Robert Smith, the billionaire chairman and CEO of Vista Equity Partners, said Wednesday that there’s a marked disparity in investment opportunities between the public and private markets.
Smith, who spoke with CNBC’s David Faber from the Delivering Alpha conference, said that his firm continues to look at high-growth investments in enterprise software versus more mature areas of technology that the public markets still emphasize.
“There’s actually a bit of dislocation of opportunity because 98% of enterprise software companies are private,” Smith said.
“One of the keys is understanding what businesses are the right businesses to invest in as a private equity firm,” he added. “From our perspective, it’s really interesting: The public markets continue to focus on what we call hardware and consumer technology.”
Vista, now 20 years old, has carved out a niche for itself on Wall Street by investing in young software companies and restructuring them according to a strict list of standards to generate more profit and revenues.
Oftentimes Vista works with a fledgling software companies on its efficiency until it’s “mature,” and is ready to hit the public markets through an initial public offering.
And with advancing computing technology making its way around the world, Smith said the potential for even more compelling investments is accelerating.
Even beyond a comparison to the public markets, Smith said he’s seeing a deluge of enterprise software opportunities right now.
“In our sector, enterprise software, we continue to see companies with very strong revenue growth. If they’re run well, and with our work, they’re actually accelerating in this time period,” he said. “And the fact is that there is just a massive demand for digitization globally.”
“There has also been a distribution of computing power over the last 20 years, there’s actually a large number of software companies that are
The initiative is the company’s fourth since 2017 celebrating the Congressional Black Caucus Foundation’s Annual Legislative Conference.
Universal Music Group and its recently-established Task Force for Meaningful Change are celebrating the Congressional Black Caucus Foundation’s Annual Legislative Conference (CBC ALC) this year with a series of special programs, discussions and opportunities.
The celebrations kicked off last week with a trio of events, including the °1824 Mentorship Initiative, which selected 15 young Black creatives and college students for a new UMG mentorship program; an interactive recruitment workshop with UMG’s diversity & inclusion team; and a panel entitled “The Soundtrack to Change: A Discussion on Music and the Social Justice Movement” mounted by Republic Records’ Action Committee.
Other events and initiatives going forward will include “Black and Blue,” a live conversation on police brutality against Black and Brown communities hosted by Def Jam Forward with special guest Rep. Hakeem Jeffries (D-NY) along with Def Jam artists Chuck D, Jadakiss and Bobby Sessions; “Music Mavens,” a discussion between women leaders across UMG with special guest Rep. Robin Kelly (D-IL); and “The Art of Black Entrepreneurship & Brand Building,” a panel hosted by IGA with special guest Rep. Yvette Clark (D-NY).
This is the fourth year UMG has celebrated the CBC Foundation’s Annual Legislative Conference. Past years have included appearances by politicians, executives and artists including U.S. Senator and current Democratic vice presidential nominee Kamala Harris, Meek Mill, BJ the Chicago Kid and Rep. Brenda Lawrence (D-NY).
Unveiled in the wake of massive nationwide protests that sprang up following the May 25 killing of George Floyd by Minneapolis police officers, the Task Force for Meaningful Change was designed to review UMG’s commitment to addressing issues of equality and inclusion inside the company and beyond. UMG simultaneously unveiled a $25 million “Change Fund”