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EUROPEAN TECHNOLOGYINDUSTRY UPDATE │ NOVEMBER 2015

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RECENT DEVELOPMENTS

1

COMPANY SPECIFIC NEWS

Liberty Global has made an offer to acquire Cable & Wireless Communications, the UK-based provider of mobile and broadband services, valuing the business at c.£5.8bnActivision Blizzard has agreed to acquire King Digital Entertainment, the Ireland-baseddigital entertainment and mobile games company, valuing the business at $4.8bnSilver Lake Partners and Thoma Bravo have agreed to acquire SolarWinds, the US-basedprovider of information technology infrastructure management software, valuing thebusiness at $4.1bnExpedia has agree to acquire HomeAway, the US-based operator of a vacation rentalwebsite, valuing the business at $3.3bnWEX has agreed to acquire Electronic Funds Source, the US-based provider of customisedpayment solutions, from Warburg Pincus, valuing the business at $1.5bnNaspers has agreed to acquire a 50.5% stake in Avito, the Sweden-based online retailer ofIT products, for a consideration of $1.2bnEndurance has agreed to acquire Constant Contact, the US-based provider of onlinemarketing solutions, valuing the business at $894mRoper Technologies has agreed to acquire Aderant, the US-based developer of businessmanagement software for law and professional services firms, from Madison DearbornPartners, valuing the business at $675mElectra Partners and Exponent Private Equity have agreed to acquire PhotoBox, the UK-based provider of online digital photo services, including photo developing, printing,storing and sharing, valuing the business at £400mRizvi Traverse Management has agreed to acquire ReaID, the US-based provider of 3Dtechnology for displays in cinemas, valuing the business at $524mRoper Technologies has agreed to acquire CliniSys Solutions, the UK-based provider ofclinical laboratory information technology solutions, from Montagu Private Equity, valuingthe business at £170mRockaway Capital has agreed to acquire Heureka.cz, the Czech Republic-based operatorof online comparison search engines in the Czech Republic and Slovakia, and Netretail,the Czech Republic-based pure play internet retailer in Central and Eastern Europe, fromNaspers, valuing the businesses at $201mCCL Industries has agreed to acquire Worldmark International, the UK-based supplier ofproduct identification systems, components and service solutions to the electronics andtelecoms industries, valuing the business at CAD$ 252mACI has agreed to acquire Pay.On, the Germany-based provider of eCommerce paymentgateway services, valuing the business at €180mITV has agreed to acquire UTV Television, the television assets of UK-based UTV Media, for aconsideration of £100mBurda Digital has agreed to acquire jameda, the Germany-based physician ratings portaland online platform for booking appointments with physicians, from Tomorrow Focus,valuing the business at €47mZendesk has acquired We Are Cloud, the France-based designer and developer of webbased SaaS business intelligence application BIME, from Alven Capital Partners, valuing thebusiness at $45mWest Corporation has acquired Magnetic North Software, the UK-based provider ofproprietary hosted customer contact centre and unified communications solutions, valuingthe business at $39mGravity4 has acquired Conyak, a Denmark-based software company specialising indynamic creative optimisation, valuing the business at c.€25mComparex has acquired a 51% stake in Dataserv Information Technologies, the Turkey-based provider of IT optimisation and security solutionsHostelworld Group, the Ireland-based hostel-focused online booking platform, has raised£133m through an IPOSoftcat, the UK-based provider of IT infrastructure, has raised £153m through an IPO


CONTENTS RECENT DEVELOPMENTS PUBLIC MARKET TRADING SOFTWARE IT SERVICES COMMUNICATIONS INTERNET AND DIGITAL MEDIA

TMT GROUP OVERVIEWOur Technology, Media & Telecom (TMT) Group is dedicated to providing superior merger & acquisition and capital markets advisory services to market leading companies. Our extensive industry knowledge and transaction leadership experience spans the software, digital media, IT services and communications sectors. Our professionals in London, Boston and San Francisco have global relationships with leading technology companies and financial investors. Thoughtful advice, deep experience and technology expertise, creativity and attention to detail from our senior technology bankers have resulted in a track record of consistently exceeding our clients' expectations.

CONTACTS

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Thierry MonjauzeManaging [email protected]+44 (0) 20 7518 8901

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Nov 2014 Feb 2015 May 2015 Aug 2015 Nov 2015

Communications DJ Stoxx 600 Technology

Internet and Digital Media IT Services

Nasdaq Composite Software

Digital ad spending in Western Europe is expected to reach $35.3bn in 2015, rising to $45.0bn in 2019, representing a CAGR of 6.3%, according to eMarketer

The global IT security market spend is expected to reach $115.9bn in 2019, growing from $84.3bn in 2015, representing a CAGR of 8.3%, according to research released by Gartner

Mobile phone messaging apps will be used by more than 1.4bn consumers in 2015, up 31.6% on the previous year according to eMarketer. The growth in popularity of messaging apps is projected to continue and eMarketer predicts that by 2018, the number of chat app users worldwide will reach 2bn, representing 80% of smartphone users

A new study by Juniper Research has found that the number of VoLTE (Voice over LTE) connections is expected to reach 2.0bn by 2020, rising from an estimated 123m in 2015, representing a CAGR of 74.7%

Spending on technology and services related to Big Data is set to surge up to 2019, according to IDC, which expects that software will be the main growth driver. Between 2014 and 2019, the market is expected to grow at a CAGR of 23.1% and annual spend is expected to reach €45.3bn by 2019

According to eMarketer, the world's most advanced tablet market is Western Europe, with tablet user penetration reaching 35.5% (% of population) in 2014. The number of tablet users expected to reach 205m in 2019 (48.4% tablet user penetration), representing a CAGR of 7.0%

INDUSTRY TRENDS

RECENT DEVELOPMENTS

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LAST TWELVE MONTHS

Stock PerformanceLAST 30 DAYS

PUBLIC MARKET TRADING STATISTICS

Source: Various industry news outlets

8.8%8.6%8.2%5.1%0.8%

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15 Oct 22 Oct 29 Oct 05 Nov 12 Nov

Communications DJ Stoxx 600 TechnologyInternet and Digital Media IT ServicesSoftware Nasdaq Composite

6.1%1.8%1.3%1.2%0.5%

(6.8%)

http://www.emarketer.com/Article/Western-Europe-Digital-Ad-Spending-Increases-Three-Times-Rate-of-Total-Media/1013213

http://www.gartner.com/document/3166228?ref=solrResearch&refval=158645103&qid=d2c53be046fc4ff4bb4ccd0a0bf37168

http://www.emarketer.com/Article/Mobile-Messaging-Reach-14-Billion-Worldwide-2015/1013215

http://www.juniperresearch.com/

http://www.channelnomics.eu/channelnomics-eu/news/2434398/big-data-is-big-business-market-worth-forecast-to-reach-usd50bn-a-year-by-2019

http://www.emarketer.com/Article/Worlds-Most-Advanced-Tablet-Market-Western-Europe/1012987

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Hewlett-Packard has completed its split into two independent companies: Hewlett Packard Enterprise, which will manage software and other services, including Cloud, Big Data, security and mobility; and HP Inc., which will continue to operate the printing and personal systems businesses

“As two independent, industry-leading companies, Hewlett Packard Enterprise and HP Inc. can drive more focused business strategies, innovation roadmaps, and go-to-market models. The separation will also present better choices for investors by creating two distinct and attractive investment profiles”

