SEG Snapshot: 3Q19 SaaS M&A Update | Sandhill

▤ Summary

This 3Q19 SaaS M&A Update report by SEG includes historical deal volume by product category and vertical, valuation stats, most active buyers, notable deals, historical private equity activity, and more. • M&A targets with a vertical focus comprise approximately 42% of SaaS M&A transactions in 3Q19. The SaaS M&A revenue multiple has been trending up over the past few quarters, increasing from 4.3x EV/Revenue in 3Q18. • Private equity buyers drove M&A activity, composing 56.7% of SaaS M&A deals in 3Q19. Equity-backed strategic acquisitions noticeably increased over the past few quarters, making up 41.7% of SaaS M&A deals alone.

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