Workday jumps 25% on report of Silver Lake takeover talks

The company's market value last topped more than $53 billion.

Workday and Silver Lake did not immediately respond to CNBC's request for comment. The potential deal affects Workday's shareholders, employees, and customers, as a takeover by Silver Lake would take the company private.

The reported talks come as software companies face mounting pressure from concerns that artificial intelligence tools will disrupt their business models. In March, co-founder Aneel Bhusri was renamed CEO after Carl Eschenbach stepped down; Bhusri has held various leadership roles at the company, including a stint as CEO and co-CEO.

Analyst Brent Thill told CNBC's "Power Lunch" that Bhusri and Silver Lake's Egon Durban "know each other well through many connections," and that a deal "could make sense" given how badly software has been hit. Thill's comments suggest the potential acquisition reflects broader industry struggles.

This is breaking news, and further updates are expected as the situation develops.