Q2 2012 -Backed Deals

July 2012 Page 1 of 2

Fig. 1: Number and Aggregate Value of Venture Capital Deals Fig. 2: Number of Venture Capital Deals: Q1 2010 - Q2 2012 The number and value of VC deals completed in Q2 2012 have increased Globally: Q1 2010 - Q2 2012 by 16% against Q1 2012 fi gures. Sixty-seven percent of the number and 75% of the aggregate value of 1400 18.0 1400 VC deals announced in Q2 2012 occurred in North America, with 839 16.0 1200 Aggregate Deal Value ($bn) 1200 VC fi nancings in the region valued at $8.2bn during the quarter. This 14.0 represents a 14% increase in comparison to the previous quarter, when 1000 1000 734 VC fi nancings valued at $7.2bn were announced. 12.0 800 10.0 800 European VC activity experienced a 23% rise in the number and 25% 600 8.0 600 increase in the value of VC deals in comparison to the previous quarter, No. of Deals 6.0 with 252 deals valued at $1.4bn during Q2 2012. 400 400 4.0

200 ($bn) Aggregate Deal Value 200 The number of Chinese VC deals continued to slide in Q2 2012, with 27 2.0 VC deals announced in the region during Q2 2012. This represents a 20% 0 0.0 0 drop in deal volume from Q1 2011 and a 42% decrease from Q4 2011. This Q1 10 Q2 10 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q1 10 Q2 10 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 slide has largely been caused by investor concerns regarding the Chinese No. of Deals Aggregate Deal Value ($bn) North America Europe China India Israel Other exit market. However, deal value almost doubled in comparison to the Fig. 3: Proportion of Number of Venture Capital Deals by Stage: Fig. 4: Average Value of VC Deals: 2010 - 2012 YTD previous quarter, in large due to the $216mn Series C fi nancing of Xiaomi. Q2 saw $545mn invested in the region, up from $280mn in Q1 2011, but Q2 2012 still lower than the $798mn worth of VC deals completed in Q4 2011.

45 A total of 75 VC deals were announced in India during Q2 2012, a 32% 39.6 40 1% Add-on and Other increase from the previous quarter. This represents the most active quarter 4% 7% 1% 35 4% Grant 29.4 for Indian deal fl ow during the 2010 – H1 2012 period in terms of number 30 28.4 /Expansion 30% 25.3 26.3 of deals. PIPE 25 22.7 20% 18.7 18.7 Angel/ Seed 20 15 15 13.2 12.8 Israel was host to 17 VC deals worth an aggregate $200mn during Q2 Series A/Round 1 12.1 12.3 11 11.4 9.4 10.4 9.4 Series B/Round 2 10 7.5 2012, matching activity in the region witnessed in recent quarters. 4% 6.4 6.4

Series C/Round 3 Deal Size ($mn) Average 5 5% 13% 1 1.21.1 10% Series D/Round 4 and Later 0 One-third of all VC deals globally during Q2 2012 were Angel, Seed or Unspecified Round Series A fi nancings, displaying investors’ attraction towards very early stage investments. Additionally, Series B, C, D and later investments Series B/ Round 2 Round 1 Round 3 Series A/ Series C/ Growth Round 4 Series D/ Capital/ Round and Later Expansion accounted for less than 20% of the number of all deals. Unspecified Angel/ Seed Angel/ Venture Debt 2010 2011 2012 YTD VC-backed add-on deals comprised 7% of all deals in Q2, highlighting Fig. 5: Proportion of Number and Aggregate Value of VC Deals by VC fi rms’ attraction to bolting on smaller companies to their portfolio companies. Industry: Q2 2012 The average VC deal value in 2012 to date has been $14.1mn per deal. 30% 27% This is down on the previous year, when the average VC investment totalled 25% $17.9mn per round, but very similar to deal values witnessed during 2010. 25%

20% 18% In Q2 2012, more than a quarter of the total number and aggregate value 16% 16% of fi nancings globally was invested in the internet sector, inclusive of social 15% 13% 11% 12%11% networking and e-commerce deals. The healthcare and software sectors 9% 10% 8% 6% accounted for around 16% of the total number of VC deals, while clean Proportion of Total 5% 4% 4% technology companies accounted for 13% of the aggregate value of 2% 3% 2% 2%3% 3% 2% 2% investments. 0% Other Disc. Other IT Internet Business Services Telecoms Related Industrials Semic. & Consumer Electronics Software & Healthcare Clean Tech. No. of Deals Aggregate Deal Value Q2 2012 Private Equity-Backed Venture Capital Deals

