February 2016 M&A and Investment Summary Table of Contents
1 Overview of Monthly M&A and Investment Activity 3
2 Monthly M&A and Investment Activity by Industry Segment 8
3 Additional Monthly M&A and Investment Activity Data 42
4 About Petsky Prunier 54
Securities offered through Petsky Prunier Securities, LLC, member of FINRA.
This M&A and Investment Summary has been prepared by and is being distributed in the United States by Petsky Prunier, a broker dealer registered with the U.S. SEC and a member of FINRA. Petsky Prunier is not affiliated with Altium Capital Ltd, but has partnered with Altium to expand its international presence. Altium has not prepared or verified the information in this Summary. Persons in the United States should contact Petsky Prunier for further information or services. This M&A and Investment Summary is not being distributed by Altium Capital Ltd in the United States and Altium Capital Ltd is not offering any services to persons in the United States.
2| M&A and Investment Summary February 2016 M&A and Investment Summary for All Segments
Transaction Distribution . A total of 427 deals were announced in February 2016, of which 255 were worth $13.7 billion in aggregate reported value . Software was the most active segment with 131 deals announced —79 of these transactions reported $4.3 billion in value . Digital Media/Commerce was also active with 110 transactions announced, of which 85 were worth a reported $3 billion in value . Strategic buyers announced 185 deals (34 reported $7.9 billion in value) . VC/Growth Capital investors announced 233 transactions (217 reported $4.6 billion in value) . Buyout investors announced nine deals during the month (four reported $1.2 billion in value)
February 2016 BUYER/INVESTOR BREAKDOWN Transactions Reported Value Strategic Buyout Venture/Growth Capital # % $MM % # $MM # $MM # $MM Software 131 31% $4,265.3 31% 53 $1,695.0 6 $970.9 72 $1,599.4 Digital Media/Commerce 110 26% 3,025.8 22% 35 939.0 0 ‐ 75 2,086.8 Marketing Technology 74 17% 613.1 4% 22 3.0 0 ‐ 52 610.1 Agency & Marketing Services 34 8% 130.2 1% 31 124.3 0 ‐ 35.9 Business Services 32 7% 874.8 6% 18 489.0 3 260.0 11 125.8 Digital Advertising 25 6% 811.6 6% 12 702.0 0 ‐ 13 109.6 Traditional Media 11 3% 268.1 2% 9 266.6 0 ‐ 21.5 Information 10 2% 3,743.2 27% 5 3,684.7 0 ‐ 5 58.5 *Intercontinental Exchange’s $7.4 billion acquisition of Interactive Data has been excluded to limit comparative distortions Total 427 100% 13,732.1 100% 185 7,903.6 9 1,230.9 233 4,597.6
3| M&A and Investment Summary February 2016 M&A and Investment Summary for All Segments
Transaction Distribution . Aggregate reported transaction value in February was down eight percent from February of 2015 and down 45 percent from January 2016 . Strategic activity accounted for 57 percent of reported deal value during the month and included significant transactions: • IBM Watson’s $2.6 billion acquisition of healthcare data integration solutions provider Truven Health Analytics • The $800 million purchase of healthcare‐related billing and business management software developer Brightree by ResMed • Oracle’s acquisition of virtualization solutions provider Ravello Systems for $500 million • Wipro’s acquisition of HealthPlan Services, a provider of business process as a services solutions to the healthcare insurance market, for $460 million • The $360 million acquisition of cross‐device retargeting company Tapad by Norway‐based telecommunications company Telenor $120.0 $500.0 $108.4 $110.0 $100.0 Bright $400.0 $90.0 House/ $80.0 Charter $70.0 $300.0 $60.0 $50.0 Time Warner/ $40.4 $200.0 $40.0 Charter Sungard $25.9 $26.7 $27.4 $30.0 $23.1 Veritas $23.7 $24.9 $18.8 $18.3 Solera $100.0 $20.0 $15.0 Inter. Data $14.4 $13.7 $10.0 425 456 492 458 466 448 376 403 424 363 407 418 427 $‐ $- Feb‐15 Mar‐15 Apr‐15 May‐15 Jun‐15 Jul‐15 Aug‐15 Sep‐15 Oct‐15 Nov‐15 Dec‐15 Jan‐16 Feb‐16
*Note, Charter Communications’ $78.8 billion and $10.8 billion acquisitions of Time Warner and Bright House Networks , Fidelity National Information Services‘ $9.1 billion acquisition of SunGard Data Systems, The Carlyle Group’s $8 billion acquisition of Veritas Systems, Intercontinental Exchange’s $7.4 billion acquisition of Interactive Data, and Vista Equity Partners’ $6.7 billion acquisition of Solera Holdings have been excluded to limit comparative distortions. 4| M&A and Investment Summary February 2016 Selected Transactions with Valuation Information Disclosed ($ in Millions)
Selected Transactions With Multiples Information
Target Subsegment Buyer/Investor Ent. Value Rev EBITDA EV/REV EV/EBITDA Agency & Marketing Services The App Business Ltd. 1 Digital Agency St. Ives, PLC$ 77.9 $ 17.3 $ 5.7 4.5x 13.7x The Brooklyn Brothers Limited Digital Agency Interpublic Group of Companies, Inc. 43.0 28.5 ‐ 1.5x NA
Business Services Citation plc HR Consulting HG Capital 260.0 56.0 ‐ 4.6x NA HealthPlan Services IT Consulting/Systems Integration Wipro Limited 460.0 223.0 ‐ 2.1x NA EarthLink’s IT Services IT Consulting/Systems Integration Synoptek, Inc. 29.0 37.0 ‐ 0.8x NA Digital Advertising Tapad, Inc. Ad Networks/Exchanges Telenor ASA 378.9 57.0 ‐ 6.6x NA Yodle, Inc. Local Search Web.com Group, Inc. 342.0 207.8 ‐ 1.6x NA Information Truven Health Analytics, Inc. Healthcare Information IBM Watson Health 3,556.4 598.9 99.5 5.9x 35.7x Software Brightree LLC Healthcare Software ResMed Corporation 800.0 113.0 43.0 7.1x 18.6x Diligent Corporation Collaboration Software Insight Venture Partners 435.9 94.0 17.7 4.6x 24.6x NWP Services Corporation ERP Software RealPage, Inc. 68.0 58.0 6.0 1.2x 11.3x Rustici Software LLC Cloud Computing Technology Learning Technologies Group plc 36.5 6.6 2.7 5.5x 13.5x
Traditional Media RR Media Ltd. Broadcast Television SES Platform Services GmbH 231.6 134.1 16.0 1.7x 14.5x
1 82 percent stake acquisition
5| M&A and Investment Summary February 2016 Securities in Registration ($ in Millions)
Aggregate LTM Date Company Name Country Segment Offering Value Rev EBITDA Jan‐16 Blue Coat Systems, Inc. United States Software 500.0 950.0 NA Dec‐15 Nutanix, Inc. United States Software 200.0 283.1 NA Sep‐15 PointClickCare Corp. United States Software 100.0 112.6 3.8 Jul‐15 Apptio, Inc. United States Software NA 100.0 NA Mar‐15 Veracode, Inc. United States Software 450.0 16.7 NA
6| M&A and Investment Summary February 2016 LTM IPO Performance
Initial Offering Final Price Stock Price at Close Stock Price on % Change from Date Ticker Company Name Country Price Range Per Share on 1st Trading Day Feb 29, 2016 1st Trading Day
Dec‐15 NasdaqGS:TEAM Atlassian Corpora ti on Plc Australia $18.00‐$20.00 21.00 $27.78 up 32% 23.77 (14.4%)
Dec‐15 NYSE:YRD Yirendai Ltd. China 9.00‐11.00 10.00 9.10, down 9% 5.95 (34.6%)
Nov‐15 NYSE:INST Instructure, Inc. United States 16.00‐18.00 16.00 18.00 up 12.5% 14.30 (20.6%) Nov‐15 NasdaqGS:MTCH Match Group, Inc. United States 12.00‐14.00 12.00 14.74, up 23% 10.89 (26.1%)
Nov‐15 NasdaqGS:MIME Mimecast Limited United Kingdom 11.00‐13.00 10.00 10.10, up 1.0% 9.36 (7.3%) Nov‐15 NYSE:SQ Square, Inc. United States 11.00‐13.00 9.00 13.07, up 45% 10.44 (20.1%)
Oct‐15 NYSE:PSTG Pure Storage, Inc. United States 16.00‐18.00 17.00 16.01, down 5.8% 14.38 (10.2%)
Oct‐15 NYSE:FDC First Data Corpora ti on Uni ted States 18.00‐20.00 16.00 15.75, down 1.5% 12.50 (20.6%)
Jul‐15 NasdaqGM:RPD Rapid7, Inc. United States 13.00‐15.00 16.00 26.75, up 67% 13.29 (50.3%) Jul‐15 NYSE:TDOC Teladoc, Inc. United States 15.00‐17.00 19.00 28.50, up 50% 13.83 (51.5%)
Jun‐15 NasdaqGM:APPF AppFolio, Inc. United States 12.00‐14.00 12.00 14.10, up 17% 11.70 (17.0%)
Jun‐15 NYSE:XTLY Xactly Corpora ti on Uni ted States 10.00‐12.00 8.00 8.70, up 9% 5.80 (33.3%) Jun‐15 NYSE:FIT Fitbit Inc. United States 17.00‐19.00 20.00 29.68, up 48% 12.23 (58.8%)
Jun‐15 NasdaqGM:MB MINDBODY, Inc. United States 13.00‐15.00 14.00 11.56, down 17.4% 11.78 1.9% Jun‐15 NYSE:TGNA TEGNA Inc. United States 26.00‐28.00 30.00 31.63, up 5% 24.64 (22.1%)
Jun‐15 NYSE:EVH Evolent Health, Inc. United States 14.00‐16.00 17.00 18.86, up 11% 10.05 (46.7%)
May‐15 NYSE:SHOP Shopify Inc. Canada 14.00‐16.00 17.00 28.31, up 51% 22.38 (20.9%)
May‐15 NasdaqGS:BZUN Baozun Inc. China 12.00‐14.00 10.00 10.44, up 4% 5.90 (43.5%)
May‐15 NYSE:PGND Press Ganey Holdings, Inc. United States 22.00‐24.00 25.00 27.50, up 10 %26.38(4.1%)
Apr‐15 NasdaqGS:APIC Apigee Corpora ti on Uni te d States 16.00‐18.00 17.00 10.60, down 8% 5.85 (44.8%) Apr‐15 NasdaqGS:ETSY Etsy, Inc. United States 14.00‐16.00 16.00 30.00, up 86% 7.94 (73.5%)
Apr‐15 NasdaqGM:WOWO JM WOWO Hong Kong 9.00‐11.00 10.00 10.29, up 3% 4.52 (56.1%)
Apr‐15 NYSE:GDDY GoDaddy Inc. United States 17.00‐19.00 20.00 26.15, up 31% 31.35 19.9%
Mar‐15 NYSE:MXPT MaxPoint Interactive, Inc. United States 10.50‐12.50 11.50 10.60, down 8% 1.75 (83.5%)
7| M&A and Investment Summary February 2016 Digital Media/Commerce
. Of the total $3 billion in value reported in the Digital Media/Commerce segment, $2.1 billion in Venture/Growth Capital investments were announced, while nearly $940 million in Strategic transactions were made . eCommerce was the most active subsegment across all segments with 45 transactions announced, of which 38 were reported for $1.8 billion. Select acquisitions from the subsegment include: • Jet.com’s acquisition of online home products retailer Hayneedle for a reported $100 million . Select Digital Media/Commerce transactions include: • The $275 million investment in UAE‐based eCommerce site Souq at a reported valuation of more than $1 billion from Tiger Global Management, Naspers, and Baillie Gifford • Customink’s purchase of customer merchandise marketplace Represent for a reported $100 million • The $85 million acquisition of fitness tracking application developer FitnessKeeper by Asics
DIGITAL MEDIA/COMMERCE TRANSACTIONS BY SEGMENT BUYER/INVESTOR BREAKDOWN Transactions Reported Value Strategic Buyout Venture/Growth Capital # % $MM % # $MM # $MM # $MM eCommerce 45 41% $1,803.0 60% 12 $474.1 0 ‐ 33 $1,328.9 Mobile Content/Apps 26 24% 703.2 23% 5 335.0 0 ‐ 21 368.2 Niche Content 11 10% 34.8 1% 6 ‐ 0 ‐ 5 34.8 Social Media/Apps 11 10% 105.2 3% 4 8.0 0 ‐ 7 97.2 Classifieds/Auctions/P‐to‐P 9 8% 212.0 7% 3 43.4 0 ‐ 6 168.6 Gaming 7 6% 158.5 5% 5 78.5 0 ‐ 2 80.0 Domain Portfolio/Marketplace 1 1% 9.1 0% 0 ‐ 0 ‐ 19.1 Web Search/Portals 0 0% ‐ 0% 0 ‐ 0 ‐ 0 ‐ Total 110 100% 3,025.8 100% 35 939.0 0 0.0 75 2,086.8
