Wed Sep 25 10:03:03 UTC 2024: ## Vista Equity Partners and Blackstone Team Up to Acquire Smartsheet for $8.4 Billion
**Bellevue, Washington – August 7, 2024** – In a move that signals continued confidence in the tech sector, private equity firms Vista Equity Partners and Blackstone have agreed to acquire software maker Smartsheet for $8.4 billion in cash.
The deal, announced on Tuesday, values Smartsheet at $56.50 per share, representing a premium of 41% over its 90-day average closing share price. This also translates to a 16% premium over its highest closing stock price in the last 12 months.
The acquisition comes just days after the Federal Reserve made an unusually large half-point cut to its benchmark interest rate, creating a more favorable environment for businesses seeking acquisitions.
“We are excited to partner with Blackstone and Vista Equity Partners to accelerate our vision of modernizing work management for enterprises globally,” said Mark Mader, CEO of Smartsheet.
Smartsheet, founded in 2005, provides an enterprise work management platform used by over 80% of Fortune 500 companies. The company’s solutions are known for their simplicity, scalability, and ability to enhance collaboration, productivity, and decision-making.
“Modern enterprises rely on Smartsheet’s simple and scalable solutions to manage a diverse range of business-critical processes,” said Monti Saroya, Co-Head of Vista’s Flagship Fund and Senior Managing Director. “We are committed to supporting Smartsheet’s ambitious goal of making its platform accessible for every organization, team and worker.”
The deal includes a 45-day go-shop period, during which Smartsheet can explore other acquisition proposals. However, the deal is expected to close in the fiscal fourth quarter ending January 31, 2025, subject to customary closing conditions including shareholder approval and regulatory clearances.
Shares of Smartsheet closed Tuesday’s regular trading session up 6.47% at $55.46 on the New York Stock Exchange.
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