Business · Companies · 4 hrs ago
Revenue multiples for Brazilian tech firms fell from 7 to 4
Buyers paid lower prices for Brazilian tech companies in 2024-26 than during the pandemic boom, relative to the companies’ revenue.
The median price-to-revenue multiple fell from seven times in 2020-21 to four times in 2024-26.
Low interest rates and a rush to digitize helped drive high startup investment during the pandemic, pushing acquisition prices up.
A study of 30 technology deals worth R$3 billion tracked sales of all or part of companies.
Technology’s share of Brazilian business deals still grew, reaching 25% in 2025, up from 10% in 2006.
One adviser said capital is shifting from software-as-a-service toward the newer artificial intelligence cycle.
Company sales are a key way for venture capital investors to exit, and more than 80% of exits among companies backed by those funds happen through deals like these.
The median revenue multiple paid for acquisitions of Brazilian technology companies fell from seven times in 2020–2021 to four times in 2024–2026.
The figures come from a study by financial advisory firm Ártica, BZCP Advogados and Insper.
The study covered 30 technology-sector transactions in which companies were sold in whole or in part, totaling R$3 billion.
A BZCP partner said the decline points to the end of one investment cycle, as capital shifts from software as a service toward artificial intelligence.
Technology’s share of transactions in Brazil rose from 10% in 2006 to 25% in 2025, according to data analyzed by Ártica.
- Who
- Buyers and investors in Brazilian technology companies.
- What
- The median revenue multiple in acquisitions fell from seven times to four times.
- When
- Seven times in 2020–2021; four times in 2024–2026.
- Where
- Brazil.
- Why
- A BZCP partner said the decline reflects the end of an investment cycle, with capital moving toward artificial intelligence.
This story does not have two clearly opposing sides.
Technology companies accounted for 10% of transactions in Brazil, according to data analyzed by Ártica.
The median revenue multiple paid in acquisitions of Brazilian technology companies was seven times.
Technology companies accounted for 25% of transactions in Brazil, according to data analyzed by Ártica.
The median revenue multiple in the acquisitions fell to four times.
- Median revenue multiple, 2020–2021
- 7 times
- Median revenue multiple, 2024–2026
- 4 times
- Transactions studied
- 30
- Total transaction value
- R$3 billion
- Technology share of transactions, 2006
- 10%
- Technology share of transactions, 2025
- 25%
What people are saying
The software as a service (SaaS) market was highly sought after between 2018 and 2023. With the birth of a new cycle, that of artificial intelligence, we see capital migrating to this wave.