Stockholder Alert – Robbins LLP Informs Investors of the Smartsheet Inc. Class Action

SAN DIEGO--(BUSINESS WIRE)--Robbins LLP informs investors that a securities class action has been filed on behalf of all sellers of the common stock of Smartsheet Inc. (NYSE: SMAR) between June 1, 2024 and September 23, 2024 (the "Class Period"). Smartsheet is a software-as-a service company that offers its cloud-based work management platform and other professional services.

The complaint alleges that Smartsheet and certain of its senior executives violated the federal securities laws by repurchasing outstanding shares from shareholders with knowledge that a purchaser was proposing to acquire the shares at a significant premium to Smartsheet's then stock price.

Investors who suffered losses during the Class Period may have legal rights. If you want to seek appointment as lead plaintiff, you must submit your papers to the court by October 5, 2026.

Why Was Smartsheet Sued?

The complaint alleges that Blackstone Inc. and Vista Equity Partners Management (the "Consortium") approached Smartsheet on January 24, 2024, with a credible offer to acquire all of the Company's outstanding stock for $56.25 cash per share offer. Smartsheet's board rejected the initial offer, but resumed discussions between July and September 2024. On September 24, 2024, Smartsheet announced the execution of a merger agreement for the Consortium to acquire Smartsheet for $56.50 per share.

According to the complaint, Smartsheet repurchased its shares while failing to disclose it was in conversations about the Company's acquisition by the Consortium. In total, Smartsheet repurchased 1,128,000 of its outstanding shares from unsuspecting investors for approximately $50 million between June 2024 and August 2024, despite knowing that the Consortium was proposing offers at a significant premium to Smartsheet’s then stock price.

At the same time, defendants made misleading statements touting this significant repurchase activity, updating investors about these buybacks during the Class Period, all with no disclosure concerning the Consortium’s credible offer(s) to acquire Smartsheet shares at materially higher prices. As a result, Smartsheet omitted material information about the Consortium’s offers that the Company had a duty to disclose, and defendants made material misrepresentations about Smartsheet’s repurchases, in violation of the federal securities laws.

When investors learned the truth that the Consortium was willing to buy all of the Company’s outstanding stock for a significant premium above the trading price, Smartsheet’s stock price climbed sharply.

Who May Be Eligible?

The lawsuit seeks to represent investors who sold Smartsheet Inc. common stock during the applicable Class Period.

If you sold Smartsheet stock during this period and suffered investment losses, you may have rights under the federal securities laws.

What Is a Lead Plaintiff?

The lead plaintiff is the investor appointed by the court to represent the interests of the proposed class throughout the litigation.

Investors do not have to serve as lead plaintiff to potentially share in any recovery if the lawsuit is successful.

If you are interested in seeking appointment as lead plaintiff, contact Robbins LLP.

Do I have to become lead plaintiff?

No. Investors do not have to seek appointment as lead plaintiff to potentially share in any future recovery if the litigation is successful.

If you want to become the lead plaintiff, you must submit your papers to the court by October 5, 2026.

Does it cost anything to participate?

No. Robbins LLP represents investors on a contingency fee basis. Investors never pay attorneys' fees or litigation expenses. If there is a recovery, defendants pay fees and expenses.

Contact Robbins LLP

Investors seeking additional information about the Smartsheet Inc. securities class action may submit an inquiry through Robbins LLP's website, email attorney Aaron Dumas, Jr., or give us a call at [phone].

About Robbins LLP

A recognized leader in shareholder rights litigation, Robbins LLP has helped restore more than $1 billion in value to shareholders, secured some of the largest recoveries in shareholder derivative litigation history, and achieved governance reforms at over 400 Fortune 1000 companies.

"Behind everything we do is the belief that companies should be governed responsibly, fiduciaries should be held accountable, and shareholders deserve transparency and fairness," said Brian J. Robbins, Founding Partner of Robbins LLP.

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