8| M&A and Investment Summary February 2016 Digital Media and Internet Public Company Valuation (1/2)
($ in Millions, except stock price data) US‐Based Digital Media and Internet Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Alphabet Inc. 717.22 ‐11% 486,956.0 422,678.0 74,989.0 24,423.0 32.6% 13.6% 5.6x 17.3x Apple Inc. 96.69 ‐28% $536,105.7 $560,711.7 $234,988.0 $82,791.0 35.2% 17.6% 2.4x 6.8x Blucora, Inc. 6.15 ‐63% $253.4 $773.1 $117.7 $22.7 19.3% 13.5% 6.6x 34.1x Demand Media, Inc. 5.45 ‐21% 108.6 70.7 126.0 (16.9) NM ‐26.9% 0.6x NM Everyday Health, Inc. 4.73 ‐67% 153.1 229.9 232.0 15.3 6.6% 25.9% 1.0x 15.0x Facebook, Inc. 106.92 ‐9% 313,632.8 295,513.8 17,928.0 8,239.0 46.0% 43.8% 16.5x 35.9x Fitbit Inc. 12.23 ‐76% 2,641.8 1,977.3 1,858.0 360.5 19.4% 149.3% 1.1x 5.5x Glu Mobile, Inc. 3.71 ‐47% 487.1 306.6 249.9 7.7 3.1% 12.0% 1.2x 39.8x GoPro, Inc. 11.88 ‐82% 1,626.0 1,151.9 1,620.0 83.7 5.2% 16.2% 0.7x 13.8x IAC/InterActiveCorp 44.42 ‐48% 3,689.7 4,399.0 3,230.9 472.3 14.6% 3.9% 1.4x 9.3x LinkedIn Corporation 117.19 ‐57% 15,477.8 13,511.8 2,990.9 246.8 8.3% 34.8% 4.5x 54.7x MeetMe, Inc. 3.11 ‐31% 141.9 123.2 56.9 11.2 19.6% 27.0% 2.2x 11.0x Netflix, Inc. 93.41 ‐30% 39,987.0 40,047.6 6,779.5 368.1 5.4% 23.2% 5.9x NM Pandora Media, Inc. 10.22 ‐55% 2,327.0 2,191.1 1,164.0 (67.2) NM 26.4% 1.9x NM RealNetworks Inc. 3.90 ‐46% 143.1 43.9 125.3 (51.0) NM ‐19.8% 0.4x NM TheStreet, Inc. 0.88 ‐57% 30.7 3.1 68.0 1.0 1.5% 16.0% 0.0x 3.2x Twitter, Inc. 18.12 ‐66% 12,278.42 10,386.03 2,218.03 (175.01) NM 58.1% 4.7x NM United Online, Inc. 12.31 ‐32% 182.80 77.97 151.12 15.56 10.3% NA 0.5x 5.0x WebMD Health Corp. 55.46 ‐5% 2,045.6 2,207.1 636.4 146.5 23.0% 9.6% 3.5x 15.1x XO Group Inc. 14.28 ‐21% 356.9 270.6 141.6 19.5 13.8% ‐1.4% 1.9x 13.8x Yahoo! Inc. 31.79 ‐31% 30,099.1 4,622.4 4,968.3 330.7 6.7% 7.6% 0.9x 14.0x Zynga, Inc. 2.11 ‐32% 1,820.8 833.6 764.7 (49.1) NM 10.8% 1.1x NM
Average 1.8x 11.1x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (10.1x) and EBITDA multiples that are 1.0 standard deviations above the mean (33.1x) *Yahoo! multiples based on Petsky Prunier estimates. Yahoo’s ownership interest in Alibaba and Yahoo! Japan equals approximately 90% of the enterprise value of Yahoo!, enterprise value reflects Adjusted Enterprise Value *Note: Google Inc. pricing represents (Nasdaq:GOOGL)
9| M&A and Investment Summary February 2016 Digital Media and Internet Public Company Valuation (2/2)
($ in Millions, except stock price data) Internationally‐based Digital Media and Internet Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Baidu, Inc. China 173.42 ‐23% $60,014.5 $55,563.5 $10,224.4 $2,409.5 23.6% 35.3% 5.4x 23.1x Changyou.com Limited China 17.67 ‐50% 897.7 711.8 761.6 242.8 31.9% 0.8% 0.9x 2.9x CyberAgent Inc. Japan 41.11 ‐35% 2,582.2 2,462.4 2,204.3 329.8 15.0% 17.8% 1.1x 7.5x DeNA Co., Ltd. Japan 14.60 ‐39% 2,117.2 1,512.3 1,205.1 275.4 22.9% ‐0.8% 1.3x 5.5x Forgame Holdings Limited * China 1.40 ‐62% 192.2 (5.2) 99.3 (0.2) NM ‐35.0% NM 31.6x G5 Entertainment AB (publ) Sweden 4.42 ‐32% 38.9 34.9 45.5 3.5 7.7% 111.1% 0.8x 10.0x GameLoft S.E. * France 7.38 ‐12% 627.2 589.5 271.2 7.8 2.9% 3.5% 2.2x 75.3x Gree, Inc. Japan 4.72 ‐39% 1,110.2 428.6 668.4 165.7 24.8% ‐25.0% 0.6x 2.6x iDreamSky Technology Limited * China 13.55 ‐8% 624.3 525.0 223.8 2.9 1.3% 0.0% 2.3x NM International Game Technology PLC United Kingdom 14.78 ‐30% 2,935.2 11,131.3 3,877.9 1,245.9 32.1% ‐0.5% 2.9x 8.9x KongZhong Corporation China 7.41 ‐14% 348.7 269.8 198.3 51.7 26.1% ‐5.1% 1.4x 5.2x Mixi, Inc. Japan 33.53 ‐43% 2,826.7 2,026.0 1,621.8 768.6 47.4% 163.2% 1.2x 2.6x NCsoft Corporation South Korea 193.87 ‐7% 3,869.3 3,104.8 706.5 240.5 34.0% 2.8% 4.4x 12.9x Naver Corporation South Korea 462.05 ‐20% 13,462.9 12,259.9 2,762.9 765.7 27.7% 17.9% 4.4x 16.0x NetEase, Inc. China 134.61 ‐28% 17,596.3 14,004.2 3,512.2 1,148.2 32.7% 94.7% 4.0x 12.2x NEXON Co., Ltd. Japan 15.01 ‐17% 6,515.9 4,020.5 1,582.9 626.9 39.6% 10.0% 2.5x 6.4x Pacific Online Ltd. China 0.26 ‐61% 291.5 251.0 173.4 44.3 25.5% 18.1% 1.4x 5.7x Phoenix New Media Limited China 3.74 ‐62% 266.1 128.1 254.3 20.1 7.9% 1.0% 0.5x 6.4x Rediff.com India Limited * India 0.50 ‐77% 13.8 5.5 14.3 (7.2) NM ‐9.3% 0.4x NM Renren Inc. * China 3.13 ‐30% 1,060.8 888.6 54.8 (76.1) NM ‐31.6% 16.2x NM Sky‐mobi Limited * China 1.92 ‐71% 54.0 (35.1) 93.7 (0.9) NM ‐22.1% NM NM Taomee Holdings Ltd. * China 3.50 ‐13% 124.9 52.6 35.6 (3.8) NM ‐21.8% 1.5x NM Tomorrow Focus AG Germany 3.08 ‐50% 179.3 194.5 189.3 10.5 5.6% 92.5% 1.0x 18.5x Weibo Corporation * China 14.36 ‐31% 2,967.4 2,621.9 477.9 60.6 12.7% 43.0% 5.5x 43.3x WeMade Entertainment Co., Ltd. * South Korea 27.99 ‐52% 464.7 441.5 112.3 (10.7) NM ‐22.3% 3.9x NM Yandex N.V. Netherlands 12.92 ‐40% 4,124.7 3,917.1 831.5 249.8 30.0% 17.8% 4.7x 15.7x YY Inc. China 52.05 ‐36% 2,851.8 3,048.2 813.0 188.8 23.2% 65.6% 3.7x 16.1x
Average 2.0x 11.5x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (9.4x) and EBITDA multiples that are 1.0 standard deviations above the mean (32.7x)
10 | M&A and Investment Summary February 2016 eCommerce Public Company Valuation (1/2)
($ in Millions, except stock price data) US‐based eCommerce Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA 1‐800‐Flowers.com Inc. 7.81 ‐42% $505.3 $521.6 $1,165.0 $79.6 6.8% 13.3% 0.4x 6.6x Alphabet Inc. 717.22 ‐11% 486,956.0 422,678.0 74,989.0 24,423.0 32.6% 13.6% 5.6x 17.3x Amazon.com, Inc. 552.52 ‐21% 260,149.6 257,888.6 107,006.0 7,879.0 7.4% 20.2% 2.4x 32.7x Apple Inc. 96.69 ‐28% 536,105.7 560,711.7 234,988.0 82,791.0 35.2% 17.6% 2.4x 6.8x Blucora, Inc. 6.15 ‐63% 253.4 773.1 117.7 22.7 19.3% 13.5% 6.6x 34.1x Blue Nile Inc. 26.06 ‐33% 300.5 214.5 480.1 17.2 3.6% 1.4% 0.4x 12.5x CafePress Inc. 3.68 ‐31% 61.7 12.3 104.5 3.9 3.8% ‐31.8% 0.1x 3.1x CDW Corporation 39.58 ‐16% 6,639.2 10,304.1 12,988.7 979.6 7.5% 7.6% 0.8x 10.5x Chegg, Inc. 4.29 ‐51% 377.9 293.1 301.4 (2.1) NM ‐1.1% 1.0x NM Copart, Inc. 37.75 ‐5% 4,228.0 4,744.8 1,168.0 402.3 34.4% 0.4% 4.1x 11.8x eBay Inc. 23.80 ‐64% 28,053.2 28,701.2 8,592.0 2,946.0 34.3% ‐2.3% 3.3x 9.7x Etsy, Inc. 7.94 ‐78% 890.1 610.4 273.5 12.9 4.7% 39.8% 2.2x 47.4x Expedia Inc. 104.11 ‐26% 15,676.9 18,320.0 6,672.3 731.2 11.0% 15.8% 2.7x 25.1x FTD Companies, Inc. 23.25 ‐33% 666.5 956.4 1,079.6 100.1 9.3% 69.4% 0.9x 9.6x GrubHub Inc. 23.54 ‐51% 1,990.9 1,680.2 361.8 89.3 24.7% 42.5% 4.6x 18.8x HSN, Inc. 53.09 ‐30% 2,775.4 3,351.7 3,690.6 320.4 8.7% 2.9% 0.9x 10.5x IAC/InterActiveCorp 44.42 ‐48% 3,689.7 4,399.0 3,230.9 472.3 14.6% 3.9% 1.4x 9.3x QVC Group $25.38 ‐20% 12,598.6 18,793.6 9,169.0 1,827.0 19.9% ‐8.6% 2.0x 10.3x Liberty Ventures 36.69 ‐19% 5,197.3 4,426.3 820.0 (8.0) NM 74.1% 5.4x NM Liquidity Services, Inc. 4.67 ‐58% 142.9 57.5 337.9 (0.5) NM ‐32.3% 0.2x NM Match Group, Inc. 10.89 ‐32% 2,704.0 3,339.8 1,020.4 239.6 23.5% 14.9% 3.3x 13.9x Overstock.com Inc. 14.60 ‐44% 368.4 212.1 1,657.8 24.6 1.5% 10.7% 0.1x 8.6x PetMed Express, Inc. 16.50 ‐12% 332.4 269.7 229.3 32.4 14.1% 0.5% 1.2x 8.3x The Priceline Group Inc. 1,265.21 ‐14% 62,775.4 66,285.3 9,224.0 3,501.3 38.0% 9.3% 7.2x 18.9x Shutterfly, Inc. 44.44 ‐9% 1,549.0 1,620.1 1,059.4 114.7 10.8% 15.0% 1.5x 14.1x Shutterstock, Inc. 34.90 ‐53% 1,231.4 943.0 425.1 55.3 13.0% 29.6% 2.2x 17.1x Spark Networks, Inc. 3.17 ‐38% 81.4 67.0 48.1 1.3 2.7% ‐21.9% 1.4x 52.3x Stamps.com Inc. 118.53 ‐3% 1,967.72 2,054.13 213.96 64.20 30.0% 45.3% 9.6x 32.0x U.S. Auto Parts Network, Inc. 2.75 ‐15% 93.7 109.3 294.1 5.4 1.8% 7.8% 0.4x 20.4x EVINE Live Inc. 0.51 ‐93% 29.1 85.3 683.0 6.9 1.0% 2.5% 0.1x 12.4x Wayfair Inc. 38.97 ‐31% 3,288.3 2,902.2 2,249.9 (64.2) NM 70.6% 1.3x NM
Average 2.0x 12.3x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (7.2x) and EBITDA multiples that are 1.0 standard deviations above the mean (29.9x)
11 | M&A and Investment Summary February 2016 eCommerce Public Company Valuation (2/2)
($ in Millions, except stock price data) Internationally‐based eCommerce Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA 58.com Inc. * China 53.00 ‐37% $ 7,501.3 $ 7,337.6 $ 714.9 $ (245.0) NM 169.8% 10.3x NM Alibaba Group Holding Limited * China 68.81 ‐28% 172,880.1 168,056.9 14,537.4 4,952.9 34.1% 33.3% 11.6x 33.9x Cnova N.V. * Netherlands 2.20 ‐68% 970.9 689.2 3,714.8 (79.6) NM ‐1.5% 0.2x NM E‐Commerce China Dangdang Inc. * China 6.63 ‐42% 536.6 271.2 1,451.6 (5.7) NM 21.4% 0.2x NM eLong Inc. * China 17.72 ‐35% 668.5 482.3 154.8 (155.9) NM ‐10.6% 3.1x NM JD.com, Inc. * China 25.71 ‐32% 35,171.8 32,326.5 27,922.5 (345.8) NM 57.6% 1.2x NM Jiayuan.com International Ltd. China 7.26 ‐23% 226.0 145.7 110.9 4.9 4.4% 22.7% 1.3x 29.7x Jumei International Holding Limited China 6.29 ‐78% 913.3 516.0 1,045.6 28.0 2.7% 78.2% 0.5x 18.4x LightInTheBox Holding Co., Ltd. * China 2.38 ‐63% 113.9 79.2 348.4 (39.7) NM ‐0.2% 0.2x NM Mercadolibre, Inc. Argentina 101.76 ‐34% 4,493.4 4,420.7 651.8 178.6 27.4% 17.1% 6.8x 24.7x PChome Online Inc. Taiwan 10.60 ‐31% 1,058.7 933.9 673.6 34.3 5.1% 16.5% 1.4x 27.2x Rakuten, Inc. Japan 9.51 ‐55% 13,542.2 14,872.3 5,936.4 1,308.0 22.0% 19.2% 2.5x 11.4x Travelport Worldwide Limited United Kingdom 12.98 ‐24% 1,605.9 3,945.9 2,221.0 393.0 17.7% 3.4% 1.8x 10.0x Vipshop Holdings Limited China 11.11 ‐64% 6,387.2 6,247.9 6,192.3 377.2 6.1% 64.1% 1.0x 16.6x
Average 1.6x 15.5x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (10.5x) and EBITDA multiples that are 1.0 standard deviations above the mean (30.2x)
12 | M&A and Investment Summary February 2016 Digital Advertising
. There was a total of 25 transactions announced in the Digital Advertising segment, of which 15 were worth more than $810 million in reported value . Ad Networks/Exchanges was the most valuable subsegment with three transactions worth more than $350 million in value . Select Transactions: • Web.com’s purchase of local digital marketing company Yodle for $342 million • The acquisition of online video content distribution company DramaFever by Warner Bros. Entertainment • Blackhawk Network’s acquisition of digital promotions network NimbleCommerce • The majority acquisition of digital media investments platform Viant Technologies by Time Inc.
