Amid a leadership transition, Smartsheet, the Bellevue, Wash.-based enterprise software company that recently went private in a multi-billion dollar acquisition, has implemented job cuts affecting over 120 employees, as confirmed by a reliable source. The company acknowledged the layoffs but refrained from disclosing the exact number.
The restructuring coincides with the departure of long-standing CEO Mark Mader, who announced his retirement in August, with Sunny Gupta, a prominent figure in the Seattle tech scene and co-founder of Apptio, stepping in as the acting CEO and executive chair.
With a workforce exceeding 3,300 employees as of last year, Smartsheet had experienced significant growth, tripling its staff over a five-year period, as per its final quarterly filing prior to going private.
The acquisition by Blackstone and Vista Equity Partners, finalized in January, marked Smartsheet’s exit from the New York Stock Exchange, with the deal valuing the company at a premium of approximately 41% over its average stock price preceding the acquisition announcement.
Both Blackstone and Vista Equity Partners have been actively involved in the Seattle tech scene, with Vista previously acquiring Apptio and Avalara, while Blackstone took over Rover.
Following the acquisition, Smartsheet has been aggressively incorporating artificial intelligence into its operations and product offerings, focusing on internal AI utilization and the development of AI-driven features.
The layoffs at Smartsheet were first reported by the Puget Sound Business Journal, shedding light on the company’s restructuring efforts amid its leadership changes.