By Rashika Singh
Aug 14 (Reuters) - Silver Lake's potential Workday buyout could bolster battered software valuations by showing that private equity remains confident in the industry's prospects despite fears of AI disruption, **** ysts and investors said on Friday.
Shares of the human-resources and financial management software company soared nearly 18% on Thursday after Reuters exclusively reported about its acquisition talks with Silver Lake, which pushed its market value to more than $51 billion.
The enthusiasm provided some relief to a sector hammered this year by fears that AI tools capable of generating computer code and creating applications could erode the need for software services, which have long been one of Silicon Valley's most reliable cash generators.
"If Silver Lake ultimately takes Workday private at a substantial premium, it would be one of the strongest pieces of evidence yet that the public market has overshot in discounting traditional enterprise software because of AI," Brian Mulberry, client portfolio manager at Zacks Investment Research.
#software #lake #private
Aug 14 (Reuters) - Silver Lake's potential Workday buyout could bolster battered software valuations by showing that private equity remains confident in the industry's prospects despite fears of AI disruption, **** ysts and investors said on Friday.
Shares of the human-resources and financial management software company soared nearly 18% on Thursday after Reuters exclusively reported about its acquisition talks with Silver Lake, which pushed its market value to more than $51 billion.
The enthusiasm provided some relief to a sector hammered this year by fears that AI tools capable of generating computer code and creating applications could erode the need for software services, which have long been one of Silicon Valley's most reliable cash generators.
"If Silver Lake ultimately takes Workday private at a substantial premium, it would be one of the strongest pieces of evidence yet that the public market has overshot in discounting traditional enterprise software because of AI," Brian Mulberry, client portfolio manager at Zacks Investment Research.
#software #lake #private
6 days ago