Meg Whitman, CEO

Pegasystems, the US-based company which develops and supports strategic software applications for CRM and workflow automation, performed the strongest within the Infrastructure Software sector, with its stock price increasing by 35.4% over the past 12 months. This performance was driven by strong double-digit product revenue growth across its entire offering and underpinned by 49.0% recurring revenue. The company has built a strong Cloud backlog, which will support continued double-digit growth over the next 12-18 months

Red Hat, the US-based provider of Open Source Solutions, has experienced exceptional growth over the last 12 months driven by its market leading position within the paid Linux server segment. This segment has experienced a CAGR of 11.0% since 2012, to reach $1.9bn in 2014, according to Gartner. Red Hat is the market leader within this segment, with a market share of c.68%

SELECT COMPANY PERFORMANCE AND NEWS

SECTOR IN FOCUS – INFRASTRUCTURE SOFTWARE

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LAST TWELVE MONTHS

Stock Performance


Sources: Deutsche Bank, JP Morgan, Gartner and Bloomberg News

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SolarWinds Vmware HP Red Hat Citrix Systems

CA F5 Networks Brocade Communications NetScout Systems Software

Pegasystems Progress Software Radware

Pegasystems 35.4%Red Hat 23.5%Software 20.0%Citrix Systems 18.5%SolarWinds 16.1%Progress Software (10.0%)Brocade Communications (11.4%)CA (11.8%)NetScout Systems (11.8%)F5 Networks (20.2%)Radware (27.2%)Vmware (32.2%)HP (38.3%)

(1) HP has been normalised to reflect the split into two independent businesses

(1)

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COMPARABLE TRADING SUMMARY

Rev. Growth EBITDA Margin CY2015E CY2016E CY2015E CY2016E CY2015E CY2016E

SoftwareEuropean Large Cap. Software 32.1% 33.5% 5.4x 5.0x 16.2x 14.6x 24.7x 22.1xApplication Software 3.2% 26.4% 4.5x 4.0x 15.1x 15.3x 21.5x 22.6xInfrastructure Software 9.9% 29.2% 3.4x 3.0x 11.9x 10.8x 17.1x 17.8xLarge Cap. SaaS 29.9% 13.6% 8.5x 6.7x 30.6x 26.6x 39.3x 39.8xSmall Cap. SaaS 22.7% 6.2% 5.0x 4.0x 32.3x 30.4x NM 40.5xHCM/WFM 22.3% 7.8% 7.3x 5.8x 30.1x 22.5x NM 26.4xFinTech 12.8% 27.3% 5.5x 4.7x 15.7x 16.1x 25.3x 22.9xHealthcare IT 7.4% 12.0% 3.3x 2.9x 14.5x 12.5x 24.2x 22.7xData and Data Analytics 11.9% 24.8% 4.9x 4.3x 10.6x 10.0x 17.5x 16.3xSecurity Software 17.3% 22.0% 5.5x 4.7x 13.4x 13.9x 19.7x 26.2xCAx/PLM 1.0% 26.5% 5.0x 4.7x 20.1x 14.7x 29.5x 24.4x

IT ServicesIT Services (0.0%) 12.5% 1.1x 1.0x 9.3x 7.9x 17.0x 15.3xOffshore IT Services 11.4% 24.0% 3.2x 2.9x 13.4x 11.8x 19.5x 18.3xManaged Services, Colocation and Hosting 9.7% 29.1% 2.8x 2.6x 10.2x 9.0x 22.0x 20.0xData Centres 9.3% 52.7% 8.2x 7.3x 15.6x 13.7x 30.1x 31.8xPaaS/IaaS 13.6% 24.9% 3.8x 3.2x 10.0x 8.5x 16.8x 19.1x

CommunicationsDigital Broadband (2.8%) 10.6% 1.2x 1.1x 12.3x 9.2x 18.4x 20.8xDiversified Communication Equipment (1.2%) 10.6% 1.1x 1.0x 12.2x 8.4x 21.8x 15.1xMobile Content/Solutions Providers 8.5% 13.1% 1.6x 1.4x 13.3x 8.6x NM 23.8xMobile Infrastructure Software (0.0%) 23.4% 2.5x 2.3x 10.8x 8.1x 20.2x 16.3x

Internet and Digital MediaGlobal Internet Leaders 9.7% 35.0% 6.6x 5.5x 19.4x 16.2x 23.2x 21.6x

Chinese Internet Leaders 43.2% 0.3% 5.7x 4.0x 26.0x 15.4x 28.0x 26.5xOnline Classifieds 12.8% 32.5% 6.1x 5.1x 19.6x 14.9x 23.0x 23.5xContent Providers/Communities 20.5% 17.1% 4.6x 3.7x 27.1x 18.5x 22.2x 33.5xEcommerce 13.7% 18.7% 4.3x 3.6x 20.0x 17.4x 26.1x 26.9xInteractive Entertainment (0.9%) 25.4% 3.1x 2.7x 11.2x 10.2x 23.2x 19.0x

Intermediation and Comparison 22.5% 17.3% 3.1x 2.9x 18.4x 14.0x 20.5x 22.7xOnline Gambling 4.7% 24.4% 3.8x 3.2x 15.2x 13.4x 21.1x 23.4xDigital Marketing 19.7% 12.9% 2.9x 2.3x 10.9x 15.6x 20.4x 17.4xOnline Travel 11.3% 20.7% 4.7x 4.1x 15.2x 12.1x 27.1x 25.1xEducational Technology (1.2%) 1.9% 1.8x 1.5x 5.0x 10.3x 19.9x 28.1xInternet Services 37.2% 12.7% 3.3x 2.8x 12.5x 17.7x 16.4x 30.0x

P / EEV / Revenue EV / EBITDACY2015E

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Application Software CAx/PLM Data and Data Analytics European Large Cap. Software

Fintech HCM/WFM Healthcare IT Infrastructure Software

Large Cap. SaaS Security Software Small Cap. SaaS

SOFTWARE

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LAST 30 DAYS PERFORMANCE

LAST TWELVE MONTHS PERFORMANCE

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Application Software CAx/PLM Data and Data Analytics European Large Cap. Software

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Large Cap. SaaS Security Software Small Cap. SaaS

European Large Cap. Software 19.8%Small Cap. SaaS 19.8%Fintech 18.5%Data and Data Analytics 12.5%Large Cap. SaaS 7.5%Application Software 4.8%Security Software 3.2%HCM/WFM (1.1%)CAx/PLM (2.3%)Healthcare IT (4.8%)Infrastructure Software (35.8%)

HCM/WFM 11.6%Application Software 7.4%European Large Cap. Software 4.5%Large Cap. SaaS 4.2%CAx/PLM 3.1%Fintech 2.7%Small Cap. SaaS 0.0%Data and Data Analytics (0.2%)Security Software (4.2%)Healthcare IT (5.3%)Infrastructure Software (22.5%)

(1) Infrastructure Software index has been normalised to reflect Hewlett Packards’ split into two independent businesses

(1)

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Market Enterprise CY2015ECap ($m) Value ($m) EBITDA Margin Rev. Growth CY2015E CY2016E CY2015E CY2016E CY2015E CY2016E

