Valuations have been stable through the quarter. For listed Nordic SaaS companies, EV/Sales sits around 4.0x, while IT services and consulting trade at roughly 9.5x EV/EBITDA and about 0.9x EV/Sales. The disparity highlights the spread between scalable, recurring-revenue SaaS models and more labour-intensive services businesses, where growth and margin profiles naturally pull multiples in different directions.
Software deal activity is solid. The SaaS segment recorded 77 transactions in the quarter. Vertical software increased from 54 to 67 transactions and now represents more than half of total volume. Horizontal software declined from 26 to 10, while hosting has trended slightly down over recent quarters. Overall, the trajectory points to a market that favours clear domain expertise, strong end-user economics, and a high share of recurring revenue.
Private Equity activity in Nordic software remains consistently strong, with intense competition for the most attractive assets. Conversations with both industrial and financial participants indicate an optimistic yet selective market tone: focus on resilient ARR, solid customer retention, and demonstrably capital-efficient growth. This aligns with an international trend of ample capital availability and notable interest from US investors, particularly in companies with clear vertical positions.
Looking ahead, we expect the combination of vertical SaaS and robust PE demand to continue driving deal flow into the next quarter. Competition for high-quality, recurring-revenue assets is likely to persist, while processes exhibit greater selectivity and pricing discipline. For sellers, this underscores the need for clear documentation of growth drivers, unit economics, and customer quality; for buyers, differentiated insight and an operational value-creation plan are essential to win on the right terms.
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Stratema’s quarterly Nordic Tech M&A Outlook draws from our comprehensive proprietary transaction database and Nordic Tech M&A indices, reflecting our ongoing, in-depth research and deep expertise in the sector.
