Squarespace to go private in $6.9B all-cash transaction with Permira

Squarespace announced that it has entered into a definitive agreement to go private by Permira, the global private equity firm, in an all-cash transaction valued at approximately $6.9B. Under the terms of the agreement, Squarespace stockholders will receive $44.00 per share in cash representing a transaction valued at over $6.6B on an equity value basis and approximately $6.9B on an enterprise value basis. The purchase price represents a premium of approximately 29% over Squarespace’s 90-day volume weighted average trading price, and a premium of 15% over Squarespace’s closing share price of $38.19 on the NYSE on May 10. Upon completion of the transaction, Squarespace will become a privately held company with the flexibility and resources to invest in enabling entrepreneurs to build better online brands and more easily transact with their customers. Anthony Casalena will roll over a substantial majority of his existing equity and continue to be one of the largest shareholders following this transaction. He will continue to serve as Squarespace’s Chief Executive Officer and Board Chairman, and lead the business in all aspects of its operations, along with Squarespace’s current leadership team, who are expected to continue their roles following the close of the transaction. Due to the pending transaction, the company will no longer hold its previously announced Investor Day scheduled for May 15. The transaction was unanimously approved and recommended by a Special Committee of the Squarespace Board of Directors, composed entirely of independent and disinterested directors, and unanimously approved by the Board of Directors. The transaction is subject to receipt of regulatory approvals. Upon satisfaction of these and other customary closing conditions, the transaction is expected to close by the fourth quarter of 2024. Upon completion of the transaction, Squarespace’s common stock will no longer be publicly listed, and Squarespace will become a privately-held company.