European Large Cap. SoftwareSAP 93,488 99,590 34.7% 3.8% 4.5x 4.3x 13.0x 12.3x 19.8x 18.1xDassault Systemes 19,889 18,591 33.7% 7.9% 6.1x 5.6x 18.1x 16.2x 33.1x 29.6xSage 8,771 9,546 30.8% 3.3% 4.5x 4.2x 14.6x 14.1x 21.4x 19.9xMicro Focus 4,197 5,587 38.2% (10.7%) 4.6x 4.6x 12.1x 10.8x 15.7x 13.4xTemenos 3,122 3,526 35.0% 11.4% 6.5x 5.9x 18.7x 15.7x 27.5x 24.0xAveva 1,982 1,821 28.6% (8.4%) 5.9x 5.6x 20.5x 18.7x 30.9x 27.8x

Mean 33.5% 1.2% 5.4x 5.0x 16.2x 14.6x 24.7x 22.1xMedian 34.2% 3.5% 5.2x 5.1x 16.4x 14.9x 24.5x 21.9x

Application SoftwareMicrosoft 422,081 361,576 32.3% (3.1%) 4.0x 3.8x 12.4x 10.2x 20.2x 18.1xOracle 159,071 145,632 46.0% (3.0%) 3.9x 3.8x 8.4x 8.1x 14.7x 13.6xSAP 93,488 99,590 34.7% 3.8% 4.5x 4.3x 13.0x 12.3x 19.8x 18.1xIntuit 26,768 25,571 31.1% (3.8%) 5.8x 5.4x 18.8x 14.8x 34.4x 26.8xConstellation Software 8,783 9,004 25.0% 9.2% 5.0x 4.2x 19.8x 16.6x 24.9x 21.0xSage 8,771 9,546 30.8% 3.3% 4.5x 4.2x 14.6x 14.1x 21.4x 19.9xTyler Technologies 5,719 5,471 26.5% 17.9% 9.4x 7.2x 35.5x 25.4x NM 48.6xGuidewire Software 4,061 3,489 17.8% 6.1% 9.0x 8.1x NM 43.3x NM NMIFS 1,014 985 17.7% 1.2% 2.6x 2.4x 14.4x 12.3x 36.0x 25.4xSDL 512 499 9.5% 3.1% 1.2x 1.1x 12.5x 10.3x 21.4x 17.3xCegid 480 536 27.2% (6.3%) 1.8x 1.7x 6.5x 6.2x 18.2x 16.6xAmerican Software 279 213 18.2% 9.7% 1.9x 1.8x 10.5x 9.6x 25.0x 23.8x


Infrastructure Software VMware 24,718 19,001 35.7% 10.0% 2.9x 2.6x 8.0x 8.0x 14.5x 13.9xHewlett-Packard Enterpise Co. 24,078 22,939 15.5% NA 0.4x 0.4x 2.9x 2.9x NA NARed Hat 14,228 13,780 26.5% 14.5% 7.0x 6.1x 26.4x 22.7x NM 37.5xCitrix Systems 11,984 12,229 32.3% 3.6% 3.8x 3.6x 11.7x 12.2x 20.2x 18.6xCA Technologies 11,640 10,978 39.8% (7.8%) 2.7x 2.7x 6.9x 6.7x 11.4x 10.8xF5 Networks 7,176 6,402 39.6% 8.4% 3.3x 3.0x 8.3x 9.5x 15.2x 14.1xSolarwinds 4,165 4,062 39.8% 18.6% 8.0x 6.8x 20.1x 15.0x 27.3x 24.3xBrocade 4,142 3,614 29.7% 1.8% 1.6x 1.6x 5.4x 5.6x 10.0x 9.8xNetscout Systems 3,331 3,263 25.8% 77.0% 4.1x 2.5x 16.1x 8.9x 17.7x 15.0xSoftware AG 2,167 2,169 29.7% (11.7%) 2.3x 2.3x 7.9x 8.0x 12.4x 12.4xPegasystems 2,162 1,938 16.7% 12.2% 2.9x 2.6x 17.3x 14.9x 35.9x 32.0xProgress Software 1,193 1,119 33.9% 22.7% 2.8x 2.6x 8.1x 8.1x 15.5x 15.2xRadware 675 583 17.8% (2.1%) 2.7x 2.5x 15.1x 14.7x 20.9x 19.7x


Large Cap. SaaSSalesforce 49,560 50,411 17.4% 23.3% 7.6x 6.3x 43.7x 31.4x NM NMWorkday 15,151 13,747 6.0% 47.5% 11.9x 8.7x NM NM NM NMNetSuite 6,709 6,619 7.1% 33.5% 9.0x 6.9x NM NM NM NMAthenahealth 6,260 6,442 19.6% 23.8% 7.0x 5.7x 35.6x 29.8x NM NMThe Ultimate Software Group 5,726 5,606 24.1% 21.9% 9.1x 7.4x 37.8x 30.0x NM NMGuidewire Software 4,061 3,489 17.8% 6.1% 9.0x 8.1x NM 43.3x NM NMVeeva Systems 3,520 3,082 29.2% 28.9% 7.7x 6.1x 26.3x 20.7x NM 46.4xMedidata Solutions 2,417 2,380 22.9% 18.3% 6.0x 5.0x 26.0x 20.3x NM 40.3xFleetmatics 2,220 2,058 32.3% 22.9% 7.2x 6.0x 22.4x 18.0x 39.3x 32.7xPaylocity 2,173 2,094 7.2% 44.3% 11.6x 8.7x NM NM NM NMCornerstone OnDemand 1,883 1,899 (0.9%) 31.1% 5.6x 4.3x NM NM NM NMLogMeIn 1,783 1,537 25.1% 22.3% 5.7x 4.8x 22.6x 19.5x NM 39.8xCvent 1,352 1,193 12.6% 32.1% 6.4x 5.1x NM 45.7x NM NM


EV / Revenue EV / EBITDA P / E

SOFTWARE

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(1) CY2014 adjusted to reflect pro forma revenue growth due to Attachmate Group acquisition

(1)

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Small Cap. SaaSSPS Commerce 1,187 1,064 13.8% 24.5% 6.7x 5.6x 48.6x 38.9x NM NMBenefitfocus 1,096 1,062 (19.4%) 34.6% 5.8x 4.6x NM NM NM NMCallidus 1,096 1,001 10.5% 28.6% 5.8x 4.7x NM 40.7x NM NMTextura 628 555 11.0% 38.0% 6.4x 4.9x NM 26.2x NM 46.9xJIVE 370 263 2.9% 9.7% 1.3x 1.3x 46.4x 31.8x NM NMChannel Advisors 348 291 (3.2%) 15.2% 3.0x 2.6x NM NM NM NMSciQuest 324 188 18.8% 2.1% 1.8x 1.7x 9.5x 8.3x NM 35.1xMarin Software 138 108 (10.4%) 8.7% 1.0x 1.0x NM NM NM NM

Mean 6.2% 22.7% 5.0x 4.0x 32.3x 30.4x NM 40.5xMedian 11.0% 26.3% 5.8x 4.7x 30.6x 29.2x NM 39.9x

HCM/WFMWorkday 15,151 13,747 6.0% 47.5% 11.9x 8.7x NM NM NM NMThe Ultimate Software Group 5,726 5,606 24.1% 21.9% 9.1x 7.4x 37.8x 30.0x NM NMPaylocity 2,173 2,094 7.2% 44.3% 11.6x 8.7x NM NM NM NMCornerstone OnDemand 1,883 1,899 (0.9%) 31.1% 5.6x 4.3x NM NM NM NMBenefitfocus 1,096 1,062 (19.4%) 34.6% 5.8x 4.6x NM NM NM NMATOSS Software 246 223 26.1% 2.7% 4.7x 4.3x 17.9x 15.9x NA NAHalogen 127 88 (5.8%) 16.1% 1.3x 1.2x NM NM NM NMInvision Software 111 112 25.1% (19.7%) 8.7x 7.6x 34.5x 21.7x NM 26.4x


