Vista, Blackstone in Talks to Acquire Smartsheet

Summary

Private equity firm Vista Equity Partners and investment firm the Blackstone Group are reportedly in talks to acquire Smartsheet, a cloud-based collaboration and workflow management software company. The potential transaction could value Smartsheet at close to $10 billion, according to Reuters sources.

Background

Smartsheet, founded in 2006, has over 10 million users and is a leader in the collaborative work management space. The company has a strong customer base, including over 90% of Fortune 100 companies. Smartsheet has been growing rapidly in recent years, with revenue increasing by 40% in 2021.

Strategic Rationale

The acquisition would be a major move for both Vista and Blackstone, giving them a significant presence in the growing collaborative work management market.

For Smartsheet, the deal would provide an opportunity to accelerate its growth and expand its product offerings.

Market Reaction

The news of the potential acquisition has been met with positive reaction from investors. Smartsheet's stock price rose by over 10% in premarket trading on Monday.

Next Steps

The deal is still in the early stages of negotiation, and there is no guarantee that it will be completed. However, if the acquisition does go through, it would be a major development in the collaborative work management market.