Private equity firms have been aggressively shopping for mid-sized enterprise software companies to buy. And the recent sell-off in the group could trigger a buying spree in 2022.
That’s the view from Baird research analyst Rob Oliver. In a research note Wednesday, he notes that deal activity in the software sector hit new records in 2021, and he expects further acceleration in the buyout market in 2022.
“Given the underperformance of public software stocks over the past year amidst favorable underlying demand…