Healthcare ITMcKesson 41,394 46,918 2.7% 10.7% 0.2x 0.2x 9.2x 8.5x 14.3x 13.0xCerner 19,346 19,512 32.2% 30.9% 4.4x 3.9x 13.7x 11.6x 27.3x 24.0xSysmex 12,751 12,324 26.2% 17.5% 6.0x 5.3x 23.0x 20.0x NM 40.2xAllscripts Healthcare Solutions 2,756 3,331 17.7% 0.0% 2.4x 2.3x 13.5x 11.6x 31.4x 25.2xCompuGroup 1,511 1,875 20.4% (7.6%) 3.2x 3.0x 15.8x 12.9x 20.3x 17.1xEMIS 1,003 1,008 30.8% 14.4% 4.1x 3.9x 13.4x 12.4x 23.3x 21.0xCegedim 466 648 18.4% (50.1%) 1.2x 1.2x 6.5x 6.0x NM 14.2xSectra Aktiebolag 461 430 18.9% 0.1% 3.7x 3.3x 19.5x 15.9x 25.9x 27.3xComputer Programs & Systems 448 410 17.8% (12.2%) 2.2x 2.1x 12.5x 9.4x 21.1x 16.9xCastlight Health 364 217 (84.3%) 69.3% 2.9x 2.2x NM NM NM NMCraneware 317 277 31.6% 8.5% 5.7x 5.2x 18.2x 17.0x 30.0x 28.2x


Security SoftwareCheck Point 14,619 13,319 57.6% 9.2% 8.2x 7.6x 14.2x 13.3x 19.6x 17.8xPalo Alto Networks 13,429 13,127 18.4% 53.5% 11.8x 8.8x NM 34.8x NM NMSymantec 13,315 11,698 32.3% (18.8%) 2.2x 3.1x 6.7x 8.9x 13.1x 17.0xVerisign 9,095 9,065 67.3% 4.3% 8.6x 8.1x 12.8x 12.0x 26.8x 24.1xFortinet 5,714 4,806 16.4% 33.5% 4.8x 3.8x 29.1x 22.7x NM 48.7xGemalto 5,524 6,057 17.4% 10.6% 1.8x 1.7x 10.4x 9.1x 16.5x 13.7xTrend Micro 5,301 4,285 33.4% 6.0% 4.3x 3.8x 12.7x 11.6x 28.9x 27.7xFireEye 3,573 3,100 (26.9%) 47.5% 5.0x 3.8x NM NM NM NMProofpoint 2,872 2,797 1.4% 37.5% 10.6x 8.2x NM NM NM NMImperva 2,199 1,946 3.3% 41.5% 8.5x 6.7x NM NM NM NMQualys 1,226 1,051 32.7% 23.7% 6.4x 5.2x 19.6x 16.1x NM 44.3xBarracuda Networks 1,011 798 23.7% 16.5% 2.6x 2.2x 10.9x 8.5x NM 43.1xAVG Technologies 992 1,113 35.4% 15.6% 2.6x 2.4x 7.4x 6.6x 10.6x 9.3xVasco Data Security 773 589 24.8% 24.8% 2.5x 2.5x 9.9x 11.9x 15.5x 18.2xF-Secure 496 410 18.7% (16.2%) 2.6x 2.4x 13.9x 11.8x 26.6x 24.5xIntercede 100 92 (3.4%) (12.8%) 5.5x 4.2x NM NA NM NM


P / EEV / Revenue EV / EBITDA

SOFTWARE

7


PAGE |


Fintech Intuit 26,768 25,571 31.1% (3.8%) 5.8x 5.4x 18.8x 14.8x 34.4x 26.8xFiserv 21,570 25,496 34.0% 4.7% 4.8x 4.6x 14.2x 13.3x 24.4x 21.8xPaychex 18,878 18,340 42.4% 8.7% 6.4x 6.0x 15.2x 14.3x 25.6x 24.7xFidelity Information Services 18,368 22,973 30.7% 0.8% 3.5x 2.7x 11.5x 9.0x 19.9x 17.1xMSCI 7,261 7,846 44.4% 7.1% 7.3x 6.7x 16.5x 14.8x 29.4x 24.4xSS&C Technologies 6,797 9,122 43.7% 34.6% 8.8x 6.2x 20.2x 14.2x 26.6x 21.6xJack Henry 6,146 6,062 34.6% 3.3% 4.7x 4.4x 13.5x 12.4x 28.7x 26.1xGuidewire 4,061 3,489 17.8% 6.1% 9.0x 8.1x NM 43.3x NM NMTemenos 3,122 3,526 35.0% 11.4% 6.5x 5.9x 18.7x 15.7x 27.5x 24.0xFair Isaac 2,704 3,225 23.2% 6.2% 3.8x 3.7x 16.3x 13.6x 17.6x 14.3xPaycom 2,426 2,403 21.7% 49.9% 10.9x 8.3x NM 38.3x NM NMSimCorp 2,112 2,074 28.3% 3.8% 6.9x 6.3x 24.4x 21.5x 35.2x 30.2xEllie Mae 1,836 1,731 26.3% 59.8% 6.9x 5.6x 26.3x 20.7x NM 34.9xEbix 1,144 1,297 37.0% 26.9% 4.9x 4.7x 13.4x 12.5x 15.5x 15.0xEnvestnet 1,132 1,073 18.2% 19.5% 2.6x 1.9x 14.2x 9.4x 34.1x 26.0xBottomline Technologies 1,132 1,166 21.6% 4.4% 3.5x 3.1x 16.0x 14.0x 20.0x NMFidessa 1,131 1,037 21.4% 1.7% 2.4x 2.3x 11.0x 10.4x 25.3x 24.2xQ2 Holdings 1,022 903 (7.5%) 37.3% 8.3x 6.3x NM NM NM NMIress 1,014 1,104 30.5% (7.7%) 4.4x 3.9x 14.5x 12.7x 21.5x 18.6xLinedata 242 271 24.9% (4.3%) 1.5x 1.5x 5.9x 5.8x 12.4x 11.8xStatPro 83 80 13.3% (2.3%) 1.7x 1.6x 12.6x 11.2x 31.4x 27.8x


Data and Data AnalyticsExperian 17,145 20,517 38.5% (4.9%) 4.4x 4.3x 11.4x 12.8x 19.7x 19.0xNielsen 16,910 24,092 30.1% (2.2%) 3.9x 3.7x 13.0x 12.1x 17.8x 15.8xEquifax 12,401 13,665 34.7% 9.5% 5.1x 4.8x 14.8x 13.4x 23.4x 21.2xVerisk 12,141 15,167 47.8% 19.2% 7.3x 6.4x 15.3x 13.7x 23.8x 22.3xSplunk 7,580 6,725 6.0% 43.5% 10.6x 8.1x NM NM NM NMTableau Software 6,778 6,028 11.0% 66.2% 9.3x 6.9x NM NM NM NMConvergys 2,404 2,548 12.9% 1.1% 0.9x 0.8x 6.8x 6.2x 14.4x 13.1xMicrostrategy 1,919 1,462 29.7% (11.9%) 2.8x 2.6x 9.3x 8.4x 18.6x 17.2xNeustar 1,214 1,640 45.5% 8.4% 1.6x 1.6x 3.5x 3.5x 5.2x 5.4xPROS 612 569 (8.4%) (9.8%) 3.3x 3.5x NM NM NM NM