July 2012 Page 2 of 2

Fig. 6: 10 Largest VC Deals: Q2 2012

Name Date Stage Deal Size (mn) Investors Primary Industry Location Fisker Automotive, Inc. Apr-12 Unspecifi ed Round 392 USD Caufi eld & Byers, New Enterprise Associates Clean Technology US Xiaomi Jun-12 Series C/Round 3 216 USD DST Global Telecoms China Fanatics, Inc. Jun-12 Unspecifi ed Round 150 USD Andreessen Horowitz, Insight Venture Partners Internet US ARCH Venture Partners, Arrowpoint Ventures, Cascade Investment LLC, Monsanto Sapphire Energy, Inc. Apr-12 Series C/Round 3 144 USD Clean Technology US Company, Venrock, Wellcome Trust Sonos, Inc. Jun-12 Growth Capital/Expansion 135 USD Elevation Partners, Kohlberg Kravis Roberts, Redpoint Ventures Electronics US Xplornet Communications Inc. Jun-12 Growth Capital/Expansion 125 CAD - Internet Canada Alta Capital, Ampersand Capital Partners, Essex Woodlands Health Ventures, Pantheon, Bioventus LLC May-12 Growth Capital/Expansion 118 USD Healthcare US Spindletop Capital, White Pine Medical, Inc. American Refi ning and Biochemical, Inc., Duff Ackerman & Goodrich Ventures, Generation Harvest Power, Inc. Apr-12 Series C/Round 3 110 USD Clean Technology US Investment Management, Kleiner Perkins Caufi eld & Byers, True North Venture Partners Castlight Health, Inc. May-12 Series D/Round 4 100 USD Redmile Group, T Rowe Price Healthcare IT US Pinterest May-12 Unspecifi ed Round 100 USD Andreessen Horowitz, Bessemer Venture Partners, FirstMark Capital, Rakuten, Inc. Internet US

Fig. 7: 5 Notable VC Exits: Q2 2012

Date of First Total Known Exit Value Name Investors (Entry) Exit Type Exit Date Acquiror (Exit) Primary Industry Location Investment Funding (mn) (mn) Accel Partners, DST Global, Elevation Partners, Firsthand Technology Value Fund, Goldman , Inc.* Sep-04 Sachs, Greylock Partners, GSV Capital, Hercules Technology Growth Capital, Meritech Capital 2391.2 USD IPO May-12 - 16000 USD Internet US Partners, , T Rowe Price, The Founders Fund Management, TriplePoint Capital Capricorn Venture Partners, Charles River Ventures, CrunchFund, Draper Fisher Jurvetson, Emergence Capital Partners, Founders Fund, Goldcrest Investments, Khosla Ventures, Yammer, Inc. Jan-09 142 USD Trade Sale Jun-12 Microsoft Corp. 1200 USD Internet US Meritech Capital Partners, SV Angel, The Founders Fund Management, The Social+Capital Partnership, US Venture Partners Andreessen Horowitz, Balderton Capital, Baseline Ventures, Benchmark Capital, Greylock Mobile , Inc. Mar-10 57.5 USD Trade Sale Apr-12 Facebook, Inc. 1000 USD US Partners, Sequoia Capital, Thrive Capital Management Applications Bay Partners, Counsel RB Capital, European Founders, GGV Capital, Greycroft Partners, Buddy Media, Inc. Sep-07 Insight Venture Partners, Institutional Venture Partners, Knight’s Bridge Capital Partners, 90 USD Trade Sale Jun-12 .com 689 USD Software US Softbank Capital, WPP Acqua Wellington Asset Management, Banc of America Securities, Bay Capital, Clarion Capital Partners, Downsview Capital, First Eagle Investment Management, Fort Mason Capital, EUSA Pharma, Inc. Jul-05 Heights Capital Management, Highbridge, Iroquois Capital Group, J.P. Morgan, Merlin Nexus, 54.2 USD Trade Sale Apr-12 Jazz Pharmaceuticals 650 USD Pharmaceuticals UK Nite Capital Management, Oppenheim Asset Management Services, OrbiMed Advisors, ProQuest Investments, Rodman & Renshaw, Versant Ventures, Waud Capital Partners * denotes partial exit

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