The lawsuit, spearheaded by the Rosen Law Firm, targets the period between June 1 and September 23, 2024. According to the complaint, Smartsheet received an unsolicited buyout offer from an investment consortium for $56.25 per share in January 2024, which was later bumped to $56.50. During this window, the company’s board authorized a $150 million stock repurchase program. Plaintiffs argue that Smartsheet was buying back its own shares at market prices averaging $46.45 while withholding knowledge of the higher acquisition bids from the public.

Investors who held shares during the specified period may be eligible to participate in the class action. While a merger with the consortium was ultimately finalized at $56.50 per share in January 2025, the legal challenge contends that shareholders were misled during the interim. Those interested in serving as lead plaintiff must file their motions with the court by October 5, 2026. Participation in the litigation does not require out-of-pocket costs, as the case operates under a contingency fee arrangement. Investors retain the right to select their own counsel or remain absent class members, as no class has yet been formally certified.