BlackRock Reduces Automattic's Valuation Amidst WP Engine Feud
BlackRock, a major investor in Automattic, the parent company of WordPress.com, has decreased its stake valuation by 10%. This reduction follows a public clash between Automattic and competitor WP Engine.
The new valuation sets Automattic's share price at $37.5, down from $41.7 earlier this year. This comes after Automattic CEO Matt Mullenweg revoked WP Engine's access to WordPress.org, sparking a legal battle. For context on recent tech rivalries, see Xiaomi HyperOS 2 vs. Samsung One UI 6.
The dispute centers around access to WordPress themes and plugins hosted on WordPress.org. WP Engine is currently seeking a preliminary injunction to restore its access. This situation mirrors other recent tech controversies, such as those covered in Ex-Apple Employee Alleges Privacy Policies Hindered Job Search.
Mullenweg recently clarified on X that BlackRock holds only a 0.6% stake in Automattic without voting rights. For more on recent investment news, see Upwind Raises $100M.