ChiliSleep Parent Company Raises $37M & Merges with Ebb Therapeutics

Kryo, the parent organization of the ChiliSleep brand, has announced its combination with Ebb Therapeutics, another company specializing in sleep technology, alongside a new funding round of $37 million. This investment was spearheaded by KKR, Ebb Therapeutics’ primary investor.

Established in 2007, Kryo/ChiliSleep offers products such as the chiliPAD, a device engineered to enhance sleep quality through temperature control of the bed. According to co-founder and CEO Tara Youngblood, the company has consistently focused on “utilizing temperature regulation to improve sleep,” and has recently developed an interest in “software capabilities” that will enable direct consumer engagement beyond hardware sales.

Ebb Therapeutics has developed a cooling headband intended to promote better sleep. Youngblood explained that the two companies share “a synergistic approach,” and the merger will result in a robust collection of combined patents.

Youngblood also stated that Kryo’s leadership team will guide the combined company moving forward, but she refrained from providing additional details regarding the future involvement of the Ebb Therapeutics team.

The company intends to introduce a new software platform, Sleep.me, in May. This platform will integrate a sleep-focused community, informative content, and coaching services—leveraging Ebb’s existing coaching expertise—with both complimentary and subscription-based options. Youngblood confirmed that ChiliSleep products will continue to be available for purchase. A Kryo representative later indicated that a decision regarding the Ebb brand’s future has not yet been made.

Youngblood recognized the significant increase in sleep-related products in recent years, attributing this trend to growing research and heightened awareness of the connection between sleep and overall health.

“The platform’s distinguishing feature will be its ability to provide tailored guidance to each user,” she explained. “Thermal regulation might be a component of [an individual’s personalized plan], or it might not be.”

Youngblood also highlighted that ChiliSleep benefits from a medical advisory board comprised of Dr. Michael Grandner from the University of Arizona, Dr. Chris Winter, and Dr. Kelly Starrett.

“The prevalence of insomnia and sleep disturbances is unfortunately increasing, but fortunately, so are the number of effective treatments available,” stated Ali Satvat, Global Head of KKR Health Care Strategic Growth, in an official statement. “We are pleased to support the combination of ChiliSleep and Ebb to deliver these advancements to the market and address the significant need for improved sleep solutions.”