SCHEDULE 13G/A: Accel Entities Update Beneficial Ownership in Freshworks Inc. Class A Common Stock
Beneficial Ownership Amendment
Accel Leaders Funds and Growth Funds, along with managing member Sameer K. Gandhi, have filed an amended Schedule 13G/A detailing their beneficial ownership in Freshworks Inc.'s Class A common stock.
Summary
- This Schedule 13G/A filing is an amendment (Amendment No. 5) by various Accel entities and Sameer K. Gandhi regarding their beneficial ownership of Freshworks Inc. Class A common stock.
- The filing reports beneficial ownership as of March 31, 2025, with the statement filed on May 13, 2025.
- Sameer K. Gandhi, a director of Freshworks Inc. and a managing member of several Accel entities, is reported to beneficially own an aggregate of 18,116,692 shares of Class A common stock, representing 7.1% of the class.
- Mr. Gandhi holds 1,020,601 shares with sole voting and dispositive power, and 17,096,091 shares with shared voting and dispositive power.
- The shared ownership includes shares held by Accel Leaders Fund L.P. (3,493,640 shares, 1.4%), Accel Leaders Fund II L.P. (3,432,110 shares, 1.4%), Accel Growth Fund II L.P. (5,297,500 shares, 2.1%), Accel Leaders 3 L.P. (3,112,212 shares, 1.3%), and other affiliated Accel funds.
- Many of the reported shares are issuable upon conversion of Class B Common Stock held by the Accel funds.
- The percentage of class is calculated based on 241,553,184 shares of Class A Common Stock outstanding as of April 25, 2025, as reported by Freshworks Inc. in its Form 10-Q, plus the shares convertible from Class B Common Stock held by the reporting persons.
Sentiment
Score: 5
Explanation: The document is a factual, regulatory filing detailing beneficial ownership, with no inherent positive or negative sentiment regarding company performance or outlook.
Future Outlook
NA
Industry Context
This filing is a routine disclosure of beneficial ownership by a venture capital firm in a publicly traded technology company. It reflects the ongoing investment positions of Accel funds in Freshworks Inc., a common practice for early-stage investors as companies go public and their lock-up periods expire or change.
Corporate Governance
| Change Type | Description | Effective Date | Impact Assessment |
|---|---|---|---|
| Power of Attorney Grant | Effective February 28, 2025, various Accel entities granted Power of Attorney to Jaspreet Singh and Richard H. Zamboldi to execute and file necessary instruments, documents, or certificates in the normal course of business, including those related to investments. | 2025-02-28 | This is a standard internal governance measure for large investment firms, streamlining the process for regulatory filings and other corporate actions. It does not indicate a change in Freshworks Inc.'s corporate governance, but rather in the reporting entities' internal processes. |
Related Party Transactions
- Sameer K. Gandhi, a director of Freshworks Inc., is also a managing member of several Accel entities that are reporting beneficial ownership in Freshworks Inc. This establishes a related party relationship in terms of influence and shared control over the reported shares.
Stakeholder Impact
- Shareholders: Provides transparency regarding significant institutional and insider ownership, clarifying the voting and dispositive power held by Accel funds and their managing member, Sameer K. Gandhi.
Key Dates
| Date | Description |
|---|---|
| 2025-02-28 | Effective date of the Grant of Power of Attorney to Jaspreet Singh and Richard H. Zamboldi. |
| 2025-03-31 | Date of event which requires the filing of this Schedule 13G/A statement. |
| 2025-04-25 | Date as of which Freshworks Inc. reported 241,553,184 shares of Class A Common Stock outstanding in its Form 10-Q. |
| 2025-04-29 | Date Freshworks Inc. filed its Quarterly Report on Form 10-Q for the quarter ended March 31, 2025. |
| 2025-05-13 | Date the Schedule 13G/A statement was signed and filed. |
Keywords
Beneficial Ownership, Schedule 13G/A, Freshworks Inc., Accel, Class A Common Stock, Class B Common Stock, Investment Funds, SEC Filing, Shareholding, Institutional Investor
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