CAx/PLMDassault Systems 19,889 18,591 33.7% 7.9% 6.1x 5.6x 18.1x 16.2x 33.1x 29.6xAutodesk 13,674 12,770 13.2% (0.5%) 5.1x 5.9x 39.0x NM NM NMAnsys 7,972 7,195 50.7% 1.6% 7.6x 7.0x 14.9x 13.4x 26.5x 24.4xPTC 4,014 4,409 27.2% (9.4%) 3.6x 3.1x 13.3x 9.8x 16.3x 14.7xAveva 1,982 1,821 28.6% (8.4%) 5.9x 5.6x 20.5x 18.7x 30.9x 27.8xNemetschek 1,651 1,631 24.4% 14.6% 5.4x 4.9x 22.1x 19.1x 38.1x 32.2xMensch und Maschine 146 174 8.0% 1.2% 1.0x 0.9x 12.7x 10.6x 32.4x 17.7x


EV / Revenue EV / EBITDA P / E

SOFTWARE

8


(1) Schneider Electric has entered into an agreement to acquire a majority stake in Aveva in a reverse takeover

(1)

PAGE |

(30%)

(20%)

(10%)

0%

10%

20%

30%

40%

50%


Data Centres IT Services Managed Services, Colocation and Hosting Offshore IT Services PaaS/IaaS

(10%)

(8%)

(6%)

(4%)

(2%)

0%

2%

4%

6%

8%

10%

15 Oct 22 Oct 29 Oct 05 Nov 12 NovData Centres IT Services Managed Services, Colocation and Hosting Offshore IT Services PaaS/IaaS

IT SERVICES

9




IT Services 4.3%Data Centres 3.6%Managed Services, Colocation and Hosting 1.0%Offshore IT Services (1.4%)PaaS/IaaS (7.4%)

IT Services 21.1%Data Centres 13.3%Offshore IT Services 10.5%PaaS/IaaS (13.1%)Managed Services, Colocation and Hosting (14.1%)

PAGE |


IT ServicesAccenture 64,675 60,853 16.6% 2.5% 2.0x 1.9x 11.8x 11.1x 21.3x 19.3xKDDI 62,044 69,032 30.1% (1.0%) 1.9x 1.8x 6.2x 6.0x 15.3x 14.1xCapgemini 15,009 13,550 11.7% 0.5% 1.1x 1.0x 9.1x 7.7x 18.7x 15.7xNTT Group 13,815 15,941 16.2% 5.2% 1.2x 1.2x 7.7x 7.2x NM 27.3xCGI 12,494 13,861 18.3% (14.1%) 1.8x 1.7x 9.7x 8.9x 16.8x 15.4xCapita 12,061 14,932 15.1% 9.1% 2.0x 1.9x 13.4x 12.4x 16.9x 15.7xFujitsu 9,963 16,328 7.2% (2.2%) 0.4x 0.4x 5.8x 5.6x 11.5x 9.9xComputer Sciences 8,993 9,814 17.1% (12.1%) 0.9x 0.8x 5.1x 4.7x 13.3x 12.8xAtos Origin 8,266 8,122 11.1% 6.1% 0.7x 0.7x 6.4x 5.8x 13.5x 11.8xNEC 8,251 11,481 6.9% (3.8%) 0.5x 0.4x 7.0x 6.4x 24.1x 12.3xSopra 2,223 2,924 7.9% 39.8% 0.8x 0.7x 9.7x 8.3x 17.1x 13.6xBechtle 1,912 1,863 5.3% (1.6%) 0.6x 0.6x 11.4x 10.4x 20.2x 17.9xTieto 1,868 1,940 13.2% (15.0%) 1.2x 1.2x 9.4x 8.4x 19.5x 16.0xIndra Sistemas 1,737 2,649 4.1% (11.0%) 0.8x 0.8x 20.8x 9.7x NM 16.0xGFI Informatique 373 469 7.5% (2.4%) 0.5x 0.5x 6.6x 6.2x 12.5x 11.9x

Mean 12.5% (0.0%) 1.1x 1.0x 9.3x 7.9x 17.0x 15.3xMedian 11.7% (1.6%) 0.9x 0.8x 9.1x 7.7x 16.9x 15.4x

Offshore IT ServicesTata 71,428 68,316 28.7% 16.1% 4.3x 3.8x 15.0x 13.5x 22.8x 20.2xCognizant 40,072 36,971 20.1% 22.0% 3.0x 2.6x 14.8x 12.9x 21.8x 19.0xInfosys 38,044 33,428 26.7% 6.7% 3.7x 3.4x 14.0x 12.4x 21.0x 19.4xWipro 20,475 17,712 22.4% 2.3% 2.4x 2.1x 10.5x 9.5x 15.1x 15.6xHCL 17,951 16,454 22.0% 10.0% 2.7x 2.4x 12.5x 10.8x 16.8x 17.2x

Mean 24.0% 11.4% 3.2x 2.9x 13.4x 11.8x 19.5x 18.3xMedian 22.4% 10.0% 3.0x 2.6x 14.0x 12.4x 21.0x 19.0xManaged Services, Colocation and Hosting Level 3 17,756 28,078 31.6% 21.3% 3.4x 3.2x 10.8x 9.8x 28.9x 21.6xUnited Internet 9,979 11,651 20.9% 8.4% 2.9x 2.7x 13.9x 12.4x 25.3x 20.3xRackspace 3,627 3,747 33.6% 11.4% 1.9x 1.7x 5.6x 5.0x 30.4x 26.5xGoDaddy 2,052 3,034 20.9% 15.7% 1.9x 1.7x 9.0x 7.5x 24.7x 20.1xInterxion 2,035 2,584 44.3% (1.0%) 6.2x 5.7x 14.1x 12.6x NM 40.0xEndurance 1,834 2,905 35.9% 18.7% 3.9x 3.5x 10.9x 9.7x 10.9x 9.6xWindstream 559 11,374 28.6% (1.2%) 2.0x 2.0x 6.9x 7.8x NM NMiomart 482 505 43.4% 13.4% 4.5x 4.1x 10.4x 9.4x 21.0x 18.3xRedcentric 418 449 23.2% 21.8% 2.8x 2.5x 12.0x 10.7x 22.2x 17.4xInternap 377 736 25.1% (4.3%) 2.3x 2.2x 9.1x 7.9x NM NMProact 138 150 NA 8.9% 0.5x 0.4x NA NA 15.0x 12.7xMelbourne IT 126 137 12.6% 3.4% 1.3x 1.1x 10.0x 6.7x 19.6x 13.2x


Data CentresEquinix 17,166 21,467 47.0% 10.9% 7.9x 7.0x 16.9x 14.9x NM 28.3xDigital Realty Trust 10,423 16,478 57.7% 8.2% 9.4x 8.1x 16.3x 14.4x NM NMTelecity 3,711 4,180 46.0% 0.3% 7.7x 7.0x 16.7x 14.8x 31.3x 27.0xDuPont Fabros 2,081 3,977 62.2% 7.1% 8.9x 8.3x 14.3x 13.0x 28.9x 24.1xCoresite 1,494 2,226 50.8% 19.8% 6.9x 5.9x 13.5x 11.5x NM 47.7x