DIGITAL ADVERTISING TRANSACTIONS BY SEGMENT BUYER/INVESTOR BREAKDOWN Transactions Reported Value Strategic Buyout Venture/Growth Capital # % $MM % # $MM # $MM # $MM Vertical Search 6 24% $70.8 9% 0 ‐ 0 ‐ 6$70.8 Local Search 5 20% 347.5 43% 3 342.0 0 ‐ 25.5 Ad Networks/Exchanges 3 12% 366.0 45% 2 360.0 0 ‐ 16.0 Digital Video 3 12% 1.2 0% 2 ‐ 0 ‐ 11.2 Mobile Marketing 2 8% 13.1 2% 1 ‐ 0 ‐ 113.1 Online Lead Generation 2 8% 6.0 1% 1 ‐ 0 ‐ 16.0 Comparison Shopping 1 4% 7.0 1% 0 ‐ 0 ‐ 17.0 Other* 3 12% 0.0 0% 3 ‐ 0 ‐ 00.0 Total 25 100% 811.6 100% 12 702.0 0 0.0 13 109.6
13 | M&A and Investment Summary February 2016 Digital Advertising Public Company Valuation (1/3)
($ in Millions, except stock price data)
US‐based Digital Advertising Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Alliance Data Systems Corporation $210.13 ‐33% $ 12,452.6 $ 28,629.9 $ 6,439.7 $ 1,508.7 23.4% 21.4% 4.4x 19.0x Alphabet Inc. 717.22 ‐11% 486,956.0 422,678.0 74,989.0 24,423.0 32.6% 13.6% 5.6x 17.3x Angie's List, Inc. $9.23 ‐18% 540.1 542.6 344.1 19.7 5.7% 9.2% 1.6x 27.6x Autobytel Inc. 19.20 ‐23% 201.6 211.1 122.8 10.9 8.9% 21.7% 1.7x 19.4x Bankrate, Inc. 7.66 ‐52% 761.2 822.6 370.5 115.5 31.2% ‐32.0% 2.2x 7.1x Blinkx plc 0.31 ‐47% 123.9 55.0 200.4 (8.5) NM ‐17.1% 0.3x NM Blucora, Inc. * 6.15 ‐63% 253.4 773.1 117.7 22.7 19.3% 13.5% 6.6x 34.1x Care.com, Inc. 6.06 ‐24% 195.6 134.4 138.7 (10.1) NM 25.3% 1.0x NM Demand Media, Inc. 5.45 ‐21% 108.6 70.7 126.0 (16.9) NM ‐26.9% 0.6x NM DHI Group, Inc. 7.78 ‐26% 404.2 471.2 259.8 64.4 24.8% ‐1.1% 1.8x 7.3x Digital Globe Services Inc. 0.72 ‐62% 21.4 21.1 40.3 2.0 5.0% 3.4% 0.5x 10.6x Facebook, Inc. * 106.92 ‐9% 313,632.8 295,513.8 17,928.0 8,239.0 46.0% 43.8% 16.5x 35.9x Groupon, Inc. * 4.78 ‐41% 2,805.3 2,010.9 3,119.5 64.8 2.1% 2.5% 0.6x 31.0x IAC/InterActiveCorp 44.42 ‐48% 3,689.7 4,399.0 3,230.9 472.3 14.6% 3.9% 1.4x 9.3x IDI, Inc. 5.20 ‐59% 81.1 19.7 4.2 (9.6) NM 4.9% 4.7x NM MaxPoint Interactive, Inc. 1.75 ‐84% 45.7 19.7 137.7 (13.2) NM 49.5% 0.1x NM Monster Worldwide, Inc. 2.98 ‐64% 267.9 299.3 666.9 94.0 14.1% ‐8.1% 0.4x 3.2x QuinStreet, Inc. 2.97 ‐57% 134.3 98.6 283.6 (4.0) NM 3.0% 0.3x NM Quotient Technology Inc. 8.70 ‐41% 778.2 618.3 237.3 (14.0) NM 7.0% 2.6x NM ReachLocal, Inc. 1.95 ‐44% 57.4 68.9 382.6 (5.8) NM ‐19.4% 0.2x NM RetailMeNot, Inc. 8.08 ‐63% 400.1 212.8 249.1 43.1 17.3% ‐5.9% 0.9x 4.9x Rocket Fuel Inc. 3.54 ‐66% 152.3 157.5 461.6 (26.0) NM 13.0% 0.3x NM Rovi Corporation 22.78 ‐4% 1,882.7 2,665.9 526.3 167.3 31.8% ‐3.0% 5.1x 15.9x The Rubicon Project, Inc. 16.49 ‐15% 768.4 621.0 248.5 25.4 10.2% 98.3% 2.5x 24.4x TiVo Inc. 8.39 ‐26% 820.91 467.26 489.61 84.62 17.3% 8.4% 1.0x 5.5x Travelzoo Inc. 7.85 ‐45% 115.6 85.4 141.7 9.9 7.0% ‐0.3% 0.6x 8.6x LendingTree, Inc. * 88.37 ‐37% 1,084.0 877.0 254.2 28.9 11.4% 51.9% 3.5x 30.4x Tremor Video, Inc. 1.69 ‐48% 88.1 22.5 173.8 (11.8) NM 9.0% 0.1x NM TripAdvisor Inc. * 62.60 ‐33% 9,093.6 8,717.6 1,492.0 280.0 18.8% 19.7% 5.8x 31.1x TrueCar, Inc. 5.43 ‐72% 449.0 363.6 259.8 (55.9) NM 25.7% 1.4x NM TubeMogul, Inc. 12.84 ‐28% 450.0 371.3 180.7 (9.2) NM 58.2% 2.1x NM
14 | M&A and Investment Summary February 2016 Digital Advertising Public Company Valuation (2/3)
($ in Millions, except stock price data)
US‐based Digital Advertising Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Twitter, Inc. 17.94 ‐67% $ 12,156.4 $ 10,264.1 $ 2,218.0 $ (175.0) NM 58.1% 4.6x NM Voltari Corporation 4.27 ‐80% 38.4 75.7 12.2 (15.2) NM 287.8% 6.2x NM Web.com Group, Inc. 18.07 ‐31% 855.7 1,259.6 543.5 110.7 20.4% ‐0.1% 2.3x 11.4x Yahoo! Inc. 31.37 ‐32% 29,624.4 4,622.4 4,968.3 330.7 6.7% 7.6% 0.9x 14.0x Yelp Inc. 19.86 ‐62% 1,510.5 1,139.7 549.7 0.1 0.0% 45.6% 2.1x NM YuMe, Inc. 3.67 ‐36% 126.4 77.9 173.3 (10.5) NM ‐2.5% 0.4x NM Zillow Group, Inc. 22.35 ‐41% 3,988.2 3,697.9 644.7 (4.5) NM 97.8% 5.7x NM
Average 1.8x 13.8x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (8.8x)and EBITDA multiples that are 1.0 standard deviations above the mean (29.0x) *Yahoo! multiples based on Petsky Prunier estimates. Yahoo’s ownership interest in Alibaba and Yahoo! Japan equals approximately 90% of the enterprise value of Yahoo!, enterprise value reflects Adjusted Enterprise Value.
15 | M&A and Investment Summary February 2016 Digital Advertising Public Company Valuation (3/3)
($ in Millions, except stock price data)
Internationally‐based Digital Advertising Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Adgorithms LTD * Israel $0.26 ‐88% $ 15.8 $ (14.8) $ 25.6 $ 0.0 0.1% 0.0% NM NM Criteo SA France 38.22 ‐33% 2,387.6 2,050.0 1,323.2 114.1 8.6% 33.9% 1.5x 18.0x Ctrip.com International Ltd. China 41.79 ‐27% 18,816.3 20,003.6 1,563.2 31.5 2.0% 44.6% 12.8x NM InternetQ PLC United Kingdom 1.82 ‐66% 73.1 76.5 154.5 19.0 12.3% 9.1% 0.5x 4.0x Just Dial Limited India 8.01 ‐62% 564.8 446.3 94.3 26.6 28.2% 27.9% 4.7x 16.8x MakeMyTrip Limited India 17.08 ‐29% 720.6 636.1 306.7 (32.4) NM 5.1% 2.1x NM Matomy Media Group Ltd. Israel 1.51 ‐51% 141.0 154.5 254.9 19.3 7.6% 25.1% 0.6x 8.0x Opera Software ASA Norway 7.74 ‐15% 1,124.4 1,189.3 615.9 99.2 16.1% 28.1% 1.9x 12.0x Pacific Online Ltd. China 0.26 ‐61% 296.0 255.6 173.4 44.3 25.5% 18.1% 1.5x 5.8x Rightmove plc * United Kingdom 52.30 ‐13% 4,936.7 4,919.5 283.3 203.7 71.9% 15.0% 17.4x 24.2x Septeni Holdings Co., Ltd. Japan 17.89 ‐29% 463.8 369.9 453.1 30.2 6.7% ‐2.5% 0.8x 12.2x Taptica International Ltd Israel 1.12 ‐56% 76.5 56.4 66.2 7.0 10.6% 20.8% 0.9x 8.1x TradeDoubler AB Sweden 0.65 ‐56% 27.46 15.80 192.41 (4.28) NM ‐6.3% 0.1x NM XLMedia PLC Channel Islands 0.95 ‐22% 189.6 151.8 67.6 21.9 32.4% 76.2% 2.2x 6.9x Yandex N.V. Netherlands 12.98 ‐39% 4,143.9 3,936.3 831.5 249.8 30.0% 17.8% 4.7x 15.8x Youku Tudou Inc. * China 27.39 ‐13% 5,365.8 4,448.1 926.0 70.3 7.6% 51.6% 4.8x 63.2x Zhaopin Ltd. China 15.50 ‐12% 842.8 570.6 214.6 49.3 23.0% 19.3% 2.7x 11.6x
Average 1.9x 13.1x
*Calculati on is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (13.2x)and EBITDA multiples that are 1.0 standard deviations above the mean (31.2x) *Yahoo! multiples based on Petsky Prunier estimates. Yahoo’s ownership interest in Alibaba and Yahoo! Japan equals approximately 90% of the enterprise value of Yahoo!, enterprise value reflects Adjusted Enterprise Value *NOTE: Google Inc. pricing represents (Nasdaq:GOOGL)
16 | M&A and Investment Summary February 2016 Marketing Technology
. The Marketing Technology segment announced 74 transactions, of which 49 reported more than $610 million in value . Analytics & Targeting was the most active and valuable subsegment with 14 transactions announced, eight of which reported more than $150 million in value . Select Transactions: • SaaS‐based social media management company Sprout Social’s $42 million round of funding from Goldman Sachs and New Enterprise Associates • The Cathay Innovation‐led $30 million investment in marketing analytics platform Quantifind • The $28 million round of funding raised by visual content platform developer Curalate from First Round Capital and New Enterprise Associates • Rakuten’s acquisition of product feed‐based advertising platform developer Manifest • Sprinklr’s acquisition of social visualization platform Postano from TigerLogic
MARKETING TECHNOLOGY TRANSACTIONS BY SEGMENT BUYER/INVESTOR BREAKDOWN Transactions Reported Value Strategic Buyout Venture/Growth Capital # % $MM % # $MM # $MM # $MM Analytics & Targeting 14 19% $154.5 25% 6 ‐ 0 ‐ 8 $154.5 Social Technology 9 12% 81.2 13% 4 ‐ 0 ‐ 581.2 Content Management 8 11% 35.5 6% 1 ‐ 0 ‐ 735.5 CRM 8 11% 30.2 5% 2 ‐ 0 ‐ 630.2 Mobile Technology 8 11% 93.9 15% 2 ‐ 0 ‐ 693.9 BI Tools 7 9% 77.5 13% 1 ‐ 0 ‐ 677.5 MRM/Workflow Management 6 8% 46.6 8% 1 ‐ 0 ‐ 546.6 Other* 14 19% 93.7 15% 5 3.0 0 ‐ 923.0 Total 74 100% 613.1 100% 22 3.0 0 0.0 52 610.1
17 | M&A and Investment Summary February 2016 Marketing Technology Public Company Valuation (1/3)
($ in Millions, except stock price data) US‐based Marketing Technology Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name 02/28/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Adobe Systems Incorporated * 86.60 ‐10% $ 43,155.41 $ 41,074.56 $ 4,795.51 $ 1,244.13 25.9% 15.6% 8.6x 33.0x AppFolio, Inc. 11.77 ‐41% 394.8 372.5 75.0 (12.1) NM 57.3% 5.0x NM Bazaarvoice, Inc. 3.07 ‐53% 249.7 196.6 197.4 (16.9) NM 6.1% 1.0x NM Blackbaud Inc. 57.21 ‐16% 2,561.7 2,955.3 637.9 104.6 16.4% 13.0% 4.6x 28.3x Brightcove Inc. * 5.88 ‐27% 192.1 165.3 134.7 1.5 1.1% 7.8% 1.2x 111.1x ChannelAdvisor Corporation 10.90 ‐26% 275.2 218.9 100.6 (11.5) NM 18.5% 2.2x NM Covisint Corporation 2.04 ‐39% 82.5 44.9 79.5 (19.8) NM ‐11.2% 0.6x NM Cvent, Inc. 19.06 ‐49% 800.6 655.1 187.7 0.9 0.5% 32.0% 3.5x NM Demandware, Inc. 34.79 ‐54% 1,311.1 1,114.5 237.3 (34.2) NM 47.8% 4.7x NM eBay Inc. 24.18 ‐64% 28,501.1 29,149.1 8,592.0 2,946.0 34.3% ‐2.3% 3.4x 9.9x Endurance International Group 11.23 ‐52% 1,481.7 2,555.1 741.3 182.8 24.7% 17.7% 3.4x 14.0x Five9, Inc. 7.66 ‐15% 386.9 375.0 128.9 (13.8) NM 25.0% 2.9x NM GoDaddy Inc. 31.18 ‐12% 2,091.6 3,024.0 1,607.3 212.8 13.2% 15.9% 1.9x 14.2x HubSpot, Inc. * 40.62 ‐32% 1,409.8 1,306.1 181.9 (43.7) NM 57.0% 7.2x NM Interactive Intelligence Group Inc. * 30.64 ‐39% 664.9 624.0 390.9 3.6 0.9% 14.5% 1.6x 172.1x IBM Corporation 132.03 ‐25% 126,865.1 158,725.1 81,741.0 20,082.0 24.6% ‐11.9% 1.9x 7.9x Jive Software, Inc. 3.28 ‐45% 248.5 145.9 195.8 (21.0) NM 9.6% 0.7x NM LivePerson Inc. 4.96 ‐57% 284.3 235.4 239.0 12.6 5.3% 13.9% 1.0x 18.7x Marin Software Incorporated 3.07 ‐60% 113.8 79.5 108.5 (21.1) NM 9.2% 0.7x NM Marketo, Inc. 16.61 ‐51% 719.2 619.3 209.9 (55.7) NM 40.0% 3.0x NM MaxPoint Interactive, Inc. 1.62 ‐88% 42.3 21.0 137.7 (13.2) NM 49.5% 0.2x NM MicroStrategy Inc. 158.58 ‐30% 1,808.2 1,322.5 529.9 148.3 28.0% ‐8.6% 2.5x 8.9x MINDBODY, Inc. 11.84 ‐36% 464.5 387.0 101.4 (28.2) NM 44.8% 3.8x NM NetSuite Inc. 58.80 ‐43% 4,703.0 4,622.2 741.1 (61.7) NM 33.2% 6.2x NM Nuance Communications, Inc. 19.59 ‐10% 5,964.1 7,517.5 1,943.2 296.9 15.3% 0.8% 3.9x 25.3x Oracle Corporation 36.96 ‐18% 155,277.1 145,290.1 37,473.0 15,214.0 40.6% ‐3.5% 3.9x 9.5x PayPal Holdings, Inc. 37.49 ‐12% 45,838.1 42,427.1 9,248.0 1,951.0 21.1% 15.2% 4.6x 21.7x PROS Holdings, Inc. 11.00 ‐60% 330.9 283.0 168.2 (42.2) NM ‐9.5% 1.7x NM PTC Inc. 31.23 ‐27% 3,576.8 3,998.2 1,220.8 236.2 19.3% ‐10.1% 3.3x 16.9x Qlik Technologies, Inc. 23.05 ‐46% 2,143.91 1,823.85 612.73 3.66 0.6% 10.0% 3.0x NM Rightside Group, Ltd. 8.48 ‐18% 161.0 142.7 212.5 (1.7) NM 10.8% 0.7x NM Rovi Corporation 22.64 ‐15% 1,871.13 2,654.29 526.27 167.33 31.8% ‐3.0% 5.0x 15.9x The Rubicon Project, Inc. 16.36 ‐17% 762.4 614.9 248.5 19.0 7.7% 98.3% 2.5x 32.3x
