The lawsuit, filed by the Rosen Law Firm, alleges that Smartsheet failed to disclose a series of acquisition bids from an investor consortium while simultaneously buying back its own stock at market prices below those offers. According to the complaint, a consortium submitted an initial, unsolicited offer of $56.25 per share in January 2024, later raising that bid to $56.50 by July. During this period, the firm’s stock averaged $46.45 per share.
Investors Eye Lead Plaintiff Role in Smartsheet Securities Lawsuit
Investors who traded Smartsheet Inc. common stock between June 1 and September 23, 2024, face an October 5, 2026, deadline to seek lead plaintiff status in a pending securities fraud class action. The litigation centers on claims that the company withheld information regarding acquisition offers while repurchasing its own shares.
Plaintiffs contend that Smartsheet had a legal obligation to reveal these acquisition offers before executing a $150 million share repurchase program approved by its board in April 2024. The merger with the consortium ultimately closed in January 2025 at the $56.50 price point. Investors who purchased stock during the class period are eligible to participate in the action through a contingency fee arrangement, meaning no out-of-pocket costs are required to join. Interested parties must file their motion to serve as lead plaintiff with the court by the October 5 deadline.
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