Investment Rating - The report does not explicitly state an investment rating for the industry Core Insights - M&A volume rebounded sharply in Q4 2024 with an estimated 195 transactions, up from 173 in Q3 and 128 in Q4 2023, although deal value remained modest at $28.9 billion, below historic highs [3][5] - Corporate M&A gained momentum with 132 deals in Q4, a 23.4% increase QoQ, and deal value rising 120% to $22 billion, indicating resilience compared to PE firms [3][27] - PE activity saw a significant decline, with deal value dropping 52.8% QoQ to $6.8 billion, the lowest since Q2 2020, attributed to rising interest-rate uncertainty [3][18] Summary by Sections All Acquisitions - The enterprise SaaS sector saw a total of 195 deals in Q4 2024, reflecting a recovery in deal counts, while deal values remained restrained at $28.9 billion [5][6] - The report highlights a classification of over 14,000 global SaaS companies and covers dealmaking over the past six years across various segments [4] PE Buyouts - The total value of PE-driven M&A in Q4 fell sharply to $6.8 billion, down 52.8% QoQ, with only one deal above $1 billion [18][19] - PE deal counts in H2 2024 reached levels similar to the pandemic-era peak, but valuations have declined significantly [8][19] Corporate Acquisitions - Corporate M&A activity increased significantly in Q4 2024, with deal counts rising to 132 and deal values increasing to $22 billion [27][28] - Notable acquisitions included Altair Engineering for $10.6 billion and WorkForce Software for an estimated $1.2 billion [28] Detailed Analysis by Backing, Segment, and Subsegment - VC-backed M&A value surged 78.9% YoY to $36.5 billion, while other backing types saw declines, with publicly held deals totaling $42.1 billion [38][39] - ERP and CRM remained dominant segments, accounting for significant shares of M&A activity, although CRM saw a 39.7% decline in deal value YoY [45][52] - The most active subsegment by value was manufacturing & operations, totaling $30 billion across 114 deals, indicating a concentration of investment in certain areas [65][69]