18 | M&A and Investment Summary February 2016 Marketing Technology Public Company Valuation (2/3)
($ in Millions, except stock price data) US‐based Marketing Technology Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name 02/28/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA salesforce.com, inc. * 69.72 ‐16% $ 46,294.1 $ 47,009.1 $ 6,667.2 $ 604.1 9.1% 24.1% 7.1x 77.8x Sizmek Inc. 3.07 ‐63% 89.7 47.7 172.7 9.1 5.3% 1.1% 0.3x 5.2x Square, Inc. 10.32 ‐27% 3,433.1 3,773.9 1,143.7 (95.4) NM 0.0% 3.3x NM Synchronoss Technologies, Inc. 27.69 ‐47% 1,229.6 1,320.4 578.8 157.4 27.2% 26.6% 2.3x 8.4x Tableau Software, Inc. 44.41 ‐66% 3,293.0 2,497.1 653.6 (28.4) NM 58.4% 3.8x NM Teradata Corporation 25.11 ‐46% 3,339.6 3,280.6 2,530.0 377.0 14.9% ‐7.4% 1.3x 8.7x Verint Systems Inc. 35.56 ‐46% 2,213.7 2,600.8 1,161.1 164.8 14.2% 8.3% 2.2x 15.8x Xactly Corporation 5.75 ‐46% 167.8 132.2 76.0 (17.3) NM 24.3% 1.7x NM Zendesk, Inc. * 18.55 ‐34% 1,645.3 1,399.7 208.8 (68.4) NM 64.3% 6.7x NM
Adjusted Weighted Average 3.7x 13.3x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (7.1x)and EBITDA multiples that are 1.0 standard deviations above the mean (62.5x)
19 | M&A and Investment Summary February 2016 Marketing Technology Public Company Valuation (3/3)
($ in Millions, except stock price data) Internationally‐based Marketing Technology Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Baozun Inc. China 6.02 ‐59% $ 302.56 $ 165.97 $ 400.22 $ 3.34 0.8% 64.0% 0.4x 49.7x Bitauto Holdings Limited China 20.94 ‐69% 1,260.0 703.2 589.5 22.4 3.8% 90.5% 1.2x 31.5x ChinaCache International Holdings Ltd. China 7.14 ‐54% 185.0 80.1 217.3 6.0 2.7% ‐0.3% 0.4x 13.4x InfraStrata plc * United Kingdom 0.02 ‐70% 3.7 4.5 0.6 (1.1) NM 2231.2% 6.9x NM Infosystems S.A. Poland 0.23 ‐54% 1.0 1.3 2.0 0.9 47.5% 0.0% 0.7x 1.4x Mercadolibre, Inc. Argentina 97.56 ‐36% 4,307.9 4,235.3 651.8 178.6 27.4% 17.1% 6.5x 23.7x Open Text Corporation Canada 49.45 ‐15% 5,987.5 6,829.9 1,830.2 527.5 28.8% ‐1.5% 3.7x 12.9x Opera Software ASA Norway 7.74 ‐15% 1,124.4 1,189.3 615.9 99.2 16.1% 28.1% 1.9x 12.0x Sage Group plc United Kingdom 8.18 ‐9% 8,831.27 9,305.02 2,172.20 588.18 27.1% 6.1% 4.3x 15.8x SAP SE Germany 76.32 ‐8% 91,229.2 97,549.3 22,588.1 6,692.4 29.6% 18.4% 4.3x 14.6x Shopify Inc. * Canada 22.00 ‐48% 1,767.5 1,575.9 205.2 (12.0) NM 95.4% 7.7x NM Sky‐mobi Limited China 1.91 ‐71% 53.7 (35.4) 123.0 ‐ 0.0% 0.0% NM NM Weborama France 10.77 ‐1% 37.1 37.2 30.4 1.1 3.6% 0.9% 1.2x 33.9x Wix.com ltd Israel 19.16 ‐33% 760.5 650.5 203.5 (43.6) NM 43.5% 3.2x NM
Adjusted Weighted Average 4.3x 15.1x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (8.1x)and EBITDA multiples that are 1.0 standard deviations above the mean (34.9x)
20 | M&A and Investment Summary February 2016 Agency & Marketing Services
. There were 34 transactions announced in the Agency & Marketing Services segment in February. Digital Agency was the most active subsegment with 18 transactions . Select transactions: • St. Ives’ acquisition of mobile agency The App Business in a transaction valued at $78 million • The $43 million acquisition of creative agency The Brooklyn Brothers by Interpublic Group • IBM’s acquisition of Germany‐based digital marketing agency ecx.io • The purchase of design and business consultancy services firm Fahrenheit 212 by Capgemini • Deloitte Digital’s acquisition of digital creative agency Heat
AGENCY & MARKETING SERVICES TRANSACTIONS BY SEGMENT BUYER/INVESTOR BREAKDOWN Transactions Reported Value Strategic Buyout Venture/Growth Capital # % $MM % # $MM # $MM # $MM Digital Agency 18 53% $109.4 84% 16 $107.0 0 ‐ 2$2.4 Ad Specialty/Premiums 2 6% ‐ 0% 2 ‐ 0 ‐ 0 ‐ Database/Analytics 2 6% ‐ 0% 2 ‐ 0 ‐ 0 ‐ Design Agency 2 6% 3.5 3% 1 ‐ 0 ‐ 13.5 Healthcare Agency 2 6% ‐ 0% 2 ‐ 0 ‐ 0 ‐ Public Relations 2 6% ‐ 0% 2 ‐ 0 ‐ 0 ‐ Social Agency 2 6% ‐ 0% 2 ‐ 0 ‐ 0 ‐ Loyalty/Retention 1 3% 17.3 13% 1 17.3 0 ‐ 0 ‐ Other* 3 9% 0.0 0% 3 0.0 0 0.0 0 0.0 Total 34 100% 130.2 100% 31 124.3 0 0.0 3 5.9
21 | M&A and Investment Summary February 2016 Agency Public Company Valuation
($ in Millions, except stock price data) Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Cello Group Plc United Kingdom $1.19 ‐21% $ 101.7 $ 115.4 $ 265.1 $ 10.3 3.9% 1.3% 0.4x 11.2x Creston plc United Kingdom 1.43 ‐38% 82.8 86.4 120.9 17.9 14.8% 4.5% 0.7x 4.8x Dentsu Inc. * Japan 46.51 ‐27% 13,262.3 14,369.6 (2,566.5) 1,851.4 ‐72.1% NM NM 7.8x Enero Group Limited Australia 0.74 ‐5% 63.7 40.6 158.8 9.2 5.8% 6.9% 0.3x 4.4x Globant S.A. * Luxembourg 30.85 ‐19% 1,055.1 992.4 253.8 30.3 11.9% 27.1% 3.9x 32.8x Havas France 7.32 ‐19% 3,056.7 2,961.1 2,376.3 358.4 15.1% 17.3% 1.2x 8.3x Huntsworth plc United Kingdom 0.53 ‐25% 168.7 215.5 260.9 31.4 12.0% ‐0.4% 0.8x 6.9x M&C Saatchi plc United Kingdom 4.05 ‐28% 291.5 296.9 274.1 25.5 9.3% 6.0% 1.1x 11.6x MDC Holdings Inc. United States 22.11 ‐29% 1,083.5 1,790.9 1,909.0 123.3 6.5% 12.7% 0.9x 14.5x Next Fifteen Communications Group plc United Kingdom 3.14 ‐21% 221.5 233.2 180.3 21.6 12.0% 0.0% 1.3x 10.8x Omnicom Group Inc. United States 77.81 ‐2% 18,642.5 21,214.1 15,134.4 2,211.2 14.6% ‐1.2% 1.4x 9.6x OPT Holding, Inc. Japan 5.22 ‐19% 134.8 120.2 532.9 22.4 4.2% ‐4.4% 0.2x 5.4x Porta Communications Plc United Kingdom 0.08 ‐45% 23.3 34.2 48.3 2.1 4.4% 186.2% 0.7x 16.2x Publicis Groupe SA France 62.09 ‐29% 13,742.7 15,639.4 10,427.4 1,932.1 18.5% 32.3% 1.5x 8.1x The Interpublic Group of Companies, Inc. United States 21.39 ‐10% 8,601.6 9,142.4 7,613.8 1,028.1 13.5% 1.0% 1.2x 8.9x WPP plc United Kingdom 21.22 ‐8% 27,477.2 32,663.0 18,043.4 3,157.5 17.5% 6.1% 1.8x 10.3x
Adjusted Weighted Average 1.5x 9.3x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (2.9x)and EBITDA multiples that are 1.0 standard deviations above the mean (17.4x)
22 | M&A and Investment Summary February 2016 Marketing Services Public Company Valuation
($ in Millions, except stock price data) Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Acxiom Corporation United States $20.74 ‐11% $ 1,612.0 $ 1,626.6 $ 1,046.3 $ 169.7 16.2% 20.6% 1.6x 9.6x Aimia Inc. Canada 6.22 ‐44% 947.0 1,269.3 1,773.4 129.3 7.3% ‐0.3% 0.7x 9.8x Alliance Data Systems Corporation * 01/02/00 19.19 ‐31% 28.3 (4,035.4) 571.4 207.0 36.2% 101.0% NM NM CSG Systems International Inc. United States 37.96 ‐4% 1,235.8 1,279.4 752.5 145.9 19.4% 0.2% 1.7x 8.8x Data Group Ltd. Canada 0.01 ‐99% 7.4 69.7 226.9 13.9 6.1% ‐3.5% 0.3x 5.0x DST Systems Inc. United States 104.58 ‐22% 3,523.3 4,010.9 2,825.1 405.2 14.3% 2.8% 1.4x 9.9x Fair Isaac Corporation * United States 99.52 ‐3% 3,122.7 3,651.0 849.3 194.9 23.0% 6.9% 4.3x 18.7x Harte‐Hanks Inc. United States 3.09 ‐61% 189.3 240.4 495.3 36.6 7.4% ‐10.5% 0.5x 6.6x High Co. SA France 9.11 ‐15% 94.6 53.1 156.1 12.9 8.3% 5.0% 0.3x 4.1x Insignia Systems Inc. United States 2.60 ‐16% 30.3 11.3 28.2 3.6 12.8% 7.2% 0.4x 3.1x Interpace Diagnostics Group, Inc. United States 0.20 ‐93% 3.3 21.9 140.1 (14.9) NM 13.7% 0.2x NM Multiplus S.A. Brazil 6.68 ‐41% 1,082.3 707.7 571.0 132.6 23.2% 24.3% 1.2x 5.3x Pitney Bowes Inc. United States 18.12 ‐25% 3,471.1 5,969.4 3,578.1 817.7 22.9% ‐6.4% 1.7x 7.3x Points International Ltd. Canada 7.40 ‐46% 114.0 75.5 296.4 11.1 3.7% 16.3% 0.3x 6.8x Viad Corp United States 28.36 ‐14% 571.1 625.5 1,089.0 83.9 7.7% 2.3% 0.6x 7.5x
Adjusted Weighted Average 1.4x 8.4x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (3.3x)and EBITDA multiples that are 1.0 standard deviations above the mean (11.8x)
23 | M&A and Investment Summary February 2016 Traditional Media
. Of the 11 transactions announced in the Traditional Media segment in February, three reported more than $265 million in aggregate reported value; all but two transactions reported this month were acquisitions . Select Transactions: • SES Platform Services’ $242 million acquisition of broadcast media services company RR Media • Independent News & Media’s acquisition of consumer magazine group Greer Publications • Out‐of‐home media company OUTFRONT Media’s acquisition of display advertising company Reynolds Outdoor Media • Live Nation Entertainment’s purchase of festival and concert promoter Union Events • The strategic investment raised by television and film production company Imagine Entertainment from The Raine Group
TRADTIONAL MEDIA TRANSACTIONS BY SEGMENT BUYER/INVESTOR BREAKDOWN Transactions Reported Value Strategic Buyout Venture/Growth Capital # % $MM % # $MM # $MM # $MM Broadcast Television 2 18% $231.6 86% 2 $231.6 0 ‐ 0 ‐ B‐to‐B Media 2 18% ‐ 0% 2 ‐ 0 ‐ 0 ‐ Entertainment Media 2 18% ‐ 0% 1 ‐ 0 ‐ 1 ‐ Newspaper Publishing 2 18% 35.0 13% 2 35.0 0 ‐ 0 ‐ Consumer Magazine Publishing 1 9% ‐ 0% 1 ‐ 0 ‐ 0 ‐ Digital Place‐Based Media 1 9% 1.5 1% 0 ‐ 0 ‐ 11.5 Other* 1 9% 0.0 0% 1 0.0 0 0.0 0 0.0 Total 11 100% 268.1 100% 9 266.6 0 0.0 2 1.5
24 | M&A and Investment Summary February 2016 Traditional Media Public Company Valuation (1/3)
($ in Millions, except stock price data)
