Vista Equity President on Public Vs. Private Markets

The transcript discusses the strategic focus on enterprise software, highlighting a shift from private to public market acquisitions due to changing valuations. It addresses recession concerns, predicting a mild impact while noting growth in IT spending. The dialogue contrasts public and private market dynamics, emphasizing the pressure on private companies. M&A opportunities are explored, with a focus on leveraging private credit markets despite higher debt costs.

What was the company's strategy during the expensive public market conditions in 2020 and 2021?

• Investing in startups

• Acquiring public companies

• Focusing on enterprise software

• Buying private deals

Which companies did the firm acquire recently due to current market opportunities?

• Tesla, SpaceX, and Blue Origin

• Apple, IBM, and Oracle

• Avalara, Duck Creek, and KnowBe4

• Microsoft, Google, and Amazon

What is the company's view on the potential economic outlook?

• A soft landing or mild recession is expected

• A severe economic downturn is inevitable

• A deep recession is likely

• Economic growth will accelerate

How is IT spending expected to change in 2023 according to the company?

• Remain stable

• Fluctuate unpredictably

• Decrease significantly

• Increase

What is the current state of private market valuations according to the transcript?

• They have a ways to drop

• They have stabilized

• They are at an all-time high

• They are expected to rise

What has filled the gap as big banks have frozen their activities?

• Public equity market

• Private credit market

• Government bonds

• Cryptocurrency investments

What is the company's approach to leverage in their large cap fund?

• Avoid leverage entirely

• Rely heavily on leverage

• Maintain sub 20% loan to value

• Use maximum allowable leverage