Preparing for tech due diligence: What Private Equity firms expect from CIOs, CISOs and CTOs
In today’s private equity landscape, technology is a core value driver. As a result, CIOs, CTOs and CISOs are increasingly seen as key to a successful investment, not just in the transformation phase but from the earliest stages of due diligence. For PE firms, assessing the quality of tech leadership is now as important as evaluating the tech stack.
For senior technology executives, this shift is both an opportunity and a challenge. Success in a PE-backed environment now requires a broader set of capabilities — not only technical expertise, but commercial fluency, adaptability and strong leadership skills.
Why PE firms are rethinking the role of tech leadership
Historically, technology leaders were assessed primarily on operational delivery — maintaining systems, managing vendors and mitigating cybersecurity threats. But in a PE-backed company, the expectations are different. Today’s tech leaders are expected to do more than manage technology — they must be commercially minded, strategic operators who use technology to drive efficiency, enable growth and guide organisations through transformation. The best CIOs, CTOs and CISOs can communicate effectively, deliver at pace and help realise the investment thesis.
What are the key attributes of successful tech leaders in PE-backed companies?
Commercially minded
PE investors want to see that a tech leader can link technology decisions to financial outcomes. This means understanding growth metrics, EBITDA drivers and value creation plans, while also understanding where technology, such as the rapid evolution of AI, can meaningfully unlock growth.
Strategic
In fast-moving, resource-constrained environments, sharp focus is critical. Strong leaders know how to assess, prioritise and align the tech roadmap with business strategy. They need to instil confidence that transformation plans are realistic and actionable.
Results-driven
The ability to deliver quickly and reliably is essential. Whether it’s leading a carve-out, managing integration or driving automation, PE-backed businesses need technology leaders who can act with urgency and discipline.
Adaptable
PE environments are rarely stable. Companies may be expanding, restructuring or replatforming, often within tight timeframes. The most effective CIOs, CTOs and CISOs are resilient, pragmatic and able to lead teams through periods of transformation.
Stakeholder communication skills
Effective communication at board level is key. Tech leaders must bring clarity to complex technical issues, speak the language of investors and be confident under scrutiny. Those who thrive often act as a bridge between operational teams and the boardroom.
The growing role of interim and fractional technology leaders
In the early stages of ownership, especially during carve-outs or turnarounds, PE firms are increasingly turning to interim or fractional technology executives. These leaders bring specialised expertise and stability during transitional periods, helping to build the foundation for longer-term success.
Hiring the right technology leadership for your portfolio companies
So, what makes a technology hire indispensable to investors? As expectations for CIOs, CTOs and CISOs in PE-backed businesses continue to evolve, it’s no longer enough to manage systems. Tech leaders must drive change, influence strategy and achieve results. Those who combine technical expertise with commercial awareness and strong executional skills will be most in demand.
At InX, we monitor the PE industry’s evolving talent needs. Get in touch today to find out how we can help your firm secure the right tech leadership for its portfolio companies.