Large Cap Diversified Media Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA CBS Corporation United States $48.38 ‐24% $ 22,232.6 $ 30,357.6 $ 13,886.0 $ 3,107.0 22.4% 0.6% 2.2x 9.8x Discovery Communications, Inc. United States 25.00 ‐28% 14,367.6 21,804.6 6,394.0 2,442.0 38.2% 2.1% 3.4x 8.9x Time Warner Inc. United States 66.20 ‐28% 52,308.2 73,974.2 28,118.0 7,895.0 28.1% 2.8% 2.6x 9.4x Twenty‐First Century Fox, Inc. * United States 27.02 ‐25% 51,935.3 68,987.3 26,497.0 6,145.0 23.2% ‐18.7% 2.6x 11.2x Viacom, Inc. United States 36.85 ‐50% 14,816.5 27,345.5 13,078.0 4,022.0 30.8% ‐6.1% 2.1x 6.8x The Walt Disney Company United States 95.52 ‐22% 155,847.6 174,701.6 54,318.0 16,439.0 30.3% 8.9% 3.2x 10.6x
Adjusted Weighted Average 2.9x 10.0x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (3.8x)and EBITDA multiples that are 1.0 standard deviations above the mean (11.0x)
($ in Millions, except stock price data)
B‐to‐B Media Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Euromoney Institutional Investor PLC United Kingdom $12.64 ‐31% $ 1,598.1 $ 1,596.5 $ 610.4 $ 252.6 41.4% ‐0.8% 2.6x 6.3x Global Sources Ltd. Bermuda 7.46 ‐23% 225.5 166.4 181.1 34.6 19.1% ‐4.2% 0.9x 4.8x Informa plc United Kingdom 9.57 ‐6% 6,205.2 7,456.1 1,787.6 550.7 30.8% 6.6% 4.2x 13.5x TechTarget, Inc. United States 7.01 ‐44% 224.6 199.2 111.8 17.6 15.7% 5.3% 1.8x 11.3x UBM plc * United Kingdom 8.23 ‐4% 3,641.7 4,370.7 1,135.4 302.0 26.6% 3.2% 3.8x 14.5x
Adjusted Weighted Average 3.8x 11.8x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (5.4x)and EBITDA multiples that are 1.0 standard deviations above the mean (14.4x)
($ in Millions, except stock price data)
Radio Broadcasting Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Beasley Broadcast Group Inc. United States $3.68 ‐31% $ 85.3 $ 159.0 $ 105.9 $ 21.4 20.2% 80.5% 1.5x 7.4x Cumulus Media Inc. United States 0.25 ‐92% 58.5 2,462.5 1,189.1 234.9 19.8% ‐1.7% 2.1x 10.5x Emmis Communications Corp. United States 0.53 ‐74% 24.3 316.7 234.0 37.3 16.0% 1.1% 1.4x 8.5x Entercom Communications Corp. United States 11.43 ‐14% 456.7 962.2 411.4 97.6 23.7% 8.3% 2.3x 9.9x Pandora Media, Inc. United States 10.22 ‐55% 2,327.0 2,191.1 1,164.0 (67.2) NM 26.4% 1.9x NM Radio One Inc. United States 1.35 ‐68% 65.1 1,041.4 450.9 115.2 25.6% 2.1% 2.3x 9.0x Salem Media Group, Inc. United States 4.81 ‐36% 122.5 404.1 262.6 45.8 17.4% ‐0.3% 1.5x 8.8x Sirius XM Holdings Inc. * United States 3.72 ‐11% 18,957.1 24,293.6 4,570.1 1,579.2 34.6% 9.3% 5.3x 15.4x Spanish Broadcasting System Inc. United States 3.79 ‐48% 27.5 420.2 143.0 41.3 28.9% ‐3.1% 2.9x 10.2x Townsquare Media, Inc. United States 9.75 ‐32% 174.2 730.3 441.2 93.7 21.2% 18.0% 1.7x 7.8x
Adjusted Weighted Average 1.9x 9.1x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (4.6x)and EBITDA multiples that are 1.0 standard deviations above the mean (12.1x)
25 | M&A and Investment Summary February 2016 Traditional Media Public Company Valuation (2/3)
($ in Millions, except stock price data)
Broadcast, Cable, and Satellite Television Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA AMC Networks Inc. United States $65.54 ‐25% $ 4,744.7 $ 7,373.9 $ 2,580.9 $ 850.4 32.9% 18.6% 2.9x 8.7x Sky plc United Kingdom 14.53 ‐13% 24,794.2 33,347.1 16,819.1 2,827.0 16.8% 41.2% 2.0x 11.8x Cablevision Systems Corporation United States 32.53 ‐3% 8,999.7 17,630.6 6,509.7 1,739.4 26.7% 0.8% 2.7x 10.1x CBS Corporation United States 48.38 ‐24% 22,232.6 30,357.6 13,886.0 3,107.0 22.4% 0.6% 2.2x 9.8x Charter Communications, Inc. * United States 179.56 ‐10% 20,189.5 55,917.5 9,754.0 3,400.0 34.9% 7.1% 5.7x 16.4x Comcast Corporation United States 57.73 ‐11% 140,999.7 194,149.7 74,510.0 24,876.0 33.4% 8.3% 2.6x 7.8x Crown Media Holdings Inc. United States 4.39 ‐29% 1,579.0 1,858.6 478.7 368.3 76.9% 15.2% 3.9x 5.0x Discovery Communications, Inc. United States 25.00 ‐28% 14,367.6 21,804.6 6,394.0 2,442.0 38.2% 2.1% 3.4x 8.9x Dish Network Corp. United States 47.13 ‐38% 21,877.8 34,305.9 15,068.9 2,980.4 19.8% 2.9% 2.3x 11.5x Entravision Communications Corporation United States 7.72 ‐19% 680.4 949.0 254.1 71.6 28.2% 5.0% 3.7x 13.3x General Communication Inc. United States 19.09 ‐15% 739.1 2,129.3 978.5 317.8 32.5% 7.5% 2.2x 6.7x Gray Television, Inc. United States 11.54 ‐36% 834.9 1,973.1 597.4 201.6 33.8% 17.6% 3.3x 9.8x Grupo Televisa, S.A.B. Mexico 5.16 ‐26% 13,289.6 17,372.2 5,110.8 1,918.7 37.5% 9.9% 3.4x 9.1x Liberty Global plc United Kingdom 36.84 ‐37% 30,473.4 77,308.5 18,280.0 8,376.5 45.8% 0.2% 4.2x 9.2x Media General, Inc. United States 16.62 ‐6% 2,143.1 4,376.4 1,304.9 332.2 25.5% 93.3% 3.4x 13.2x Nexstar Broadcasting Group, Inc. United States 44.68 ‐28% 1,369.6 2,812.6 896.4 301.8 33.7% 42.0% 3.1x 9.3x Scripps Networks Interactive, Inc. United States 59.24 ‐20% 7,625.0 11,824.1 3,018.2 1,363.1 45.2% 13.2% 3.9x 8.7x Sinclair Broadcast Group, Inc. United States 30.87 ‐14% 2,923.9 6,602.1 2,219.1 687.9 31.0% 12.3% 3.0x 9.6x TEGNA Inc. United States 24.64 ‐36% 5,413.9 9,775.6 3,050.9 1,116.5 36.6% 16.2% 3.2x 8.8x The E. W. Scripps Company * United States 17.26 ‐40% 1,448.5 1,739.6 715.7 32.2 4.5% 43.5% 2.4x 54.1x Time Warner Cable Inc. United States 190.86 ‐2% 54,065.0 75,488.0 23,697.0 7,777.0 32.8% 3.9% 3.2x 9.7x Time Warner Inc. United States 66.20 ‐28% 52,308.2 73,974.2 28,118.0 7,895.0 28.1% 2.8% 2.6x 9.4x
Adjusted Weighted Average 2.8x 9.5x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (4.8x)and EBITDA multiples that are 1.0 standard deviations above the mean (21.6x)
($ in Millions, except stock price data)
Entertainment Media Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA DreamWorks Animation SKG Inc. United States $25.66 ‐14% $ 2,216.0 $ 2,520.5 $ 915.9 $ 112.5 12.3% 33.8% 2.8x 22.4x Eros International Plc United Kingdom 7.99 ‐80% 444.4 693.7 297.8 56.6 19.0% 15.0% 2.3x 12.3x Lions Gate Entertainment Corp. * United States 21.10 ‐49% 3,164.8 4,760.1 2,202.3 66.8 3.0% ‐11.0% 2.2x 71.2x Live Nation Entertainment, Inc. United States 21.99 ‐26% 4,452.1 5,667.7 7,245.7 543.6 7.5% 5.5% 0.8x 10.4x Twenty‐First Century Fox, Inc. United States 27.02 ‐25% 51,935.3 68,987.3 26,497.0 6,145.0 23.2% ‐18.7% 2.6x 11.2x Liberty Media Corporation * United States 35.62 ‐16% 11,767.6 25,630.6 4,795.0 1,424.0 29.7% 7.8% 5.3x 18.0x Village Roadshow Limited Austral ia 3.80 ‐33% 609.0 971.7 761.1 114.3 15.0% 10.1% 1.3x 8.5x World Wrestling Entertainment Inc. United States 16.72 ‐29% 1,269.8 1,189.0 658.8 71.3 10.8% 21.4% 1.8x 16.7x
Adjusted Weighted Average 2.4x 12.7x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (5.1x)and EBITDA multiples that are 1.0 standard deviations above the mean (42.0x)
26 | M&A and Investment Summary February 2016 Traditional Media Public Company Valuation (3/3)
($ in Millions, except stock price data)
Out‐of‐Home Media Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA AirMedia Group Inc. China $5.47 ‐29% $ 349.2 $ 235.6 $ 192.6 $ (44.8) NM ‐12.2% 1.2x NM APG|SGA SA Switzerland 401.61 ‐3% 1,202.6 1,063.2 314.8 77.9 24.8% 0.6% 3.4x 13.6x Clear Channel Outdoor Holdings Inc. United States 3.61 ‐69% 1,304.3 6,238.6 2,806.2 678.9 24.2% ‐5.2% 2.2x 9.2x Clear Media Ltd. Hong Kong 0.88 ‐32% 475.7 401.8 236.5 103.2 43.6% 4.1% 1.7x 3.9x JCDecaux SA France 39.32 ‐13% 8,348.6 8,406.0 3,048.7 566.1 18.6% 13.1% 2.8x 14.9x Lamar Advertising Co. United States 57.13 ‐7% 5,524.2 7,421.4 1,353.4 565.7 41.8% 5.2% 5.5x 13.1x Mood Media Corporation United States 0.04 ‐93% 8.1 636.2 477.1 85.1 17.8% ‐4.4% 1.3x 7.5x National CineMedia, Inc. United States 14.95 ‐11% 937.9 2,064.3 446.5 209.5 46.9% 13.3% 4.6x 9.9x NTN Buzztime Inc. United States 0.13 ‐77% 12.5 14.5 24.7 (4.6) NM ‐4.3% 0.6x NM Tom Group Ltd. * Hong Kong 0.23 ‐39% 900.3 1,220.2 184.0 8.7 4.7% ‐15.1% 6.6x 140.6x
Adjusted Weighted Average 3.6x 13.3x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (6.6x)and EBITDA multiples that are 1.0 standard deviations above the mean (56.5x)
($ in Millions, except stock price data)
Publishing Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA A. H. Belo Corporation United States $5.98 ‐32% $ 128.8 $ 52.6 $ 272.1 $ (5.2) NM ‐0.2% 0.2x NM Daily Mail and General Trust plc United Kingdom 9.12 ‐35% 3,055.3 4,245.0 2,788.4 443.2 15.9% 1.7% 1.5x 9.6x Emmis Communications Corp. United States 0.53 ‐74% 24.3 316.7 234.0 37.3 16.0% 1.1% 1.4x 8.5x Gannett Co., Inc. United States 15.26 ‐15% 1,771.4 1,574.7 2,885.0 383.5 13.3% ‐9.0% 0.5x 4.1x Glacier Media, Inc. Canada 0.64 ‐41% 57.4 150.6 173.1 12.4 7.2% 2.6% 0.9x 12.1x John Wiley & Sons Inc. United States 43.53 ‐32% 2,526.8 3,108.0 1,763.9 326.2 18.5% ‐3.6% 1.8x 9.5x Meredith Corporation United States 43.49 ‐24% 1,925.1 2,698.4 1,615.2 301.3 18.7% 5.7% 1.7x 9.0x News Corporation United States 10.82 ‐36% 6,389.2 4,713.2 8,442.0 639.0 7.6% 2.4% 0.6x 7.4x Scholastic Corporation United States 35.03 ‐24% 1,202.6 862.7 1,627.2 83.3 5.1% 11.2% 0.5x 10.4x The E. W. Scripps Company * United States 17.26 ‐40% 1,448.5 1,739.6 715.7 32.2 4.5% 43.5% 2.4x 54.1x The McClatchy Company United States 1.07 ‐48% 91.9 1,038.1 1,056.6 164.7 15.6% ‐7.8% 1.0x 6.3x The New York Times Company United States 12.57 ‐13% 2,013.8 1,833.4 1,579.2 242.7 15.4% ‐0.6% 1.2x 7.6x Time Inc. United States 14.10 ‐42% 1,478.4 2,060.4 3,107.0 404.0 13.0% ‐5.3% 0.7x 5.1x
Adjusted Weighted Average 1.0x 7.9x
(1) All financials are representative of the Reed Elsevier combined businesses, except per stock data, which represents Reed Elsevier (LSE:REL)
27 | M&A and Investment Summary February 2016 Software
. Within the Software segment, $1.6 billion in reported value involved Venture/Growth Capital investments, while nearly $1.7 billion in Strategic transactions were announced . Security Software was the most active subsegment with 29 transactions,accounting for more than $980 million in value . Select Transactions: • Insight Venture Partners’ $624 million acquisition of SaaS‐based collaboration and document management software developer Diligent Corporation • The $112 million Bessemer Venture Partners‐led investment in collaboration solutions developer Fuze • IBM’s $100 million acquisition of incident response solutions provider Resilient Systems • LinkedIn’s acquisition of talent discovery and recruitment software developer Connectifier for a reported $100 million • The $96 million raised by security and analytics platform Skybox from Providence Equity Partners
