Solganick & Co. Software M&A Update Q3 2020

November 30, 2020 – Solganick & Co. has issued its latest software M&A update for Q3 2020. The report highlights current trends and transactions within the software sector.

You can download the complete report here: Solganick & Co. – Software M&A Update Q3 2020

 

As of Q3 2o2o, the software industry has been one of the top M&A sectors in terms of deal value and volume. Relative to somewhat weak Q2, software M&A
activity returned in Q3 2020

  • The initial uncertainty and need to stabilize existing operations and portfolio companies subsided, allowing for
    renewed focus on transaction pursuit 
  • Debt financing availability returned in Q3, further enabling market participants to transact
  • Certain subsectors are particularly well positioned to succeed post pandemic
  • Communications and connectivity focused companies have benefitted from the sudden shift to remote work and education, a trend that is anticipated to persist longer term given widespread adoption
  • SaaS based business models are continuing to be highly resilient and sought after

 

Significant software transactions included:

  • Clarivate’s $6.8 billion acquisition of CPA Global
  • Roper’s $5.4 billion acquisition of Vertafore
  • AVEVA’s $5.0 billion acquisition of OSIsoft

 

IPO and financing activity during the quarter was extremely robust

  • Snowflake, Rocket Companies and Palantir entered the public marketplace with over $120 billion in combined market capitalization

 

Solganick & Co. is a data-driven investment bank and M&A advisory firm focused exclusively on software and tech-enabled services companies.

For more information about this report or the software M&A sector, please contact Solganick & Co. at Contact Us