Interview, Fireside Chat
Orlando Bravo, Managing Partner of Thoma Bravo
- Public market software valuations are expected to increase due to the accelerated digital transition and recognized business model resilience, though current pricing is deemed "incomensible" from a fundamental standpoint with exit multiples requiring high optimism.
- The long-term strategy focuses on enterprise software within a controlled environment for the next decade leading to 2030, anticipating that business trajectories remain difficult to alter within the typical three to five-year private equity horizon.
- The private software investing market is characterized as a rapidly evolving, open field where new market forms are expected to surpass current structures, driven by a younger generation of investors described as more capable, smarter, and more well-rounded.
- Market conditions have shifted from the uninvestable uncertainty of the initial pandemic phase to a state of improved visibility, driven by the realization that companies cannot operate or transact without essential software systems.
- Success for new entrants is predicted to be achievable if they demonstrate resilience and patience, applying proven philosophical approaches to the current industry landscape while navigating an environment where business continuity is critically dependent on digital infrastructure.