A company backed by the funds of Permira, the European private equity firm, is expected to acquire more than $200m of the outstanding equity of LegalZoom.com, Inc., a Glendale, CA-based provider of online legal solutions for small businesses and families.
Following the transaction, which is subject to customary regulatory approvals and closing conditions and is expected to close in the first quarter, LegalZoom’s management team and the largest shareholders, which include Polaris Venture Partners, Institutional Venture Partners, and Kleiner Perkins Caufield & Byers will maintain ownership in the company. Following the close, the company backed by the Permira funds will be LegalZoom’s largest shareholder and have the right to appoint a majority of the Board of Directors, which will include Brian Ruder and Dipan Patel, respectively Principal and Principal at Permira.
The investment will support the company’s launch of new products and services and make acquisitions in both the U.S. and abroad.
Founded more than 12 years and led by John Suh, CEO, LegalZoom provides personalized online legal solutions to start and run a business, wills and trusts, personal and family. The company, which in the meantime has decided to withdraw its Form S-1 filing and to remain private, also has offices in Austin and Mountain View.