Vista, Mindbody Decry ‘Windfall’ Award in $1.9 Billion Buyout

The Delaware Chancery Court second-guessed the Mindbody Inc. board’s negotiations with Vista Equity Partners Management LLC in a take-private deal and relied on speculation in awarding a “windfall” to ex-investors, an attorney for the fitness software maker argued Wednesday before the state’s highest court.

The ex-investors challenged the deal, arguing it was under-priced. The March 2023 decision finding Mindbody, Vista, and ex-Mindbody CEO Richard Stollmeyer owed investors an additional $1 per share in the $1.9 billion deal presumed that the board could have bargained harder and that Vista might have responded by raising its bid, said Andrew Rossman of Quinn ...