DocuSign's stock pops as company reportedly considers a sale

By Emily Bary

Shares have come crashing down from pandemic-era highs

One-time pandemic darling DocuSign Inc. may be looking to sign a deal of its own.

The e-signature company is working with advisers as it considers a sale, the Wall Street Journal reported Friday afternoon. A deal for DocuSign (DOCU), valued at upwards of $11 billion, could result in one of the largest recent leveraged buyouts, the report said, noting that private-equity firms and technology companies were among the potential suitors.

DocuSign shares were up more than 11% in afternoon trading Friday following the report.

A DocuSign spokesperson said the company doesn't comment on rumors or speculation.

The company was a pandemic-era poster child as businesses looked for ways to get signatures on contracts, mortgages and other documents in a virtual world. But DocuSign has struggled to match its earlier growth rates as offices have resumed in-person activity, and management acknowledged a tough macroeconomic environment when DocuSign last posted earnings.

DocuSign shares traded above $310 at their highest point in September 2021, but they closed Thursday near $56. The stock was changing hands just south of $64 Friday amid the intraday rally.

-Emily Bary

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12-15-23 1449ET

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