Goldman Sachs’ premium paid analysis suggested a value range between $49.30 and $50.87 per share, while precedent transactions indicated a range between $46.97 and $59.19 per share. Glazer questioned whether Centerview omitted these analyses because they would highlight the inadequacy of the merger price.
Squarespace Shareholder Private Deal : Allegations of a Flawed Sale Process
Further complicating the deal, Glazer Capital accused the sale process of being designed to unfairly benefit Permira and Casalena. The letter alleges that Casalena cultivated a relationship with Permira over two years, giving the private equity firm an unfair advantage over other potential bidders. Glazer argued that these interactions were not properly endorsed by Squarespace’s board, casting doubt on the integrity of the sale process.
Glazer also highlighted concerns about the disclosure of material information regarding the sale of Squarespace’s subsidiary, Tock LLC, to American Express for $400 million. According to the letter, Permira was the only bidder provided with details about this sale, which represents about 6% of the merger consideration. Glazer contends that other bidders were not given adequate disclosure during due diligence, further skewing the process in Permira’s favor.
Next Steps and Shareholder Sentiment
Glazer Capital’s announcement signals growing discontent among Squarespace’s minority shareholders as the company moves forward with the proposed buyout. The firm has urged other shareholders to join in voting against the deal, emphasizing that the process and the price do not serve the best interests of all shareholders.
