We have focused on the software industry since our founding. We look for companies that research and develop a proprietary software solution and either license it to their customers or leverage it internally to create a technology-enabled service. This includes companies that develop and market:
- Software
- Software-as-a-Service (“SaaS”)
- Technology-enabled business services
- Technology-enabled information services
Our investment size has historically ranged from $20 million to $200+ million in equity capital, but we are capable of financing larger transactions and have provided initial funding below this range as well. Most of our target investments are profitable, or nearly profitable, and are past the venture stage of their lifecycle. We are almost always a majority shareholder and in many cases the only outside investor. This reduces the distractions commonly associated with having multiple financial investors and permits us to take a differentiated long-term and operational perspective.
We are flexible and creative and pursue investments using a variety of transaction types including, but not limited to:
- Management and/or leveraged buyouts
- Growth or acquisition financings
- Recapitalizations or restructurings
- Spinouts or divestitures
- Going private transactions
What is the typical profile of an ideal Vista investment?
We believe there are various elements to the software business model that can create a differentiated, scalable, and highly profitable business. While our portfolio companies need not fit a specific profile, many of our prospective investments have some common characteristics including:
- Existing or potential recurring revenue
- Mission critical, “sticky” solutions
- Experienced management team
- Favorable customer characteristics
- Defensible competitive position
- Favorable market dynamics
- Strong customer value proposition
- Potential for high margins