PaaS/IaaSEMC 48,529 49,842 25.9% 1.7% 2.0x 1.9x 7.7x 7.1x 13.7x 12.7xServiceNow 13,178 12,916 15.4% 47.7% 12.9x 9.4x NM NM NM NMAkamai 10,422 10,373 40.5% 12.0% 4.7x 4.3x 11.7x 10.6x 24.2x 21.7xNetapp 9,233 5,771 18.2% (7.9%) 1.0x 1.0x 5.5x 4.5x 14.2x 11.5xCommvault Systems 1,759 1,359 11.5% (5.7%) 2.3x 2.2x 20.4x 14.9x NM 39.3xSynchronoss 1,589 1,623 34.5% 26.7% 2.8x 2.4x 8.2x 7.0x 16.4x 14.3xProgress Software 1,193 1,119 33.9% 22.7% 2.8x 2.6x 8.1x 8.1x 15.5x 15.2xCarbonite 276 214 19.3% 11.9% 1.6x 1.4x 8.1x 7.1x NM NM


P / EEV / EBITDAEV / Revenue

IT SERVICES

10


(1) Endurance has entered into an agreement to acquire Constant Contact (2) Equinix has entered into an agreement to acquire Telecity

(1)

(2)

(2)

PAGE |

(60%)

(50%)

(40%)

(30%)

(20%)

(10%)

0%

10%

20%

30%

40%


Digital Broadband Diversified Communication Equipment Mobile Content / Solutions Providers Mobile Infrastructure Software

COMMUNICATIONS

11




Digital Broadband 26.2%Diversified Communication Equipment (11.5%)Mobile Infrastructure Software (21.3%)Mobile Content / Solutions Providers (37.2%)

(20%)

(15%)

(10%)

(5%)

0%

5%

10%


Digital Broadband Diversified Communication Equipment Mobile Content / Solutions Providers Mobile Infrastructure Software

Digital Broadband 5.0%Mobile Content / Solutions Providers 1.9%Diversified Communication Equipment (4.5%)Mobile Infrastructure Software (8.9%)

PAGE |


Digital BroadbandTechnicolor 2,819 3,429 16.5% (6.5%) 0.9x 0.7x 5.5x 5.4x 10.4x 11.8xTomTom 2,701 2,601 12.0% (6.0%) 2.4x 2.3x 20.1x 14.8x NM 32.0xLogitech 2,472 2,118 8.5% (1.1%) 1.0x 1.0x 11.9x 10.1x 36.0x 19.8xPace 1,815 1,818 11.0% (5.6%) 0.7x 0.7x 6.6x 6.3x 9.6x 9.0xKudelski 679 933 13.6% 1.1% 1.0x 1.0x 7.4x 7.6x 15.0x 13.6xParrot 510 441 5.8% 6.6% 1.4x 1.3x 24.2x 13.9x NM 43.7xExtreme Networks 381 364 6.7% (7.9%) 0.7x 0.7x 10.2x 5.9x 21.3x 15.9x


Diversified Communication EquipmentLM Ericsson Telephone 29,502 26,648 12.6% (4.7%) 1.0x 0.9x 7.5x 6.4x 14.6x 12.4xAlcatel-Lucent 10,936 11,907 11.2% (5.7%) 0.8x 0.8x 7.0x 6.3x 22.8x 14.3xCIENA 3,217 3,664 13.9% 10.3% 1.4x 1.3x 10.3x 8.6x 17.2x 13.9xADTRAN 760 663 4.7% (4.6%) 1.1x 1.1x 23.7x 12.3x 32.8x 19.8x


Mobile Infrastructure SoftwareQUALCOMM 78,071 71,712 36.9% (11.2%) 3.0x 3.0x 8.2x 7.7x 12.5x 11.5xVeriSign 9,095 9,065 67.3% 4.3% 8.6x 8.1x 12.8x 12.0x 26.8x 24.1xAmdocs 8,314 7,180 20.8% 1.5% 2.0x 1.9x 9.4x 9.0x 16.1x 14.9xSynchronoss Technologies 1,589 1,623 34.5% 26.7% 2.8x 2.4x 8.2x 7.0x 16.4x 14.3xSonus Networks 337 227 4.5% (16.9%) 0.9x 0.9x 20.3x 7.6x NM 27.6xRedknee Solutions 278 240 13.7% (16.5%) 1.1x 0.9x 8.0x 4.6x 34.8x 10.9xTeleCommunication Systems 278 370 10.9% 4.8% 1.0x 0.9x 8.9x 7.5x 14.6x 11.1xSmith Micro Software 37 24 (1.4%) 6.8% 0.6x 0.6x NM 9.8x NM NM

Mean 23.4% (0.0%) 2.5x 2.3x 10.8x 8.1x 20.2x 16.3xMedian 17.2% 2.9% 1.5x 1.4x 8.9x 7.7x 16.3x 14.3x

Mobile Content / Solutions ProvidersOpera Software 870 947 16.8% 16.0% 1.6x 1.3x 9.7x 7.1x NM 17.8xGameLoft 485 448 9.4% 1.0% 1.6x 1.5x 17.0x 10.0x NM 29.8x


EV / EBITDA P / EEV / Revenue

COMMUNICATIONS

12


(1) Vivendi has entered into discussions to merge with Gameloft

(1)

PAGE |

(40%)

(20%)

0%

20%

40%

60%

80%

100%

Nov 2014 Feb 2015 May 2015 Aug 2015

Chinese Internet Leaders Content Providers / Communities Digital Marketing eCommerce

Global Internet Leaders Interactive Entertainment Intermediation and Comparison Online Classifieds

Online Travel Online Gambling Internet Services Educational Technology

INTERNET AND DIGITAL MEDIA

13




(20%)

(15%)

(10%)

(5%)

0%

5%

10%

15%

20%


Chinese Internet Leaders Content Providers / Communities Digital Marketing EcommerceGlobal Internet Leaders Interactive Entertainment Intermediation and Comparison Online TravelOnline Classifieds Online Gambling Internet Services Educational Technology

Interactive Entertainment 9.7%Ecommerce 6.9%Global Internet Leaders 5.7%Online Gambling 5.3%Online Classifieds 4.4%Digital Marketing 3.4%Internet Services 2.8%Content Providers / Communities 0.7%Online Travel (0.8%)Chinese Internet Leaders (1.1%)Educational Technology (5.5%)Intermediation and Comparison (14.2%)

Online Gambling 65.2%Interactive Entertainment 53.4%Online Travel 16.5%Educational Technology 12.2%Ecommerce 5.0%Chinese Internet Leaders 3.4%Global Internet Leaders 3.3%Digital Marketing (3.0%)Online Classifieds (6.6%)Internet Services (17.1%)Intermediation and Comparison (19.1%)Content Providers / Communities (22.4%)

(1)

(1)

(1) Education Technology index has been normalised to reflect Graham Holdings’ spin-off of its cable segment

