Blackline $BL: Under Activist Investor Pressure to Sell

My thesis is primarily based on the activist investor Engaged Capital winning board seats and forcing a sale. So a quick background on the situation... Blackline is a public enterprise software seller that has been under pressure lately due to its declining revenue growth and compressed valuation multiple since 2022. Engaged Capital is criticizing management for not selling to SAP when they got an offer for $66 per share (about 27% upside from the current price) and is nominating 4 outside directors to the board in the next proxy vote to force a sale. **Brief timeline:** October 30, 2025 - Engaged Capital writes a public letter to the board to "immediately engage financial advisors and proactively run a strategic alternatives process to maximize value for stockholders" (sell the company). November 24, 2025 - Engaged Capital uses section 220 to inspect company books and records, claims that the board is not being transparent or cooperative. December 22, 2025 - Management reduces board size, effectively removing 1 of the 4 seats that were up for election. Engaged claims this is an entrenchment maneuver by management to limit shareholder voting power. January 13, 2026 - Engaged Capital nominates 4 directors for the next proxy vote. **Some notes:** * 4 firms have previously wrote letters to Blackline asking for a sale. * Blackline has a very close relationship with SAP, quarter of BlackLine revenue comes from SAP partnership. * SAP seems persistent in trying to acquire Blackline, having made previous offers before the $66 per share offer. * Doesn't seem like management wants to cooperate at all so this might have to be resolved by the proxy contest at the next annual meeting in march. tldr: \~27% upside contingent on sale