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Wolf Popper files Smartsheet securities class action over 2024 stock sales

Wolf Popper files Smartsheet securities class action over 2024 stock sales

The lawsuit targets sellers of Smartsheet shares between June 1, 2024 and September 23, 2024, alleging the company repurchased stock while undisclosed takeover offers of up to $56.50 a share were pending.

Fact Check
Wolf Popper's own firm page confirms it filed the securities class action (case No. 26-cv-6679, S.D.N.Y.) on behalf of sellers of Smartsheet shares during the exact June 1 – September 23, 2024 class period, alleging the company repurchased stock while concealing Blackstone/Vista consortium takeover offers reaching $56.50/share. The GlobeNewswire release and an independent Robbins LLP release corroborate all key facts, including the $56.50 figure and repurchase allegation. Every element of the claim is directly supported by primary sources.
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Summary

Wolf Popper LLP said it filed a securities class action in the Southern District of New York on behalf of investors who sold Smartsheet Inc. common stock from June 1, 2024 through September 23, 2024. The case, Galveston Firefighters’ Pension Fund v. Smartsheet Inc. et al, No. 1:26-cv-6679, alleges violations of the Securities Exchange Act of 1934 by Smartsheet and certain executive officers. The complaint centers on claims that Smartsheet repurchased shares under a board-approved $150 million buyback program while non-public acquisition offers from Blackstone Inc. and Vista Equity Partners Management, LLC valued the company at $56.25 and later $56.50 per share. During the class period, Smartsheet’s average stock price was $46.45. The suit alleges the company should have disclosed the formal offer or stopped buying shares from investors who did not know about the bid. Smartsheet disclosed the transaction with the consortium on September 24, 2024, and the merger later closed on January 22, 2025 at $56.50 per share. Motions to serve as lead plaintiff are due by October 5, 2026.

Terms & Concepts
  • lead plaintiff: Investor appointed to represent the class
  • share repurchase program: Company plan to buy back its own stock
  • Securities Exchange Act of 1934: U.S. law governing securities markets and disclosures