial condition, results of operations, business strategy, and financial needs. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to" or other similar expressions. iPower undertakes no obligation to update forward-looking statements to reflect subsequent events or circumstances, or changes in its expectations, except as may be required by law. Although iPower believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and iPower cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results and performance in iPower's Annual Report on Form 10-K and in its other SEC filings, including its Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.
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FAQ
What did iPower (IPW) announce on December 9, 2025 about its JPMorgan ABL?
How did iPower fund the ABL payoff for IPW on December 2025?
What immediate shareholder impact does the IPW bridge loan have?
Are UCC liens related to iPower’s legacy facility being removed for IPW?
Will iPower (IPW) seek longer-term financing after the December 2025 bridge loan?
Does the IPW announcement change iPower’s capital flexibility?
