Bleichmar Fonti & Auld LLP is currently investigating the potential buyout of Squarespace, Inc. (NYSE: SQSP) by Permira for $44 per share to determine whether Squarespace’s board of directors is: (1) agreeing to an unfair amount to be paid to shareholders; (2) subject to conflicts of interest; and/or (3) engaged in an unfair process.

If you still own shares of Squarespace, you are encouraged to fill out the form below to get more information and speak with an attorney about your rights. 

Investigation Details:

BFA is investigating whether the $44 per share offer for Squarespace is unfair to shareholders.  Squarespace is controlled by Anthony Casalena – founder, CEO, and a director of the Company – through his ownership of Class A and Class B stock representing 76% of the total voting power of the Company.   Pursuant to the Merger Agreement, Casalena has negotiated for the right to rollover a majority of his stock into the post-close company.  The Merger Agreement also permits the next two largest stockholders, General Atlantic and Accel, to rollover a significant amount of equity.  In total, the three rollover participants are permitted to rollover nearly $2 billion in equity, or roughly 33% of the total equity of the Company.

We believe that the purchase price may undervalue the Company’s common stock, depriving minority stockholders of fair value under Delaware law.  The purchase price only represents a 15% premium to the Company’s closing price on May 10, 2024, and falls below some analyst price targets of $46.  We believe the board of directors may have accepted a reduced purchase price due to conflicts of interest between the controlling stockholder and next two largest stockholders, on the one hand, and minority stockholders, on the other.  More specifically, the rollover creates a unique conflict because the stockholders participating in the rollover prefer Permira to pay as little as possible to acquire Squarespace so that they can realize greater returns in the private company. 

Based on the public announcement, we believe the offer is unfair to investors and the price should be higher.

Next Steps:

If you currently own shares of Squarespace, Inc. you may have legal options and you are encouraged to submit your information to speak with an attorney.
 
All representation is on a contingency fee basis. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses.
 
Contact:

Ross Shikowitz
ross@bfalaw.com
212-789-2303

Fill out the form below for more information.
 
Why Bleichmar Fonti & Auld LLP?

Bleichmar Fonti & Auld LLP is a leading international law firm representing plaintiffs in securities class actions and shareholder derivative litigation.  It was named among the Top 5 plaintiff law firms by ISS SCAS in 2023 and its attorneys have been named Titans of the Plaintiffs’ Bar by Law360 and SuperLawyers by Thompson Reuters. Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.’s Board of Directors (pending court approval), as well as $420 million from Teva Pharmaceutical Ind. Ltd. 

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