The TMT Private Equity Report
Executive Summary
In this report, we go deep into the PE landscape in the TMT (Technology, Media, and Telecom) sector. We share insights on the largest TMT investors, their portfolios, subsector trends, entries, add-ons, exits, holding periods, growth rates, and much more. Here is a summary of our key findings:
Thoma Bravo has emerged as the largest TMT private equity investor, managing a total estimated EV of $132.4bn*, followed by Vista Equity ($83.5bn), and KKR ($76.5bn). Other investors in the top 10 include Hg ($69.2bn), EQT ($65.3bn), Blackstone ($57.5bn), Silver Lake ($57.4bn), TPG Capital ($48.1bn), TA Associates ($46.7bn), and Bain Capital ($46.5bn).
US-headquartered investors dominate the TMT 100 ranking, managing 74% of aggregate EV. The top 100 collectively manage an estimated $1.6tn across 2,104 assets, with the top 10 alone accounting for 42% of EV.
By region, the US (30%) and Nordics (29%) have the highest concentration of TMT assets by EV, while concentration is generally lower in Europe. PE investors have aggressively shifted into Software since 2010 (+9pp). TA Associates, Hg, and Insight Partners stand out for having the highest deal activity (including add-ons).
TMT revenue growth has consistently outpaced other sectors by 5-6 percentage points, with margins being 3–5 percentage points higher as well. Private TMT valuations have come down, though they still remain elevated compared to public market comparables.
TMT overall sees significantly higher strategic exit activity than other sectors, particularly for smaller deals. Overall, holding periods for TMT assets have risen to a median of 5.4 years, though they remain slightly lower than the broader market at 5.6 years.
There is a lot more data and charts to explore in the full report. Reach out if you have any questions.
*across North American and European markets
Chapter 01: Investor Rankings
The TMT 100 Ranking
Thoma Bravo has emerged as the largest TMT private equity investor, managing a total estimated EV of $132.4bn (across transatlantic markets), followed by Vista Equity Partners ($83.5bn) and KKR ($76.5bn).
Other investors in the top 10 include Hg ($69.2bn), EQT ($65.3bn), Blackstone ($57.5bn), Silver Lake ($57.4bn), TPG Capital ($48.1bn), TA Associates ($46.7bn), and Bain Capital ($46.5bn).
Collectively, the top 100 TMT investors manage an estimated EV of $1.6tn across 2,104 assets. On average, they have a mean portfolio EBITDA of $119m and manage 21 companies each.
Over the last 6 years, TMT 100 investors have invested in 2.1x as many new portfolio companies as they have exited. There have been 2,004 new investments and 914 exits from these sponsors.
The table below lists all the top 100 TMT investors. Use the search bar or the arrows at the top to navigate through the ranking.
Dominant Investor HQs
US-headquartered investors dominate the TMT 100 ranking, managing 74% of the aggregate TMT 100 EV. Sponsors headquartered outside the US represent only 26% of total TMT 100 EV — with European sponsors at 20%, Canadian at 2%, and other international investors at 4%. US investor activity spans the entire spectrum of deal sizes, from small and mid-sized assets to mega-large platforms.
By investor HQ region, leading the rankings are Thoma Bravo (North America, $132bn), Hg (UK, $69bn), EQT (Rest of Europe, $65bn), and Macquarie (Rest of the World, $20bn). Other large investors outside North America include Permira ($44bn), CVC Capital Partners ($17bn), GIC ($16bn), Ardian ($15bn), ADIA ($14bn), and Nordic Capital ($13bn).
Investor Concentration
The TMT 100 landscape is fairly concentrated at the upper end, with the top 10 investors managing 42% of the aggregate TMT 100 EV. The top-ranked firms include both dedicated TMT specialists like Thoma Bravo, Vista Equity Partners, Silver Lake, and Hg, as well as generalist mega-funds such as KKR and Blackstone. TMT specialists benefit from scale advantages including deeper sector expertise, better deal flow access, established industry relationships, and strong credibility with founders and management teams. Fundraising trends over the last few years have also favored these specialist investors.
Chapter 02: Portfolio Insights
In this chapter, we explore the investment portfolios of the top 30 PE investors in TMT, analyzing key metrics such as EV range, growth rates, buy-and-build activity, holding periods, and sector/regional split of their TMT investments.
Note: We exclude from this analysis investors who have less than 5 data points for a particular metric.
By Deal Activity
TA Associates, Hg, and Insight Partners have the highest overall PE activity in TMT. In addition to their platform investments, they are also among the most active buy-and-build investors. In contrast, Brookfield, Elliott Investment Management, and Veritas Capital pursue a more concentrated strategy with fewer overall transactions.
Elliott Investment, Silver Lake, and Thoma Bravo stand out as large take-private investors given their focus on large-scale investments that fit their strategy. Macquarie, Vista Equity, CD&R, Brookfield, Permira, Advent, and Hellman & Friedman are also active in the take-private markets. While public-to-private deals are a key entry route for these large-scale investors, sponsor-to-sponsor transactions remain the most popular entry type across the broader TMT investor landscape.
Most of the top TMT investors are not as active in venture capital. Exceptions include Insight Partners, GSAM, Bain Capital, and EQT, who have twice as many (and in some cases more) VC investments as PE investments. In contrast, Vista Equity, Thoma Bravo, KKR, and Hg focus predominantly on buyouts and growth equity with minimal venture capital activity.
Chapter 03: Subsector Trends
Entries
By sector, TMT is by far the largest PE sector in North America and Europe, representing 24% of total PE EV. At the subsector level, Horizontal Software is the largest at 8% of total PE EV, followed by Vertical Software (7%), Telecom & Networks (3%), Tech, Hardware & IT (3%), and Media (3%). Software alone accounts for over 60% of TMT's total EV, reflecting PE's strong preference for high-margin, high-growth businesses.
North America holds nearly half of TMT PE-backed assets, followed by the UK & Ireland (14%) and DACH (11%). By city, London leads with 6.2% of all assets based there, followed by Paris (3.8%) and New York (3.5%). The US TMT assets are geographically spread across multiple hubs including San Francisco, Boston, Chicago, and Austin, while European activity is concentrated in major metropolitan centers like London, Paris, Stockholm, and Copenhagen.
By subsector, Software dominates across regions. Its concentration is highest in Canada (88% of TMT EV), the US (70%), and DACH (63%). Southern Europe, Benelux, and France, in contrast, have more assets in Telecom & Networks (30-40% by EV). Also note the higher share of Media in the UK & Ireland (19%) and the US (13%).
Chapter 04: Returns and Value Creation
MOIC
Of all sectors, MOIC is highest in TMT (median of 3.1x), while the sector maintains among the lowest loss rates at approximately 5%. Unsurprisingly, given the returns, investors have moved aggressively into the sector making TMT the largest PE sector in the US and the second largest in Europe.
Revenue growth and multiple expansion account for the bulk of value creation in TMT. Growth has been consistently strong and among the highest across all sectors, driving strong returns. Valuations have also re-rated in recent years as more capital has flowed into the sector, with TMT multiples rising faster than other sectors. Finally, margin expansion contributes more significantly to value creation in TMT, particularly in public-to-private deals where there is more scope for operational improvements away from the public limelight.
Buy-and-Build
Add-ons drive significant value creation by accelerating revenue growth and margin expansion. 56% of TMT assets pursue acquisitions, compared to 49% in other sectors. Within TMT, Horizontal Software platforms are most acquisitive, followed by Vertical Software and Media.
