Tech Bite

AI Due Diligence: What Your Standard DD is Missing

Private Equity Tech Bites

 

AI-native targets trade at six to nine times revenue against five to seven times for comparable SaaS, and 83% of PE buyers already pay the premium. Yet only one in four evaluated targets is genuinely AI-driven. The rest is a chatbot, ascore, or a wrapper. Standard due diligence was never built to testwhether the AI is real, durable, or compliant. ​

This Tech Bite sets out a dual-lens framework. AI in the product and AI in the operating model and three moves to run before the next IC paper: replicate the claim, map the AI estate before LOI, and scoreboth lenses. ​

What you skip becomes the write-down at exit.

 

 

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Reference items

Expert EN - Clement Mengue M&A

Clement Mengue
Managing Partner
Clement
Mengue

Dr. Clément Mengue is a Managing Partner in EPAM’s Global Private Equity and M&A Strategy Advisory practice, specializing in technology-driven transactions and digital value creation. As EMEA's ...

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Dr. Clément Mengue is a Managing Partner in EPAM’s Global Private Equity and M&A Strategy Advisory practice, specializing in technology-driven transactions and digital value creation. As EMEA's PE and M&A Advisory leader, Clement brings 16+ years of experience advising CxOs and PE firms across Europe, North America, and Africa on navigating complex M&A deals and maximizing portfolio company value. His expertise spans the software, industrial manufacturing, healthcare, and life sciences sectors.

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Expert EN - Raphael Kruchem

Raphael Kruchem
Manager
Raphael
Kruchem

Raphael Kruchem is a Manager at CORE and part of EPAM's Private Equity and M&A Advisory practice. He guides clients in turning strategic decisions into lasting outcomes. He brings international, cr...

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Raphael Kruchem is a Manager at CORE and part of EPAM's Private Equity and M&A Advisory practice. He guides clients in turning strategic decisions into lasting outcomes. He brings international, cross-sector experience spanning industrials, financial services, and automotive, advising clients on complex strategic and transformation challenges.

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