MUNICH, July 14 (Reuters) - The German architecture and

construction software developer Nemetschek sees

potential for further acquisitions of up to 2.5 billion euros

($2.92 billion), its Chief Executive Officer Yves Padrines told

Reuters on Monday.

"With our balance sheet strength, and a possible capital

increase if required, we would have the strength to invest

between 2.0 and 2.5 billion euros in takeovers," Padrines said

in an interview.

"We are looking at everything in the Planning and Design and

Build and Construct segments," he added, saying that the bigger

acquisitions would fall under the latter, while Planning &

Design would see smaller deals.

Nemetschek generates around 42% of its revenue in the U.S.

but Padrines played down worries over President Donald Trump's

tariff and migration policies.

"There are no tariffs on software," he said.

In July last year, Nemetschek, which rivals NASDAQ-listed

Autodesk ( ADSK ) in architecture software, acquired U.S.

software developer GoCanvas for around 700 million euros, the

largest acquisition in its history.

The purchase is still putting pressure on margins, but

Padrines believes that is about to change: "GoCanvas will adjust

to our margin level over the years, so we expect an EBITDA

margin in the 30s in the coming years," said Padrines. Last

year, it was at 30.2%.

With its 14.6 billion euro market cap, the company is seen

as a candidate for trading on the country's leading index DAX

.

Padrines expects the company to grow sales at an average

rate of around 15% in the coming years, more than the broader

construction software market, which is expected to grow by just

under double digits.

"The construction industry offers huge potential. I used

to say that only fishing and hunting are less digitalized than

the construction industry. In the meantime, digitalization has

even progressed in fishing," Padrines said.

Architects and engineering firms are also conservative when

it comes to switching software licenses to a subscription model,

which Nemetschek is advancing, Padrines says.

"The shift there will take another few more years," he

said.

($1 = 0.8557 euros)