SOFTWARE TRANSACTIONS BY SEGMENT BUYER/INVESTOR BREAKDOWN Transactions Reported Value Strategic Buyout Venture/Growth Capital # % $MM % # $MM # $MM # $MM Security 29 22% $983.0 23% 10 $157.5 0 ‐ 19 $825.5 Healthcare 15 11% 970.1 23% 8 800.0 1 35.0 6 135.1 ERP 14 11% 676.2 16% 6 101.0 3 500.0 5 75.2 Financial 14 11% 59.2 1% 4 ‐ 0 ‐ 10 59.2 Cloud Computing 10 8% 137.5 3% 5 36.5 0 ‐ 5101.0 HR 8 6% 583.4 14% 3 ‐ 1 435.9 4 147.5 Other* 41 25% 746.8 18% 17 500 1 0 23 246.8 Total 131 100% 4,265.3 100% 53 1,695.0 6 970.9 72 1,599.4
28 | M&A and Investment Summary February 2016 Software Public Company Valuation (1/3)
($ in Millions, except stock price data) Financial & Credit/Risk Management Software Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Ebix Inc. United States 37.03 ‐11% 1,220.2 1,368.6 265.5 97.8 36.8% 23.9% 5.2x 14.0x Epiq Systems, Inc. United States 13.68 ‐26% 513.2 899.5 505.9 78.4 15.5% 13.9% 1.8x 11.5x First Data Corporation United States 12.50 ‐31% 11,240.0 33,473.0 7,764.0 2,374.0 30.6% 2.9% 4.3x 14.1x Fidessa group plc United Kingdom 31.88 ‐7% 1,213.7 1,104.6 435.7 74.1 17.0% 7.4% 2.5x 14.9x Guidewire Software, Inc. * United States 49.23 ‐24% 3,519.6 2,983.0 395.8 21.5 5.4% 7.1% 7.5x 138.5x Intuit Inc. United States 96.64 ‐12% 24,819.2 25,730.2 4,467.0 1,302.0 29.1% 6.4% 5.8x 19.8x Management Consulting Group PLC United Kingdom 0.20 ‐28% 96.2 154.3 380.5 18.3 4.8% ‐6.5% 0.4x 8.4x Model N, Inc. United States 10.32 ‐19% 279.1 208.8 96.2 (17.8) NM 16.8% 2.2x NM NetSuite Inc. United States 60.42 ‐41% 4,832.6 4,751.8 741.1 (61.7) NM 33.2% 6.4x NM Performant Financial Corporation United States 1.65 ‐62% 81.6 104.7 159.4 20.1 12.6% ‐18.4% 0.7x 5.2x Q2 Holdings, Inc. United States 20.27 ‐33% 789.7 679.3 108.9 (16.2) NM 37.6% 6.2x NM RealPage, Inc. United States 20.05 ‐16% 1,577.9 1,587.0 468.5 52.8 11.3% 15.8% 3.4x 30.0x SS&C Technologies Holdings, Inc. United States 58.29 ‐24% 5,756.4 8,073.6 1,000.3 329.6 32.9% 30.3% 8.1x 24.5x Tyler Technologies, Inc. United States 120.32 ‐35% 4,400.3 4,419.8 591.0 129.1 21.8% 19.9% 7.5x 34.2x
Adjusted Weighted Average 5.8x 20.2x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (9.7x)and EBITDA multiples that are 1.0 standard deviations above the mean (55.2x)
($ in Millions, except stock price data) Healthcare Software Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Allscripts Healthcare Solutions, Inc. United States 12.52 ‐21% 2,370.6 2,890.5 1,386.4 112.5 8.1% 0.6% 2.1x 25.7x athenahealth, Inc. * United States 129.07 ‐24% 5,028.2 5,184.4 924.7 60.9 6.6% 22.9% 5.6x 85.2x Cegedim SA France 22.83 ‐52% 318.7 515.5 563.7 77.1 13.7% 214.3% 0.9x 6.7x Cerner Corporation United States 51.06 ‐33% 17,361.3 17,453.2 4,352.5 1,206.2 27.7% 31.4% 4.0x 14.5x Civitas Solutions, Inc. United States 18.49 ‐39% 686.0 1,300.9 1,378.1 130.9 9.5% 7.1% 0.9x 9.9x Computer Programs & Systems Inc. United States 56.66 ‐4% 760.2 724.5 182.2 28.4 15.6% ‐11.0% 4.0x 25.5x Craneware plc United Kingdom 10.49 ‐12% 281.4 244.3 44.8 13.4 29.8% 5.3% 5.5x 18.3x HealthEquity, Inc. * United States 20.82 ‐42% 1,199.8 1,074.7 115.8 31.2 27.0% 44.5% 9.3x 34.4x McKesson Corporation United States 155.62 ‐36% 35,572.7 42,346.7 189,131.0 4,294.0 2.3% 10.0% 0.2x 9.9x Medidata Solutions, Inc. United States 34.50 ‐44% 1,942.7 1,925.8 392.5 40.1 10.2% 17.1% 4.9x 48.1x Quality Systems Inc. United States 15.55 ‐13% 946.8 842.0 493.0 57.0 11.6% 3.3% 1.7x 14.8x Streamline Health Solutions, Inc. United States 1.39 ‐67% 26.1 34.8 28.5 (5.1) NM 3.6% 1.2x NM USMD Holdings, Inc. United States 8.75 ‐34% 96.4 136.1 320.8 (3.8) NM 15.6% 0.4x NM Veeva Systems Inc. United States 24.29 ‐17% 3,230.5 2,891.0 409.2 87.1 21.3% 30.6% 7.1x 33.2x
Adjusted Weighted Average 2.2x 14.7x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (9.0x)and EBITDA multiples that are 1.0 standard deviations above the mean (49.1x)
29 | M&A and Investment Summary February 2016 Software Public Company Valuation (2/3)
($ in Millions, except stock price data)
HR Software LTM Multiples Stock Price Chg % From Equity Ent. LTM LTM Margin LTM Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA 51job Inc. China $27.80 ‐26% $ 1,633.1 $ 1,061.1 $ 316.6 $ 94.9 30.0% 12.2% 3.4x 11.2x Benefitfocus, Inc. United States 31.39 ‐34% 916.8 893.4 185.1 (45.2) NM 34.7% 4.8x NM Castlight Health, Inc. United States 3.32 ‐68% 314.2 193.8 75.3 (78.2) NM 65.1% 2.6x NM Cornerstone OnDemand, Inc. United States 28.80 ‐29% 1,578.1 1,566.2 339.7 (60.3) NM 28.9% 4.6x NM DHI Group, Inc. United States 7.78 ‐26% 404.2 471.2 259.8 64.4 24.8% ‐1.1% 1.8x 7.3x LinkedIn Corporation United States 117.19 ‐56% 15,477.8 13,511.8 2,990.9 246.8 8.3% 34.8% 4.5x 54.7x Paycom Software, Inc. United States 31.88 ‐31% 1,884.0 1,861.5 224.7 42.1 18.7% 48.8% 8.3x 44.3x Paylocity Holding Corporation United States 29.62 ‐37% 1,509.3 1,430.6 187.6 (0.4) NM 46.7% 7.6x NM The Ultimate Software Group, Inc. * United States 171.76 ‐21% 4,954.7 4,843.2 618.1 64.0 10.3% 22.2% 7.8x 75.7x Workday, Inc. United States 60.45 ‐35% 11,727.3 10,265.3 1,162.3 (178.7) NM 47.5% 8.8x NM
Adjusted Weighted Average 6.4x 49.1x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (10.5x)and EBITDA multiples that are 1.0 standard deviations above the mean (67.8x)
($ in Millions, except stock price data) Security Software LTM Multiples Stock Price Chg % From Equity Ent. LTM LTM Margin LTM Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Absolute Software Corporation Canada $5.06 ‐37% $ 195.0 $ 162.3 $ 92.5 $ 16.8 18.2% ‐1.2% 1.8x 9.6x AVG Technologies N.V. Netherlands 19.14 ‐34% 1,001.8 1,118.2 428.3 124.1 29.0% 14.5% 2.6x 9.0x Check Point Software Technologies Ltd. United States 83.07 ‐6% 15,023.6 13,739.4 1,629.8 851.9 52.3% 9.0% 8.4x 16.1x Cisco Systems, Inc. United States 26.18 ‐12% 131,740.9 95,971.9 49,589.0 14,283.0 28.8% 3.1% 1.9x 6.7x Cheetah Mobile Inc. China 14.82 ‐60% 2,110.2 1,937.5 494.1 43.8 8.9% 117.5% 3.9x 44.3x CyberArk Software, Ltd. Israel 37.47 ‐51% 1,186.2 948.0 160.8 35.5 22.1% 56.1% 5.9x 26.7x FireEye, Inc. United States 16.94 ‐69% 2,811.2 2,347.5 623.0 (395.7) NM 46.4% 3.8x NM Fortinet Inc. * United States 28.40 ‐44% 4,873.5 3,982.2 1,009.3 55.8 5.5% 31.0% 3.9x 71.4x Gemalto NV Netherlands 63.63 ‐32% 5,600.9 6,140.1 3,390.3 525.1 15.5% 26.6% 1.8x 11.7x Imperva Inc. United States 43.87 ‐44% 1,417.4 1,152.6 234.3 (43.2) NM 42.9% 4.9x NM Imprivata, Inc. United States 11.54 ‐47% 288.6 237.5 119.1 (17.0) NM 22.8% 2.0x NM Infoblox Inc. United States 15.48 ‐45% 910.8 583.6 355.1 2.0 0.6% 33.0% 1.6x NM Juniper Networks, Inc. United States 24.70 ‐24% 9,450.3 9,451.0 4,857.8 1,077.9 22.2% 5.0% 1.9x 8.8x Mimecast Limited United Kingdom 9.36 ‐16% 506.2 408.6 135.7 13.7 10.1% 0.0% 3.0x 29.8x Mobileye N.V. * Israel 32.46 ‐50% 7,033.9 6,821.8 240.9 81.1 33.6% 67.7% 28.3x 84.2x NQ Mobile Inc. China 3.77 ‐42% 357.2 412.6 368.9 (14.7) NM 18.8% 1.1x NM Palo Alto Networks, Inc. United States 144.79 ‐28% 12,795.2 12,328.1 1,150.0 (121.9) NM 55.6% 10.7x NM Proofpoint, Inc. United States 46.84 ‐38% 1,928.1 1,867.7 265.4 (55.5) NM 35.7% 7.0x NM Qihoo 360 Technology Co. Ltd. China 71.88 ‐4% 8,604.9 9,092.5 1,630.3 439.4 27.0% 64.2% 5.6x 20.7x Symantec Corporation United States 19.31 ‐26% 12,594.4 12,065.4 6,178.0 1,949.0 31.5% 32.0% 2.0x 6.2x Trend Micro Inc. Japan 36.41 ‐24% 4,970.2 3,679.0 1,034.3 326.4 31.6% 7.9% 3.6x 11.3x VeriSign, Inc. United States 84.49 ‐10% 9,249.0 9,203.2 1,059.4 667.4 63.0% 4.9% 8.7x 13.8x
Adjusted Weighted Average 3.5x 9.2x
*Calculation is market capweighted and excludes revenue multiples that are 2.0 standard deviations above the mean (16.8x)and EBITDA multiples that are 1.0 standard deviations above the mean (48.7x) 30 | M&A and Investment Summary February 2016 Software Public Company Valuation (3/3)
($ in Millions, except stock price data) Engineering Software Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Ansys, Inc. United States $83.02 ‐16% $ 7,322.8 $ 6,538.2 $ 942.8 $ 432.1 45.8% 0.7% 6.9x 15.1x Autodesk, Inc. * United States 51.74 ‐21% 11,745.0 10,981.8 2,504.1 147.1 5.9% ‐0.3% 4.4x 74.7x AVEVA Group plc United Kingdom 21.25 ‐36% 1,358.1 1,210.9 309.8 66.1 21.3% ‐4.7% 3.9x 18.3x Dassault Systemes SA France 75.92 ‐10% 19,248.8 17,799.7 3,083.9 930.8 30.2% 23.8% 5.8x 19.1x
Adjusted Weighted Average 5.5x 18.0x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (8.0x)and EBITDA multiples that are 1.0 standard deviations above the mean (60.4x)
($ in Millions, except stock price data) Infrastructure Software Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Adobe Systems Incorporated United States $85.15 ‐12% $ 42,432.8 $ 40,352.0 $ 4,795.5 $ 1,244.1 25.9% 15.6% 8.4x 32.4x Atlassian Corporation Plc * Australia 23.77 NM 5,048.6 4,366.6 387.3 15.7 4.1% 0.0% 11.3x NM CA, Inc. United States 29.29 ‐12% 12,207.0 11,957.0 4,039.0 1,232.0 30.5% ‐6.6% 3.0x 9.7x CommVault Systems, Inc. * United States 37.47 ‐22% 1,692.4 1,291.3 586.3 8.4 1.4% ‐4.5% 2.2x 153.5x Covisint Corporation United States 1.95 ‐41% 78.8 41.2 79.5 (19.8) NM ‐11.2% 0.5x NM Endurance International Group Holdings, Inc. United States 11.24 ‐52% 1,483.0 2,556.4 741.3 182.8 24.7% 17.7% 3.4x 14.0x First Data Corporation United States 12.50 ‐31% 11,240.0 33,473.0 7,764.0 2,374.0 30.6% 2.9% 4.3x 14.1x Guidance Software, Inc. United States 5.35 ‐48% 163.8 144.9 107.0 (7.7) NM ‐1.5% 1.4x NM Hortonworks Inc. United States 11.55 ‐60% 630.4 536.1 121.9 (174.7) NM 164.8% 4.4x NM IBM Corporation United States 131.03 ‐26% 125,904.2 157,764.2 81,741.0 20,082.0 24.6% ‐11.9% 1.9x 7.9x IntraLinks Holdings, Inc. United States 7.77 ‐39% 448.4 470.9 276.2 8.3 3.0% 7.9% 1.7x 56.5x NetSuite Inc. United States 60.42 ‐41% 4,832.6 4,751.8 741.1 (61.7) NM 33.2% 6.4x NM Opera Software ASA Norway 7.75 ‐15% 1,125.8 1,190.6 615.9 99.2 16.1% 28.1% 1.9x 12.0x Oracle Corporation United States 36.78 ‐19% 154,520.9 144,533.9 37,473.0 15,214.0 40.6% ‐3.5% 3.9x 9.5x salesforce.com, inc. United States 67.75 ‐18% 44,986.0 45,701.0 6,667.2 604.1 9.1% 24.1% 6.9x 75.7x Rapid7, Inc. United States 13.29 ‐ 552.8 466.2 110.5 (39.4) NM 43.8% 4.2x NM ServiceNow, Inc. United States 54.99 ‐40% 8,841.6 8,514.9 1,005.5 (106.0) NM 47.3% 8.5x NM Textura Corporation United States 17.25 ‐45% 451.8 373.1 86.7 (3.9) NM 37.7% 4.3x NM Varonis Systems, Inc. United States 18.41 ‐42% 480.1 373.6 127.2 (17.5) NM 25.5% 2.9x NM