PAGE |


Global Internet LeadersApple 626,333 648,813 35.1% 22.7% 2.7x 2.6x 7.8x 7.7x 11.9x 11.1xGoogle 500,994 438,579 39.8% 12.2% 5.9x 5.1x 14.8x 12.5x 25.8x 21.8xMicrosoft 422,081 361,576 32.3% (3.1%) 4.0x 3.8x 12.4x 10.2x 20.2x 18.1xAmazon 301,109 305,268 10.0% 20.1% 2.8x 2.4x 28.5x 20.7x NM NMFacebook 293,970 278,262 61.9% 40.7% 16.0x 11.6x 25.8x 18.9x NM 36.6xAlibaba 190,568 187,221 51.6% 25.4% 12.8x 9.9x 24.7x 19.8x 29.9x 24.5xBaidu 67,034 62,448 22.4% 32.2% 6.0x 4.7x 26.6x 20.1x 34.5x 26.5xeBay 33,846 35,984 40.3% (52.1%) 4.2x 4.0x 10.4x 9.8x 15.6x 14.3xYahoo! 30,399 25,767 22.9% (8.0%) 6.4x 6.7x 27.8x 29.5x NM NMYandex 4,838 4,656 34.2% 6.4% 5.3x 4.5x 15.5x 12.5x 24.7x 19.6x


EcommerceAmazon 301,109 305,268 10.0% 20.1% 2.8x 2.4x 28.5x 20.7x NM NMAlibaba 190,568 187,221 51.6% 25.4% 12.8x 9.9x 24.7x 19.8x 29.9x 24.5xNaspers 58,834 61,490 8.9% (8.6%) 11.3x 9.0x NM NM NM 35.6xNetflix 44,299 44,089 7.2% 23.3% 6.5x 5.1x NM NM NM NMJD.com 37,007 33,382 0.7% 52.9% 1.2x 0.9x NM 47.2x NM NMeBay 33,846 35,984 40.3% (52.1%) 4.2x 4.0x 10.4x 9.8x 15.6x 14.3xIAC 5,394 5,599 14.9% 5.3% 1.7x 1.7x 11.6x 9.2x 20.2x 17.7xMercadolibre 5,215 5,171 29.1% 18.3% 8.0x 7.1x 27.5x 24.6x NM 37.1xJUST EAT 4,376 4,136 23.4% 55.4% 11.2x 8.4x 47.9x 30.4x NM 46.3xMail.ru 4,162 4,412 47.3% 9.5% 7.6x 6.7x 16.0x 13.7x 25.5x 20.9xAsos 4,076 3,894 5.7% 15.4% 2.1x 1.7x 36.9x 27.7x NM NMOcado 3,212 3,371 7.4% 12.9% 2.0x 1.7x 27.0x 22.5x NM NMCimpress 2,497 3,273 14.8% 14.2% 2.1x 1.9x 13.9x 12.2x 22.2x 22.8xGrubHub 2,029 1,734 28.3% 44.1% 4.8x 3.8x 17.0x 13.7x 38.4x 32.7xGroupon 1,579 872 7.7% (4.0%) 0.3x 0.3x 3.7x 8.0x 27.5x NMShutterfly 1,530 1,779 18.3% 15.3% 1.7x 1.5x 9.2x 7.7x NM NMShutterstock 1,287 1,005 19.6% 29.9% 2.4x 2.0x 12.1x 9.9x 30.6x 24.7xCoupons.com 619 429 5.5% 1.0% 1.9x 1.7x 34.4x 18.1x NM NMRetailMeNot 471 276 27.8% (8.3%) 1.1x 1.1x 4.1x 3.8x 13.3x 13.3xBlue Nile 400 367 4.7% 2.9% 0.7x 0.7x 15.8x 14.4x 38.1x 33.2xOverstock 343 261 NA NA NA NA NA NA NA NA


Online TravelThe Priceline Group 64,607 66,998 40.1% 9.5% 7.3x 6.3x 18.2x 15.4x 22.5x 18.9xCtrip 19,166 19,931 8.8% 44.4% 11.6x 8.4x NM NM NM NMAmadeus 17,444 19,256 37.3% 0.7% 4.7x 4.4x 12.5x 11.6x 22.0x 20.6xExpedia 16,256 17,873 17.3% 15.5% 2.7x 2.1x 15.5x 11.3x 30.4x 20.3xTripadvisor 11,239 10,841 31.2% 19.4% 7.3x 6.4x 23.4x 20.2x 39.6x 34.3xSabre Corporation 7,707 10,712 31.7% 6.1% 3.6x 3.2x 11.4x 9.8x 25.8x 20.1xTravelport 1,664 4,056 24.0% 2.7% 1.8x 1.7x 7.6x 7.0x NM 33.0xMakeMyTrip 626 519 (7.9%) 7.5% 3.0x 3.4x NM NM NM NMHostelworld Group 304 641 NA NA NA NA NA NA NA NATravelzoo 129 100 4.1% (4.4%) 0.7x 0.7x 17.5x 9.6x 22.6x 28.3x


EV / Revenue P / EEV / EBITDA


14


(1) Expedia has agreed to acquire HomeAway

(1)

PAGE |


15



Digital MarketingHomeAway 3,442 2,862 25.0% 12.3% 5.7x 4.8x 22.9x 18.4x NM NMCriteo 2,427 2,129 26.1% 41.0% 4.2x 3.2x 16.0x 11.6x 36.4x 24.8xCvent 1,352 1,193 12.6% 32.1% 6.4x 5.1x NM 45.7x NM NMMarketo 1,274 1,168 (8.8%) 41.2% 5.6x 4.2x NM NM NM NMCallidus Software 1,096 1,001 10.5% 28.6% 5.8x 4.7x NM 40.7x NM NMConstant Contact 1,010 829 19.7% 11.7% 2.2x 2.0x 11.4x 9.0x 24.1x 18.5xThe Rubicon Project 668 588 17.7% 101.2% 2.4x 1.7x 13.4x 10.7x 22.5x 21.1xBazaarvoice 342 295 (2.5%) 7.8% 1.5x 1.3x NM 41.2x NM NMTechTarget 259 239 21.8% 7.8% 2.1x 1.9x 9.7x 7.7x 22.8x 17.9xHarte-Hanks 212 263 8.8% (10.7%) 0.5x 0.5x 6.0x 4.8x 13.3x 10.5xDotdigital 197 179 28.4% 27.4% 4.8x 2.9x 16.9x 8.1x 27.6x 14.3xMarchex 175 66 10.0% (18.0%) 0.5x 0.5x 4.5x 6.0x 21.0x 38.1xMatomy Media 144 159 9.7% 12.7% 0.6x 0.5x 6.1x 4.4x 8.4x 6.2xMarin Software 138 108 (10.4%) 8.7% 1.0x 1.0x NM NM NM NM1000mercis 120 106 21.4% (0.7%) 1.9x 1.6x 8.7x 7.7x 18.1x 16.1xInternetQ 103 107 15.6% 12.4% 0.6x 0.5x 3.8x 3.0x 9.9x 6.2x


