Hope all is well with you and yours … what’s going on out there?
I’ve been talking inflation lately with some PE folks, trying to get a handle on whether firms are feeling impacts of rising prices, and if so, how that factors into their deal calculations and existing portfolio monitoring.
More on this soon, as I’m finishing up a big piece about it. But I thought this was interesting. Orlando Bravo, co-founder of Thoma Bravo, made the point on a panel yesterday that software companies are “a nearly perfect inflation hedge.”
“Look at the entire software industry, the value these customers are receiving by buying these products is so far higher than the price being charged, that if there’s strong pick up in inflation, these companies should be very easily able to pass on those pricing increases to their customers without creating a problem for those customers,” Bravo said Wednesday on a panel at the FT’s Global Boardroom digital conference.
Some GPs have acknowledged rising prices, mostly in industrials and manufacturing, testing the ability of their portfolio companies’ pricing power. Are you seeing evidence of inflation in your portfolio? How are you dealing with it? Hit me up at email@example.com.
Virtual health: General Atlantic led a $110 million Series D funding in Vida, which helps manage chronic mental health conditions and physician health issues like diabetes, writes Sarah Pringle today.
Vida sits at the intersection of behavioral health, virtual care and chronic disease management, driven by AI and machine learning to incentivize patient motivation and behavior change, Sarah writes.
“What we really liked about Vida was the breadth of the services and the integration of behavioral health capabilities into the chronic management capabilities,” said Robbert Vorhoff managing director and global head of GA’s healthcare strategy. Read more here on PE Hub.
Next-gen: Great piece over on our affiliate publication PEI about the future leaders of private equity. A few names of note: from the mega-side: Haide Hong, 36, managing director at Blackstone; Joerg Metzner, 35, director, EMEA private equity at KKR; Antoine Munfakh, 38, senior partner in private equity at Apollo Global Management; and Allyson Satin, managing director at Ares Management.
From secondaries: Sebastien Siou, 32, senior principal at Whitehorse Liquidity Partners; and Henry Zhang, 35, founding partner at Morningside Capital Management.
And some emerging managers: Jarrett Turner, 39, managing partner and founder of Soundcore Capital Partners; Christen Paras, 35, head of business development and IR at MiddleGround Capital. Check out the full presentation here on PEI.
That’s it for today! Reach me with thoughts, feedback, tips n’ gossip at firstname.lastname@example.org or find me on LinkedIn.