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M&ASEG Snapshot: 2Q21 SaaS M&A Update

2Q21’s 395 SaaS deals continue to put 2021 on pace for record deal volume.

Download the SEG Snapshot: 2Q21 SaaS M&A Update

SEG’s 2Q21 SaaS M&A update is a snapshot of M&A deal activity across the software industry. The report includes historical deal volume by product category and vertical, valuation stats, most active buyers, notable deals, private equity activity, and more.

Highlights:

  • 2Q21’s 395 SaaS deals continue to put 2021 on pace for record deal volume. SEG expects deal volume to remain robust in the second half of 2021 due to a potential increase in capital gains taxes.
  • Increased demand for high-performing SaaS acquisitions amongst strategic and private equity buyers drove a strong 6.7x EV/Revenue multiple in 2Q21.
  • Healthcare, Real Estate, and Education were the most active verticals for SaaS M&A during 2Q21.
  • Private equity activity spiked during the quarter, accounting for an impressive 60% of SaaS M&A deals in 2Q21.
  • Investors were responsible for several mega transactions, including Thoma Bravo’s acquisitions of Proofpoint ($12.3B) and QAD ($2B), TPG Capital’s acquisition of Boomi ($4B), and Symphony Technology Group’s acquisition of FireEye ($1.2B).