Thoma Bravo’s Record $34.4B Fundraise: What Every B2B and SaaS Founder Needs to Know
Why This Matters for Your B2B Startup:
1. The Software-First PE Giant Just Got Bigger – With $34.4 billion across three funds, Thoma Bravo now commands approximately $184 billion in assets under management. This isn’t just another PE firm—it’s the world’s largest software-focused investor, and they’re doubling down on your sector.
2. Exit Windows Are Opening Again – Thoma Bravo has been active in follow-ons in 2024, notably placing a $2.7B block in Nasdaq and preparing for IPO market return in 2025. Translation: liquidity events are coming back for software companies. It’s early but they are coming back.
3. Mid-Market SaaS Is Getting Serious Attention – Their Discover Fund V raised $8.1 billion for its Discover fund, which targets midsize software companies. That’s up from $6.2 billion in 2022. If you’re a $10M-$100M ARR company, you’re squarely in their crosshairs.
4. The Bar for Software Quality Just Rose – Future Thoma Bravo-led IPO candidates are expected to be highly profitable, fast growing companies. The “growth at all costs” era is definitively over. Profitability + growth is the new standard.
5. Consolidation Acceleration Is Coming – The company focuses on the application, infrastructure and cybersecurity software and technology-enabled business service sectors, and uses a “consolidation” or “buy and build” investment strategy. Expect more roll-ups in your vertical.
The Fundraise That Broke Records
On June 3, 2025, Thoma Bravo quietly announced one of the largest private equity fundraises in history. While other PE firms struggle in today’s challenging environment, the software specialist closed three funds totaling $34.4 billion—all oversubscribed and completed within the typical one-year timeframe.
The headline numbers tell the story of institutional confidence in software investing:
- Thoma Bravo Fund XVI: $24.3 billion (flagship buyout fund)
- Thoma Bravo Discover Fund V: $8.1 billion (mid-market focus)
- Europe Fund: €1.8 billion (first dedicated European vehicle)
To put this in perspective, none of the other buyout funds that closed in the first quarter of 2025 exceeded $5 billion. In a market where most PE firms are struggling to raise capital, Thoma Bravo’s success stands out dramatically.
The Software Investing Machine
Founded in 1980 as Golder Thoma & Co., Thoma Bravo has evolved into something unprecedented: a private equity firm that exclusively focuses on software and technology-enabled services. The numbers behind their platform are staggering:
- 535+ software companies in their investment history
- $30 billion in annual revenue across current portfolio
- 93,000+ employees globally across portfolio companies
- $275 billion in enterprise value across all deals
Their current portfolio reads like a who’s who of B2B software: ServiceTitan, SailPoint, Qlik, Hyland, ConnectWise, Aptean, and dozens more. The company has completed over 440 software deals.
And importantly, in an age where liquidity has recently dried up, Thoma Bravo has returned $30 Billion to its investors since 2023:
What Makes Thoma Bravo Different
Thoma Bravo has built their entire organization around understanding software businesses. This specialization shows in their approach:
The “Buy and Build” Strategy: uses a “consolidation” or “buy and build” investment strategy. They don’t just buy companies—they systematically consolidate fragmented software markets through strategic acquisitions.
Operational Excellence: They spend up to 18 months preparing portfolio companies for IPOs. This includes fine-tuning financial reporting, ensuring reliable forecasting, and building confidence in the company’s ability to meet and exceed market expectations.
Patient Capital: Recent major acquisitions include Darktrace, a UK-based cybersecurity company, in a private transaction valued at $5.3 billion and portions of Boeing’s Digital Aviation Solutions business from its Boeing Global Services division, including its Jeppesen, ForeFlight, AerData and OzRunways assets for $10.55 billion.
The Exit Engine That Actually Works
While the broader PE industry sits on a record 29,000 companies valued at $3.6 trillion, half of which have been held for five years or more, Thoma Bravo has maintained a strong track record of liquidity events.
Recent exit highlights include:
- Adenza to Nasdaq: $10.5 billion in a cash-and-stock deal in 2023
- Dynatrace full exit: Successfully completed earlier this year
- SailPoint IPO: $9.8B valuation today
The firm builds strong relationships with potential buyers by ‘selling them companies that they make a lot of money from’, according to founder Orlando Bravo. This approach to value creation for all stakeholders—not just financial engineering—explains their continued success.
The Market Dynamics Driving Success
Several factors explain why Thoma Bravo succeeded in raising massive capital while others struggle:
Software Resilience: Even in economic downturns, mission-critical B2B software maintains high retention rates and predictable revenue streams. Thoma Bravo’s success exemplifies how limited partners view the firm as a safe bet in the face of regulatory uncertainty.
Secular Growth Trends: Digital transformation, cybersecurity, and automation continue driving enterprise software adoption regardless of economic cycles.
Proven Track Record: In February 2024, Fortune published an analysis of the top ten private equity investors in tech of 2021 by amount invested. Thoma Bravo made the highest number of acquisitions valued at over $58 billion that year.
What This Means for Your B2B Business
If You’re Building a Company: The message is clear—software remains the most attractive sector for institutional capital. However, the bar for quality has risen significantly. Profitable growth, not just growth, is the new requirement.
If You’re Considering an Exit: Thoma Bravo’s war chest means they’ll be active buyers across all segments. Their focus on midsize software companies through the Discover Fund suggests strong demand for companies in the $25M-$100M ARR range.
If You’re in a Fragmented Market: Expect consolidation. Thoma Bravo’s buy-and-build strategy means they’re actively looking for platform companies to build around, and add-on acquisitions to bolt onto existing portfolio companies.
If You’re Planning an IPO: Thoma Bravo is likely to wait for peers to successfully reopen the IPO market before moving forward with its own listings. When they do move, expect high-quality offerings that set new standards for software IPOs.
The Team Behind the Machine
Led by managing partners Orlando Bravo, Seth Boro, Scott Crabill, Lee Mitchell, Holden Spaht, and Carl Thoma, the firm has built a sophisticated operation spanning Chicago, Dallas, London, Miami, New York, and San Francisco. Thoma Bravo has a team of 169 members including 44 Partners.
Jennifer James, Managing Director and COO, emphasized the fundraise’s significance: “The successful completion of our fundraise underscores the enduring trust our investors have in Thoma Bravo’s approach and team. All three funds far exceeded their targets, reflecting not only the strength of our investor relationships but also their conviction in our ability to navigate complex markets.”
Looking Ahead: What’s Next
With $34.4 billion in fresh capital, Thoma Bravo will likely accelerate their investment pace. The firm has had an active 12 months on both the buy and sell side, with buyout fund investments and realizations representing approximately $35 billion in combined enterprise value.
For B2B and SaaS founders, this represents both opportunity and competitive pressure. The opportunity lies in having a well-capitalized, software-focused buyer with deep operational expertise. The pressure comes from rising standards for software businesses and increased consolidation activity.
The bottom line? Software remains the most attractive asset class for institutional investors, but only for companies that combine strong growth with sustainable unit economics. In Thoma Bravo’s world, that’s exactly the kind of business they’re building their empire around.
The software gold rush isn’t over—it’s just getting more sophisticated.
