The global IT outsourcing market is projected to grow at a 9% CAGR through 2029. As businesses increasingly look for skilled, cost-effective solutions, Vietnam is emerging as a major player, ranking as one of the most prominent software outsourcing destinations in the world
What Drives High Valuations in the IT Services Industry?
- High-value services (consulting, digital solutions) consistently outperform commoditized offerings.
- A diversified revenue base and strong customer retention (80%+) increase a company’s attractiveness.
- Specialized solutions in cloud, cybersecurity, and AI are essential for securing premium valuations.
- Recurring revenue and strong profit margins (15%+ EBITDA) are highly favored by investors.
- Recent M&A transactions show increased interest in companies with expertise in cloud, cybersecurity, and AI.
At Index Partners, we help our clients navigate these high-growth trends with tailored financial strategies, capital raising, and M&A advisory.
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