Five9 emerges as takeover target, analysts cite revenue model shift

KeyBanc analysts identified Five9 Inc. as a potential acquisition target within the software sector. This speculation follows reports that private equity firm Silver Lake is in discussions to acquire Workday, shifting the M&A landscape for software providers.

Analysts suggest Five9 is an attractive candidate for private equity as it transitions toward a consumption-based revenue model. Such significant business model shifts can often be executed more efficiently away from the pressures of public markets.