#News

The rise of earn-outs in European SaaS M&A: implications for sellers in 2026

Earn-outs are becoming a dominant feature in European SaaS M&A, driven by market uncertainty and valuation gaps. This shift significantly impacts deal structures, risk allocation, and the ultimate capital realization for …

SaaS enterprise value multiples: navigating shifts from EV/Revenue to EV/EBITDA in 2026

The SaaS valuation landscape is shifting, with a projected move from revenue-based multiples to EBITDA-based metrics by 2026. This transition reflects increased market maturity and a focus on profitability, impacting shareholder …

Where capital flows in European B2B SaaS in 2026

European B2B SaaS is experiencing a recalibration, with capital increasingly favoring profitability and sustainable growth over hyper-growth at any cost. This shift impacts valuations, deal structures, and the strategic …

Navigating earn-outs in European B2B SaaS M&A: a CFO's guide to risk mitigation

In 2023, 42% of European B2B SaaS M&A transactions included an earn-out component, reflecting a market trend towards bridging valuation gaps and mitigating buyer risk. This guide provides CFOs with strategies to structure and …

Strategic partners as capital sources: Beyond traditional funds

While traditional investment funds remain a primary capital source, strategic partners offer a distinct alternative, often providing not just funding but also market access, operational synergies, and a clearer exit path. This …

The rise of AI-driven earn-outs in European SaaS M&A

AI's integration into SaaS M&A is increasingly manifesting through earn-out structures, particularly in Europe, where buyers leverage future AI-driven performance to mitigate valuation risk. This trend impacts deal …

Navigating the shifting landscape of SaaS valuation multiples in a post-AI boom market

SaaS valuation multiples have seen significant recalibration post-AI boom, with average public SaaS enterprise value to NTM revenue multiples declining from 10.6x in late 2021 to 5.7x by early 2024. This shift demands a nuanced …

Navigating the valuation arbitrage between ARR and EBITDA multiples in mid-market SaaS

The divergence in how Annual Recurring Revenue (ARR) and EBITDA multiples are applied to mid-market SaaS valuations presents a critical arbitrage opportunity and risk for shareholders and investors. Understanding this dynamic is …

Corporate governance in IT companies: when it becomes a barrier

Poorly structured corporate governance in IT companies often directly impacts valuation multiples and deal terms, with 40% of M&A transactions seeing adjustments due to governance-related risks.

Navigating the rise of AI-driven M&A: new valuation metrics for 2026

The surge in AI-driven M&A necessitates a re-evaluation of traditional valuation metrics. Shareholders must adapt to new frameworks that account for proprietary data, explainable AI, and ethical compliance to maximize deal …

Why IT companies are worth less than their founders expect

Founders frequently overestimate the market value of their IT companies, often due to a disconnect between perceived innovation and objective valuation methodologies. This discrepancy impacts deal outcomes, risk assessment, and …

Most common red flags in financial due diligence of IT companies

Financial due diligence for IT companies frequently uncovers issues that materially impact valuation and deal structure. Recognizing these common red flags early is crucial for shareholders and potential buyers.

Raising capital through a strategic partner instead of a fund

For technology companies, securing growth capital often presents a dichotomy between traditional institutional funds and strategic corporate partners. This analysis explores the distinct advantages and implications of pursuing a …

Comparable transactions for European SaaS in 2026: what the data shows

An analysis of projected European SaaS M&A activity for 2026, focusing on valuation trends, deal structures, and the impact of market dynamics on shareholder value.

Strategic buyer vs financial investor: how to pick the right exit path

Choosing between a strategic buyer and a financial investor significantly impacts deal structure, valuation, and post-transaction control. Understanding their distinct motivations is crucial for shareholders seeking an optimal …

Restructuring an IT holding: when it is necessary, when it is fashionable

IT holding restructurings are increasingly common, driven by market shifts and capital demands. This analysis differentiates between value-driven necessities and trend-following initiatives, focusing on shareholder implications.

IP on code: How it is structured before a sale

The organizational layer of IT projects: why it determines the outcome

How shareholders measure whether their IT asset is gaining value

GovTech as an investment category: why interest is growing in the EU

Earn-out in IT deals: how to structure to avoid post-closing conflicts

Information memorandum for a tech company: what works in 2026