Can someone explain why this is happening? Thanks! Personally having used squarespace I'm not a fan of their product, but that's beside the point!
"Warren Buffett: Private Equity Firms Are Typically Very Dishonest" - https://youtu.be/r3_41Whvr1I
Squarespace to Go Private in $6.9B All-Cash Transaction with Permira
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Re: Squarespace to Go Private in $6.9B All-Cash Transaction with Permira
#22Has the trend of PE owning things increased in the last decade? Has PE gotten more money in the past years so that they can hoover up companies?
Re: Squarespace to Go Private in $6.9B All-Cash Transaction with Permira
#23Can someone explain why this is happening? Thanks! Personally having used squarespace I'm not a fan of their product, but that's beside the point!
PE realises you can fire most of the team and stop R&D, jack up prices by 50-100% due to lock in, and have something low risk that returns like four times bonds.
Yeah slash equity grants for engineers by 20%, and then move into maintenance mode.
Re: Squarespace to Go Private in $6.9B All-Cash Transaction with Permira
#24It must be nice for the founder to pocket $2 billion in cash from selling his company. For users, on the other hand, I'll hardly trust a PE firm with a SaaS product. There's just too much incentive to jack up prices to service the debt taken to acquire Squarespace, and cut costs on customer support and building new features.
Soon, most of the engineering and support will be over in India. I'd make a joke about innovation, but not sure how innovative Square has been the last five years.
Re: Squarespace to Go Private in $6.9B All-Cash Transaction with Permira
#25It is interesting how most M&A transactions trend to have a 30% premium above the trading price. I have tried to investigate why but could not find a good explanation to why this number is so prevalent.
just works out to be a socially accepted level where the board has no choice but to accept the tender offer i guess. but nothing stopping it being 40% or 10%.
Re: Squarespace to Go Private in $6.9B All-Cash Transaction with Permira
#26how odd, all my google domains just transferred to squarespace today. now thru no consent of my own all my domain and payment information are belong to this private equity shop i dont know anything about that is also likely to strip it for parts. idk how to feel about that
I feel terrible and I’m transferring everything elsewhere immediately.
where to?
Re: Squarespace to Go Private in $6.9B All-Cash Transaction with Permira
#27Earlier quoted context omitted.
PE realises you can fire most of the team and stop R&D, jack up prices by 50-100% due to lock in, and have something low risk that returns like four times bonds.
Yeah slash equity grants for engineers by 20%, and then move into maintenance mode.
They'll recap the company, at the expense of IC grants.
Re: Squarespace to Go Private in $6.9B All-Cash Transaction with Permira
#28Has the trend of PE owning things increased in the last decade? Has PE gotten more money in the past years so that they can hoover up companies?
I don’t know but I guess it’s cyclical?
Re: Squarespace to Go Private in $6.9B All-Cash Transaction with Permira
#29how odd, all my google domains just transferred to squarespace today. now thru no consent of my own all my domain and payment information are belong to this private equity shop i dont know anything about that is also likely to strip it for parts. idk how to feel about that
It was announced in mid-2023, and google sent out numerous emails to account holders over the last six months. https://support.google.com/domains/answer/13689670?hl=en
Feel free to migrate your domains somewhere else. I chose CloudFlare
Re: Squarespace to Go Private in $6.9B All-Cash Transaction with Permira
#30Wait, squarespace isn’t a division of square?