Permira Buys LegalZoom Stake for $200M
Private equity firm Permira is buying a stake in LegalZoom Inc. for about $200 million.
LegalZoom, founded in 1999, provides legal services related for small businesses and families. The company has received $66 million in venture capital backing from Institutional Venture Partners and Kleiner Perkins Caufield & Byers.
The investment should help LegalZoom continue to launch new products and services. LegalZoom also expects the Permira investment to allow it to make acquisitions, both in the U.S. and abroad. The stake in LegalZoom that Permira will own was not disclosed, but the PE firm will be the company’s largest shareholder.
LegalZoom also announced it has decided to withdraw its Form S-1 filing with the U.S. Securities and Exchange Commission and remain a private company. Other investors include Polaris Venture Partners, Institutional Venture and Kleiner Perkins.
Permira, headquartered in London, advises funds with committed capital of close to $30 billion. In October, the firm bought the parent company of Dr Martens for about $486 million.
Fried Frank Harris Shriver & Jacobson provided legal advice to Permira on the deal.