Content Providers / CommunitiesLinkedIn 31,670 29,722 25.1% 36.4% 9.9x 7.6x 39.6x 28.7x NM NMTwitter 17,024 15,137 24.3% 60.8% 6.8x 4.8x 28.1x 18.4x NM 44.6xJustEat 4,376 4,136 23.4% 55.4% 11.2x 8.4x 47.9x 30.4x NM 46.3xGoPro 2,910 2,397 16.0% 27.6% 1.4x 1.2x 8.8x 7.6x 17.0x 14.4xPandora Media 2,868 2,505 4.7% 25.9% 2.2x 1.8x 46.0x 24.1x NM NMWebMD Health 1,587 1,778 29.5% 9.2% 2.8x 2.6x 9.5x 8.4x 27.4x 25.4xXING 1,039 961 30.8% 9.0% 7.4x 6.2x 23.9x 18.5x NM 37.6xXO Group 434 348 19.3% (0.8%) 2.5x 2.3x 12.9x 10.6x NM 32.5xBrightcove 203 181 5.0% 7.6% 1.4x 1.3x 27.0x 20.2x NM NMDemand Media 113 75 (6.9%) (26.1%) 0.6x 0.5x NM NM NM NM


Intermediation and ComparisonZillow 4,473 4,167 14.3% 101.9% 6.4x 5.2x 44.5x 28.6x NM NMMoneysupermarket 2,672 2,637 39.7% 10.1% 6.2x 5.8x 15.7x 14.6x 22.9x 21.6xBankrate 1,472 1,626 28.2% 0.4% 3.0x 3.5x 10.5x 10.9x 20.6x 20.9xAngie's List 573 574 8.2% 10.0% 1.7x 1.6x 20.3x 14.5x NM 31.7xGruppo MutuiOnline 339 362 18.1% 54.9% 3.0x 2.8x 16.4x 14.0x 17.4x 16.8xLiquidity Services 243 147 7.7% (21.5%) 0.4x 0.3x 5.1x 5.8x 20.1x 22.0xeHealth 207 145 5.0% 1.4% 0.8x 0.8x 16.0x 9.8x 21.7x 23.1x


Online ClassifiedsRightmove 5,610 5,592 74.3% 14.3% 19.3x 17.4x 26.0x 23.3x 33.6x 29.5xSouFun 3,521 3,569 8.7% 25.8% 4.1x 3.1x 47.3x 30.1x NM 28.8xSEEK 3,330 4,186 39.6% 3.3% 6.3x 5.6x 16.0x 14.3x 24.4x 21.8xYelp 2,039 1,671 13.4% 45.8% 3.0x 2.4x 22.8x 15.2x NM 42.2x51job 1,885 1,313 31.7% 7.1% 4.0x 3.6x 12.7x 10.8x 18.7x 17.8xZoopla 1,470 1,411 47.3% 20.7% 8.7x 5.3x 18.3x 13.6x 25.7x 20.5xMonster 561 718 16.1% (12.0%) 1.1x 1.0x 6.5x 5.3x 15.5x 10.6xDice 458 525 28.8% (2.3%) 2.0x 2.0x 7.1x 6.8x 19.8x 17.0x



(1) Expedia has agreed to acquire HomeAway(2) Endurance has agreed to acquire Constant Contact

(1)

(2)

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Internet Services LendingClub 4,806 NM 15.7% 100.5% NA NA NA NA NM 50.0xLifeLock 1,366 1,034 12.3% 23.3% 1.8x 1.5x 14.4x 11.0x 23.0x 19.0xWeb.com 1,211 1,641 27.6% (1.8%) 2.9x 2.8x 10.7x 9.8x 9.8x 8.8xXoom 987 834 1.3% 19.5% 4.4x 3.7x NM 26.8x NM 42.2xWix.com 902 802 6.7% 44.4% 4.0x 3.0x NM 23.3x NM NM


Educational Technology Graham 3,241 2,357 12.1% (23.4%) 0.9x 0.9x 7.1x 6.5x 21.7x 17.3x2U 989 813 (5.1%) 35.9% 5.5x 4.2x NM NM NM NMChegg 593 491 1.0% 0.0% 1.6x 1.7x NM 21.9x NM 41.6xK12 361 247 9.6% (2.1%) 0.3x 0.3x 2.8x 2.6x 18.2x 25.4xCambium Learning Group 241 348 NA NA NA NA NA NA NA NARosetta Stone 162 131 (7.9%) (16.7%) 0.6x 0.6x NM NM NM NM


Chinese Internet LeadersTencent 182,740 180,404 43.8% 24.4% 11.5x 9.1x 26.2x 20.9x 37.6x 28.6xBaidu 67,034 62,448 22.4% 32.2% 6.0x 4.7x 26.6x 20.1x 34.5x 26.5xNetease 19,361 15,920 33.1% 89.6% 4.5x 3.6x 13.6x 11.5x 17.7x 15.3x58.com 7,310 6,850 (47.7%) 159.3% 10.1x 6.2x NM NM NM NMYouku Tudou 5,193 4,296 (20.8%) 55.6% 4.3x 3.1x NM NM NM NMSouFun 3,521 3,569 8.7% 25.8% 4.1x 3.1x 47.3x 30.1x NM 28.8xWeibo Corporation 3,418 3,089 13.6% 43.0% 6.5x 4.9x 47.7x 22.8x NM 31.4xAutohome 3,405 2,855 38.4% 61.3% 5.4x 4.2x 14.0x 11.9x 22.0x 18.1xSina 2,625 1,802 7.6% 13.9% 2.1x 1.8x 27.2x 11.6x NM 30.8xSohu 1,947 1,407 14.8% 15.7% 0.7x 0.6x 4.9x 4.5x NM NMRenren 1,190 946 (110.1%) (22.4%) 13.4x 6.5x NM NM NM NMDangdang 540 265 (0.7%) 20.2% 0.2x 0.1x NM 5.0x NM 32.6x


Online GamblingBetfair 4,867 4,708 24.0% NA 6.2x 5.4x 25.8x 23.2x NM 36.4xPlaytech 4,308 3,750 39.9% 23.5% 5.6x 3.9x 14.0x 9.9x 19.2x 14.5xbwin.party digital entertainment 1,384 1,219 16.9% (6.5%) 1.9x 1.9x 11.1x 11.4x 25.2x 25.7x888 879 742 16.8% (3.0%) 1.7x 1.6x 10.0x 9.1x 19.1x 17.1x

Mean 24.4% 4.7% 3.8x 3.2x 15.2x 13.4x 21.1x 23.4xMedian 20.5% (3.0%) 3.7x 2.9x 12.6x 10.6x 19.2x 21.4x

Interactive EntertainmentActivision 25,292 24,851 34.5% (3.0%) 5.3x 4.7x 15.3x 12.9x 25.4x 20.9xElectronic Arts 21,722 19,569 32.1% 8.2% 4.3x 4.1x 13.4x 12.0x 23.3x 20.9xUbisoft Entertainment 3,141 3,314 40.8% (39.3%) 3.0x 1.6x 7.4x 5.1x NM 11.5xTake-Two Interactive Software 2,803 2,226 16.6% 20.6% 1.4x 1.3x 8.5x 7.5x 20.8x 22.9xZynga 2,295 1,225 2.9% 8.9% 1.6x 1.6x NM 13.6x NM NM

Mean 25.4% (0.9%) 3.1x 2.7x 11.2x 10.2x 23.2x 19.0xMedian 32.1% 8.2% 3.0x 1.6x 10.9x 12.0x 23.3x 20.9x



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(1) bwin.party digital entertainment is in takeover talks to be acquired by GCV Holding(2) Activision has entered into an agreement to acquire King Digital Media

(1)

(2)

Energy, Power& Infrastructure

IndustrialsHealthcare & Life Sciences

Transportation & Logistics

Aerospace, Defense & Government

Services

Business Services

Building Products & Materials

Technology, Media & Telecom

Specialty Distribution

Consumer

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