Adjusted Weighted Average 4.2x 19.2x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (9.9x)and EBITDA multiples that are 1.0 standard deviations above the mean (85.0x)
31 | M&A and Investment Summary February 2016 Information
. The Information segment reported 10 transactions worth more than $3.7 billion in value . Healthcare Information was the most active subsegment with seven deals, followed by the Financial Information subsegment with three transactions . Select Transactions: • Nasdaq’s acquisition of financial information and news distribution services provider Marketwired from OMERS for $108 million • The $20 million raised by Xignite, a provider of market data solutions to financial institutions, from Quick Corporation, StarVest Partners, and Altos Ventures • The $17 million UPMC‐led round of funding in online mental health and wellness support source Lantern • IMS Health’s acquisition of biopharmaceutical and consumer health research company AlphaImpactRX
INFORMATION TRANSACTIONS BY SEGMENT BUYER/INVESTOR BREAKDOWN Transactions Reported Value Strategic Buyout Venture/Growth Capital # % $MM % # $MM # $MM # $MM Healthcare Information 7 70% $3,599.4 96% 4 $3,576.4 0 ‐ 3$23.0 Financial Information 3 30% 143.8 4% 1 108.3 0 ‐ 235.5 Legal Information 0 0% ‐ 0% 0 ‐ 0 ‐ 0 ‐ Credit/Risk Management Information 0 0% ‐ 0% 0 ‐ 0 ‐ 0 ‐ HR Information 0 0% ‐ 0% 0 ‐ 0 ‐ 0 ‐ *Intercontinental Exchange’s $7.4 billion acquisition of Interactive Data has been excluded to limit comparative distortions Product/Price Information 0 0% ‐ 0% 0 ‐ 0 ‐ 0 ‐ Engineering/Scientific/Tech Information 0 0% ‐ 0% 0 ‐ 0 ‐ 0 ‐ Geo‐Demo Information 0 0% ‐ 0% 0 ‐ 0 ‐ 0 ‐ Total 10 100% 3,743.2 100% 5 3,684.7 0 0.0 5 58.5
32 | M&A and Investment Summary February 2016 Information
PublicFinancial & Credit/Risk Company Management Information Valuation (1/2)
($ in Millions, except stock price data)
Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Broadridge Financial Solutions, Inc. United States $56.13 ‐7% $ 6,670.1 $ 7,119.4 $ 2,797.5 $ 593.7 21.2% 6.7% 2.5x 12.0x Computershare Limited Australia 6.51 ‐35% 3,570.1 4,939.6 1,943.7 595.7 30.6% ‐2.6%21.2% 2.5x 8.8% 8.3x 2.8x 13.3x CoreLogic, Inc. CoStar Group Inc. United States* United 34.59 States‐18% 177.06 3,052.5‐ 21% 4,299.1 5,756.8 1,528.1 5,690.1 324.0 711.8 91.4 12.8% 23.6% 8.0x 62.3x DST Systems Inc. United States 104.58 ‐22% 3,523.3 4,010.9 2,825.1 405.2 14.3% 2.8% 1.4x 9.9x Dun & Bradstreet Corp. United States 95.79 ‐29% 3,464.9 4,934.8 1,637.1 428.1 26.1% 3.3% 3.0x 11.5x Envestnet, Inc. United States 20.51 ‐65% 735.9 984.7 420.9 50.6 12.0% 20.7% 2.3x 19.5x 914.6 34.3% 9.3% 5.1x 14.9x Equifax Inc. United States 104.88 ‐8% 12,449.9 13,591.3 2,663.6 Experian plc Ireland 16.48 ‐8% 15,459.5 18,549.9 4,656.0 1,486.0 31.9% ‐4.8% 4.0x 12.5x FactSet Research Systems Inc. United States 150.49 ‐15% 6,198.8 6,295.5 1,034.6 371.2 35.9% 10.1% 6.1x 17.0x Fair Isaac Corporation United States 99.52 ‐3% 3,122.7 3,651.0 849.3 194.9 23.0% 6.9% 4.3x 18.7x Fidelity National Information Services, Inc. United States 58.25 ‐21% 18,920.5 29,832.8 6,595.2 1,685.2 25.6% 2.8% 4.5x 17.7x 47% 1,503.6 1,158.5 310.7 57.9 18.6% 10.2% 3.7x 20.0x Financial Engines, Inc. United States 24.40 ‐ McGraw Hill Financial, Inc. United States 89.74 ‐18% 23,808.0 26,901.0 5,313.0 2,210.0 41.6% 5.2% 5.1x 12.2x Moody's Corporation United States 88.80 ‐22% 17,307.1 18,707.9 3,484.5 1,586.9 45.5% 4.5% 5.4x 11.8x Morningstar Inc. United States 79.39 ‐9% 3,406.7 3,193.4 788.8 255.0 32.3% 3.8% 4.0x 12.5x MSCI Inc. United States 70.52 ‐4% 6,966.4 7,768.1 1,075.0 481.7 44.8% 7.9% 7.2x 16.1x 249.4 223.4 50.9 15.9 31.3% 23.1% 4.4x 14.0x Reis, Inc. United States 22.17 ‐20% SEI Investments Co. United States 38.17 ‐31% 6,246.5 5,566.8 1,334.2 388.5 29.1% 5.4% 4.2x 14.3x Thomson Reuters Corporation United States 36.63 ‐13% 27,866.0 36,228.7 12,209.0 2,647.0 21.7% ‐3.2% 3.0x 13.7x Verisk Analytics, Inc. United States 72.84 ‐11% 12,239.6 15,265.7 2,068.0 944.8 45.7% 18.4% 7.4x 16.2x Workiva Inc. United States 12.48 ‐34% 509.0 450.9 145.3 (39.3) NM 28.9% 3.1x NM *Calculation is market cap weighted Adjusted Weighted Average 4.5x 14.0x
and excludes revenue multiples that are 2.0 standard deviations above the mean (7.7x)and EBITDA multiples that are 1.0 standard deviations above the mean (27.5x) in Millions, except stock price data)
Marketing Information($ Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Acxiom Corporation United States $20.74 ‐11% $ 1,612.0 $ 1,626.6 $ 1,046.3 $ 169.7 16.2% 20.6% 1.6x 9.6x Alliance Data Systems Corporation United States 210.13 ‐33% 12,452.6 28,629.9 6,439.7 1,508.739.4 23.4%6.9 21.4%17.5% 4.4x 0.7% 19.0x 1.1x 6.3x Brainjuicer Group Plc Cello Group Plc United Kingdom United Kingdom 4.01 ‐35% 1.19 ‐21%50.9 43.6101.7 115.4 265.1 10.3 3.9% 1.3% 0.4x 11.2x comScore, Inc. * United States 41.15 ‐37% 2,331.9 2,218.0 368.8 37.1 10.1% 12.1% 6.0x 59.7x Cross Marketing Inc. Japan 2.72 ‐51% 53.1 58.5 123.6 13.3 10.7% 82.5% 0.5x 4.4x Ebiquity plc United Kingdom 1.89 ‐15% 137.8 182.1 115.2 18.8 16.3% 5.4% 1.6x 9.7x GfK SE Germany 31.37 ‐32% 1,145.0 1,564.6 1,692.6 234.3 ‐Hanks Inc. United States 3.09 ‐61% 189.3 240.4 495.3 36.6 7.4% ‐10.5%13.8% 0.5x 3.9% 6.6x 0.9x 6.7x Harte InnerWorkings Inc. United States 6.88 ‐21% 370.9 439.4 1,029.4 44.0 4.3% 2.9% 0.4x 10.0x Intage Holdings Inc. Japan 12.81 ‐35% 255.7 215.4 378.9 42.9 11.3% 4.1% 0.6x 5.0x Ipsos SA France 21.56 ‐27% 976.4 1,598.1 1,938.9 216.9 11.2% 6.9% 0.8x 7.4x NeuStar, Inc. United States 24.87 ‐24% 1,337.3 2,343.6 1,050.0 400.3 38.1% 9.0% 2.2x 5.9x United States 50.34 ‐3% 18,217.0 25,398.0 6,172.0 1,499.0 24.3% ‐1.8% 4.1x 16.9x Nielsen Holdings plc Onvia Inc. United States 3.69 ‐26% 26.3 19.5 23.6 1.8 7.7% 4.3% 0.8x 10.7x Pearson plc United Kingdom 11.97 ‐45% 9,713.6 10,783.7 6,589.0 1,103.1 16.7% ‐8.3% 1.6x 9.8x YouGov plc United Kingdom 1.87 ‐16% 194.7 180.8 119.0 10.2 8.6% 13.0% 1.5x 17.7x
Adjusted Weighted Average 3.3x 14.8x
the mean (25.6x) 33 | M&A and Investment Summary February 2016
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (5.0x)and EBITDA multiples that are 1.0 standard deviations above Information Public Company Valuation (2/2)
($ in Millions, except stock price data)
Other Information Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Centaur Media plc United Kingdom $0.81 ‐35% $ 115.7 $ 135.9 $ 104.4 $ 9.2 8.8% 0.0% 1.3x 14.8x CEB Inc. United States 54.27 ‐41% 1,771.7 2,219.8 928.4 208.9 22.5% 2.1% 2.4x 10.6x Forrester Research Inc. United States 31.12 ‐19% 552.1 448.0 313.7 32.4 10.3% 0.5% 1.4x 13.8x Gartner Inc. United States 82.40 ‐13% 6,784.8 7,242.0 2,163.1 353.1 16.3% 7.0% 3.3x 20.5x IHS Inc. United States 103.99 ‐23% 7,009.2 8,848.8 2,184.3 568.7 26.0% 5.0% 4.1x 15.6x Informa plc United Kingdom 9.57 ‐6% 6,205.2 7,456.1 1,787.6 550.7 30.8% 6.6% 4.2x 13.5x National Research Corp. United States 34.65 ‐9% 432.8 393.0 102.3 30.6 29.9% 3.5% 3.8x 12.9x Markit Ltd. United Kingdom 27.82 ‐10% 4,996.8 5,711.0 1,113.4 475.9 42.7% 4.5% 5.1x 12.0x NIC Inc. United States 17.59 ‐16% 1,154.8 1,056.4 292.4 74.6 25.5% 7.5% 3.6x 14.2x Premier, Inc. United States 32.52 ‐18% 1,471.7 1,389.2 1,090.8 355.3 32.6% 16.1% 1.3x 3.9x Press Ganey Holdings, Inc. * United States 26.38 ‐27% 1,392.1 1,546.1 318.7 28.4 8.9% 13.2% 4.9x 54.5x Proofpoint, Inc. * United States 46.84 ‐38% 1,928.1 1,867.7 265.4 (55.5) NM 35.7% 7.0x NM Reed Elsevier plc(1) United Kingdom 17.31 ‐5% 35,194.3 41,186.5 9,510.4 2,309.6 24.3% 4.5% 4.3x 17.8x Tarsus Group plc Ireland 3.23 ‐5% 328.7 397.4 120.9 45.9 38.0% 35.3% 3.3x 8.7x TechTarget, Inc. United States 7.01 ‐44% 224.6 199.2 111.8 17.6 15.7% 5.3% 1.8x 11.3x The Advisory Board Company United States 29.49 ‐51% 1,235.5 1,713.8 768.3 131.0 17.0% 32.1% 2.2x 13.1x UBM plc United Kingdom 8.23 ‐4% 3,641.7 4,370.7 1,135.4 302.0 26.6% 3.2% 3.8x 14.5x Wolters Kluwer NV Netherlands 37.80 ‐4% 11,025.7 12,964.8 4,570.2 1,159.9 25.4% 15.0% 2.8x 11.2x
Adjusted Weighted Average 3.9x 15.5x
(1) All financials are representative of the Reed Elsevier combined businesses, except per stock data, which represents Reed Elsevier (LSE:REL)
34 | M&A and Investment Summary February 2016 Business Services
. The Business Services segment reported 32 transactions in February worth $875 million in value . The IT Consulting/Systems Integration and Corporate Training subsegments together accounted for more than half of the segments total activity with 12 and seven transactions, respectively . Select Transactions: • The $260 million acquisition of employment law advisory services provider Citation by Hg Capital • Digital education and training platform Knewton’s $52 million round of funding from Atomico and Sofina • The $28 million raised by same day delivery startup Deliv from UPS with participation from Upfront Ventures, RPM Ventures, and General Growth Properties • BlackBerry’s acquisition of UK‐based cybersecurity consultancy Encription • Udemy.com’s acquisition of interview preparation training programs provider Talentbuddy
