Blackstone and Vista Equity Partners Set to Acquire Smartsheet for $8.4 Billion

Key Points:

• Blackstone and Vista Equity Partners plan to acquire Smartsheet in a transaction worth $8.4 billion.

• The all-cash offer of $56.50 per share represents a 41% premium on Smartsheet’s average share price.

• Smartsheet, a leader in collaboration software, first went public in 2018 alongside similar companies like DocuSign.

In a major acquisition deal, Blackstone and Vista Equity Partners are set to purchase Smartsheet, a prominent collaboration software company, for $8.4 billion. This deal will be executed as an all-cash transaction, offering Smartsheet shareholders $56.50 per share—a substantial 41% premium on the company's three-month average share price.

Smartsheet, which initially went public in 2018, has been exploring acquisition opportunities over the past few months. The company has positioned itself as a key player in the collaboration software space, often competing with firms like Atlassian.

Smartsheet’s CEO, Mark Mader, expressed confidence in the new ownership, stating, "Blackstone and Vista bring the expertise and resources necessary to help us grow, while ensuring that Smartsheet continues to be a place where our employees can thrive."

Following the announcement, Smartsheet’s stock price saw a 6% rise. The transaction includes a 45-day "go-shop" period, allowing the company to seek alternative bids from other potential acquirers. However, if no new offers arise, the deal is projected to close by January 2025, pending shareholder approval.

Financial Advisers: Smartsheet is being advised by Qatalyst, while Goldman Sachs and Morgan Stanley are advising the private equity buyers.