Another week! Qualtrics is a Utah. Qualtrics sells and writes applications to ask questions of employees and clients to help businesses enhance worker satisfaction goods customer experience, and brand. This week qualtrics had intended to go public. The company had increased 27 and generated $342M in the last twelve months.
Costs in 2018 are the highest across this time frame. At EV/TTM earnings multiples greater than 10 , just two acquisitions were consummated before 2018. Six of seven acquisitions have gone in 20x + at three and 10x +.
23x trailing twelve months revenue multiple was fetched by qualtrics. This is the largest among those I’ve tracked. The only one greater is the Microsoft/Github acquisition, that can be based on media reports of Github&rsquo. Every one of the other data points is substantiated through people investor disclosures. It’s largest ever VC backed program acquisition.
Let’s put the 2018 acquisition environment. It’s the best M&A market for $ 1B + sales with six in the previous seven years. 2012 witnessed 3 acquisitions. Additionally, 2018 acquisition worth for this type of acquisition exceed $60B, over twice 2016, which included that the Microsoft/LinkedIn merger.
Last November, a year back, I estimated the latent purchasing power of this software ecosystem to be approximately $30B, excluding debt.
The shift to the cloud has happened at a greater scale than many legacy software companies estimated. And they’re currently spending to grab. IBM acquired RedHat, one company. Microsoft bought Github and LinkedIn. 5 firms: Ariba, Callidus, Concur Successfactors were bought by SAP.