Can Britain’s star tech investor dodge the SaaSpocalypse?

Hg’s planned IPO of €19bn software group Visma — expected to be a marquee London listing — has been put on ice after an AI-driven sell-off in software stocks (the “SaaSpocalypse”). The delay pressures Hg’s fund-level economics: its London-listed investment trust is down about 26% year-to-date, portfolio companies were marked at high leverage (average net debt >7x earnings) and valuations (25x) as of December, and a $5bn vehicle holding Visma carries a loan equal to roughly 20% of its value. While Visma still grows ~20% YoY (Q1 adjusted EBITDA €270m) and some investors back Hg’s AI-readiness, public-market multiples for comparable financial management software (~10x forward earnings) imply a re-rating risk. Hg may pursue private realisations or a smaller float, but the episode raises broader questions for UK listings and software buyouts as markets increasingly differentiate AI “winners” and “losers.”