Class Action Lawsuit Filed Against Smartsheet Inc. Over Stock Repurchase Practices

Berger Montague, a national plaintiffs' law firm, has announced a class action lawsuit against Smartsheet Inc. (NYSE: SMAR) on behalf of investors who sold Smartsheet common stock between June 1, 2024, and September 23, 2024.

According to the lawsuit, Smartsheet engaged in a series of actions that allegedly benefited insiders while misleading the public. On January 24, 2024, Smartsheet received an unsolicited offer from a consortium consisting of Blackstone Inc. and Vista Equity Partners Management, LLC, to purchase all outstanding shares at $56.25 per share. This offer was later increased to $56.50 per share. Despite this, Smartsheet continued to repurchase its stock at market prices significantly lower than the offer, raising concerns about the company's transparency and disclosure practices.

The lawsuit claims that Smartsheet had an obligation to disclose the acquisition offer or at least refrain from purchasing shares during the period when it was negotiating with the consortium. During the Class Period, Smartsheet's average stock price was $46.45 per share. On September 24, 2024, Smartsheet disclosed the transaction with the consortium, which ultimately resulted in the Consortium acquiring Smartsheet for $56.50 per share.

Investors who sold Smartsheet shares during the Class Period may seek to be appointed as lead plaintiff representatives by October 5, 2026. The lawsuit alleges that Smartsheet's stock repurchase program during the Class Period was improper and that the company failed to adequately inform the market of the potential sale.

Investor rights and more information can be obtained by visiting the firm's website or contacting Berger Montague directly. Andrew Abramowitz and Caitlin Adorni from Berger Montague can provide further details and guidance for affected investors.

Founded in 1966, Berger Montague is one of the nation's preeminent law firms, focusing on complex civil litigation, class actions, and mass torts. With a history of significant recoveries, the firm has played leading roles in precedent-setting cases and has recovered over $50 billion for its clients and the classes they have represented.

Smartsheet, headquartered in Bellevue, Washington, is a software-as-a-service company offering cloud-based work management platforms. The company's stock performance and its dealings with the consortium have now become the focus of legal scrutiny.