BUSINESS SERVICES TRANSACTIONS BY SEGMENT BUYER/INVESTOR BREAKDOWN Transactions Reported Value Strategic Buyout Venture/Growth Capital # % $MM % # $MM # $MM # $MM IT Consulting/Systems Integration 12 38% $490.5 56% 10 $489.0 0 ‐ 2$1.5 Corporate Training 7 22% 86.8 10% 3 ‐ 0 ‐ 486.8 Logistics 3 9% 37.5 4% 0 ‐ 0 ‐ 337.5 BPO 2 6% ‐ 0% 0 ‐ 1 ‐ 1 ‐ Credit/Risk Consulting 2 6% ‐ 0% 1 ‐ 0 ‐ 1 ‐ Healthcare Consulting 2 6% ‐ 0% 1 ‐ 1 ‐ 0 ‐ HR Consulting 2 6% 260.0 30% 1 ‐ 1260.00 ‐ Printing Services 1 3% ‐ 0% 1 ‐ 0 ‐ 0 ‐ Other* 1 3% 0.0 0% 1 0.0 0 0.0 0 0.0 Total 32 100% 874.8 100% 18 489.0 3 260.0 11 125.8
35 | M&A and Investment Summary February 2016 Business Services Public Company Valuation (1/3)
($ in Millions, except stock price data)
Consulting Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA CRA International Inc. United States 19.72 ‐39% 176.1 137.9 303.6 23.5 7.7% ‐0.9% 0.5x 5.9x FTI Consulting, Inc. United States 32.91 ‐28% 1,331.2 1,676.3 1,779.1 199.9 11.2% 1.3% 0.9x 8.4x Information Services Group, Inc. United States 3.06 ‐38% 113.8 151.8 208.6 18.2 8.7% ‐0.6% 0.7x 8.4x Navigant Consulting Inc. United States 15.18 ‐15% 719.7 884.5 833.8 120.4 14.4% 8.8% 1.1x 7.3x ICF International Inc. United States 33.78 ‐23% 649.4 975.8 1,127.9 111.2 9.9% 12.4% 0.9x 8.8x Huron Consulting Group Inc. United States 55.52 ‐29% 1,146.4 1,400.2 699.0 155.6 22.3% 11.4% 2.0x 9.0x The Hackett Group, Inc. * United States 13.90 ‐31% 408.4 384.9 234.6 27.6 11.8% 9.9% 1.6x 13.9x
Adjusted Weighted Average 1.3x 8.4x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (2.3x)and EBITDA multiples that are 1.0 standard deviations above the mean (11.8x)
($ in Millions, except stock price data)
HR Services Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Automatic Data Processing, Inc. United States 84.69 ‐7% 38,741.5 37,914.5 11,239.9 2,331.6 20.7% 6.1% 3.4x 16.3x Barrett Business Services Inc. United States 34.94 ‐34% 251.6 264.6 723.6 39.2 5.4% 19.5% 0.4x 6.8x Capita plc United Kingdom 13.96 ‐27% 9,247.4 12,184.5 7,133.0 1,071.7 15.0% 10.5% 1.7x 11.4x DHI Group, Inc. United States 7.78 ‐26% 404.2 471.2 259.8 64.4 24.8% ‐1.1% 1.8x 7.3x Edenred SA France 17.58 ‐37% 4,018.7 4,995.3 1,086.1 336.7 31.0% 4.4% 4.6x 14.8x Insperity, Inc. United States 47.49 ‐14% 1,009.5 730.1 2,603.6 92.1 3.5% 10.4% 0.3x 7.9x LinkedIn Corporation * United States 117.19 ‐56% 15,477.8 13,511.8 2,990.9 246.8 8.3% 34.8% 4.5x 54.7x Marsh & McLennan Companies, Inc. United States 57.05 ‐5% 29,736.0 32,865.0 12,893.0 2,842.0 22.0% ‐0.4% 2.5x 11.6x Paychex, Inc. United States 51.39 ‐6% 18,549.0 18,072.6 2,841.9 1,215.0 42.8% 8.0% 6.4x 14.9x Professional Diversity Network, Inc. United States 0.32 ‐94% 4.7 0.6 38.2 (6.7) NM 664.3% 0.0x NM TriNet Group, Inc. United States 13.09 ‐65% 916.6 1,250.1 2,659.3 131.1 4.9% 21.2% 0.5x 9.5x WageWorks, Inc. United States 48.17 ‐16% 1,731.4 1,309.4 334.3 64.3 19.2% 24.8% 3.9x 20.4x
Adjusted Weighted Average 3.6x 14.1x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (6.6x)and EBITDA multiples that are 1.0 standard deviations above the mean (29.5x)
36 | M&A and Investment Summary February 2016 Business Services Public Company Valuation (2/3)
($ in Millions, except stock price data)
IT Consulting/Systems Integration Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA Accenture plc Ireland 100.26 ‐9% $ 62,954.7 $ 60,411.4 $ 31,165.4 $ 5,195.1 16.7% 2.0% 1.9x 11.6x Amdocs Limited United States 56.76 ‐8% 8,534.4 7,348.6 3,658.8 693.2 18.9% 1.5% 2.0x 10.6x Bechtle AG Germany 85.82 ‐16% 1,802.2 1,748.8 3,087.4 155.5 5.0% 11.1% 0.6x 11.2x Booz Allen Hamilton Holding Corporation United States 27.60 ‐12% 4,106.6 5,533.5 5,324.4 494.7 9.3% ‐0.1% 1.0x 11.2x Broadridge Financial Solutions, Inc. United States 56.13 ‐7% 6,670.1 7,119.4 2,797.5 593.7 21.2% 6.7% 2.5x 12.0x Business & Decision SA France 5.96 ‐32% 47.0 85.6 245.8 13.4 5.5% 11.3% 0.3x 6.4x Cap Gemini S.A. France 83.32 ‐17% 14,358.5 12,881.1 12,940.5 1,419.5 11.0% 12.7% 1.0x 9.1x CGI Group Inc. Canada 41.83 ‐9% 12,891.9 14,093.1 7,516.9 1,292.0 17.2% 0.3% 1.9x 10.9x Cognizant Technology Solutions Corporation United States 56.98 ‐18% 34,707.7 31,045.7 12,416.0 2,472.0 19.9% 21.0% 2.5x 12.6x Computer Sciences Corporation United States 28.81 ‐60% 3,977.7 4,823.7 11,265.0 1,203.0 10.7% 18.1% 0.4x 4.0x CSG Systems International Inc. United States 37.96 ‐4% 1,235.8 1,279.4 752.5 145.9 19.4% 0.2% 1.7x 8.8x Digi International Inc. United States 8.49 ‐37% 219.1 116.7 215.9 16.0 7.4% 12.1% 0.5x 7.3x Globant S.A. * Luxembourg 30.85 ‐19% 1,055.1 992.4 253.8 30.3 11.9% 27.1% 3.9x 32.8x International Business Machines Corporation United States 131.03 ‐26% 125,904.2 157,764.2 81,741.0 20,082.0 24.6% ‐11.9% 1.9x 7.9x Infosys Limited India 15.89 ‐13% 36,310.6 31,921.5 9,214.0 2,558.0 27.8% 6.6% 3.5x 12.5x ITS Group France 5.83 ‐34% 44.6 52.6 210.9 8.5 4.0% 17.7% 0.2x 6.2x NCI, Inc. United States 14.94 ‐13% 201.1 210.9 333.1 28.8 8.6% 5.1% 0.6x 7.3x NTT Data Corporation Japan 50.06 ‐10% 14,040.5 16,176.7 13,228.6 2,107.0 15.9% 8.3% 1.2x 7.7x Perficient Inc. United States 18.05 ‐16% 637.6 689.9 458.1 55.2 12.1% 4.2% 1.5x 12.5x Tata Consultancy Services Limited * India 31.90 ‐23% 62,855.0 59,228.7 15,768.3 4,001.3 25.4% 13.5% 3.8x 14.8x Wipro Ltd. India 7.62 ‐24% 18,709.8 15,682.6 7,513.3 1,624.9 21.6% 7.1% 2.1x 9.7x
Adjusted Weighted Average 2.3x 10.7x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (3.9x)and EBITDA multiples that are 1.0 standard deviations above the mean (16.5x)
37 | M&A and Investment Summary February 2016 Business Services Public Company Valuation (3/3)
($ in Millions, except stock price data)
Outsourced Services Stock Price Chg % From Equity Ent. LTM LTM Margin LTM LTM Multiples Company Name Headquarters 02/29/16 52WK High Value Value Revenue EBITDA EBITDA Rev Growth EV/Rev EV/EBITDA AMREP Corporation United States $3.88 ‐32% $ 31.3 $ 36.1 $ 43.9 $ (2.8) NM ‐17.8% 0.8x NM Cenveo Inc. United States 0.38 ‐86% 25.8 1,226.6 1,741.8 145.8 8.4% ‐1.1% 0.7x 8.4x Communisis plc United Kingdom 0.61 ‐30% 127.5 175.2 522.4 49.0 9.4% 3.3% 0.3x 3.6x Cineplex Inc. * Canada 36.49 ‐5% 2,312.5 2,546.5 988.1 175.0 17.7% 11.0% 2.6x 14.6x Contax Participações S.A. Brazil 0.03 ‐94% 8.5 266.6 833.5 33.9 4.1% ‐5.0% 0.3x 7.9x Convergys Corporation United States 25.78 ‐4% 2,490.0 2,613.9 2,950.6 381.4 12.9% 3.3% 0.9x 6.9x Elanders AB Sweden 8.86 ‐4% 234.9 320.8 501.8 50.7 10.1% 13.6% 0.6x 6.3x Eniro AB Sweden 0.08 ‐88% 35.8 233.5 288.8 45.4 15.7% ‐18.8% 0.8x 5.1x Exlservice Holdings, Inc. * United States 47.09 ‐4% 1,560.6 1,412.4 628.5 99.1 15.8% 25.9% 2.2x 14.3x Firstsource Solutions Limited India 0.44 ‐36% 295.9 445.5 465.8 57.9 12.4% 1.0% 1.0x 7.7x Genpact Limited * Bermuda 26.43 ‐3% 5,564.7 5,913.5 2,461.0 417.0 16.9% 8.0% 2.4x 14.2x InnerWorkings Inc. * United States 6.88 ‐21% 370.9 439.4 1,029.4 44.0 4.3% 2.9% 0.4x 10.0x MAXIMUS, Inc. * United States 49.17 ‐30% 3,190.8 3,388.8 2,189.5 291.5 13.3% 24.3% 1.5x 11.6x Quad/Graphics, Inc. United States 12.66 ‐47% 632.1 1,977.7 4,677.7 468.5 10.0% ‐3.8% 0.4x 4.2x Quintiles Transnational Holdings Inc. * United States 62.71 ‐22% 7,486.6 9,211.5 4,326.4 769.9 17.8% 3.9% 2.1x 12.0x R.R. Donnelley & Sons Company United States 15.18 ‐25% 3,169.1 6,216.3 11,256.8 1,147.9 10.2% ‐3.0% 0.6x 5.4x Salmat Limited Australia 0.46 ‐46% 74.3 72.3 350.0 12.5 3.6% 1.4% 0.2x 5.8x Serco Group plc United Kingdom 1.30 ‐58% 1,417.4 1,561.7 4,685.1 194.7 4.2% ‐19.7% 0.3x 8.0x St Ives plc United Kingdom 3.40 ‐4% 481.6 569.2 538.9 71.7 13.3% 4.2% 1.1x 7.9x StarTek, Inc. * United States 4.47 ‐47% 69.7 67.0 282.1 3.1 1.1% 12.8% 0.2x 21.4x Sykes Enterprises, Incorporated United States 30.47 ‐8% 1,320.8 1,155.4 1,286.3 152.2 11.8% ‐3.1% 0.9x 7.6x Teleperformance S.A. * France 77.32 ‐11% 4,418.2 4,820.1 3,690.5 496.0 13.4% 23.2% 1.3x 9.7x TeleTech Holdings Inc. United States 27.70 ‐10% 1,340.6 1,381.9 1,283.1 163.8 12.8% 5.0% 1.1x 8.4x Trans Cosmos, Inc. Japan 22.22 ‐27% 914.0 760.1 1,813.6 92.7 5.1% 10.3% 0.4x 8.2x Transcontinental Inc. Canada 14.19 ‐13% 1,098.4 1,353.7 1,530.3 296.0 19.3% 0.6% 0.9x 4.6x Cimpress N.V. * Netherlands 88.18 ‐7% 2,763.7 3,451.5 1,592.4 209.3 13.1% 13.9% 2.2x 16.5x West Corporation * United States 22.28 ‐36% 1,859.1 5,076.8 2,280.3 651.8 28.6% 2.8% 2.2x 7.8x Xchanging plc United Kingdom 2.64 ‐5% 655.3 723.5 649.2 89.2 13.7% ‐23.2% 1.1x 8.1x
Adjusted Weighted Average 1.2x 7.4x
*Calculation is market cap weighted and excludes revenue multiples that are 2.0 standard deviations above the mean (1.1x)and EBITDA multiples that are 1.0 standard deviations above the mean (11.0x)
38 | M&A and Investment Summary February 2016 PPLLC Indices Valuation Summary
Current Summary Trading Valuation Information
Revenue Multiples Public Company Index MEAN MEDIAN W. AVG ADJ. W. AVG* US‐based Digital Media and Internet 3.0x 1.6x 6.7x 2.0x Internationally‐based Digital Media and Internet 2.9x 1.8x 4.5x 2.0x US‐based eCommerce 2.5x 1.5x 3.8x 1.9x Internationally‐based eCommerce 3.0x 1.3x 8.7x 1.6x US‐based Digital Advertising 2.6x 1.6x 9.3x 1.8x Internationally‐based Digital Advertising 3.7x 2.0x 9.6x 1.9x US‐based Marketing Technology 3.1x 2.9x 4.1x 3.7x Internationally‐based Marketing Technology 3.0x 3.2x 4.3x 4.3x Agency 1.2x 1.1x 1.3x 1.5x Marketing Services 1.2x 0.6x 2.6x 2.4x Traditional Media 2.4x 2.2x 3.0x 2.8x Software 4.2x 3.9x 4.1x 3.9x Information 3.3x 3.2x 4.3x 4.1x Business Services 1.2x 0.8x 2.4x 2.0x
As of close of business on 02/26/16
*Calculation is market cap weighted and excludes revenue multiples that are 3 standard deviations above the mean and EBITDA multiples that are 2 standard deviations above the mean
39 | February 2016 PPLLC Indices Valuation Summary
Current Summary Trading Valuation Information
EBITDA Multiples Public Company Index MEAN MEDIAN W. AVG ADJ. W. AVG* US‐based Digital Media and Internet 19.5x 13.8x 17.2x 12.1x Internationally‐based Digital Media and Internet 16.1x 9.7x 18.4x 11.2x US‐based eCommerce 15.8x 12.6x 16.1x 12.6x Internationally‐based eCommerce 21.3x 21.1x 24.8x 13.4x US‐based Digital Advertising 16.9x 15.9x 23.6x 12.5x Internationally‐based Digital Advertising 15.8x 12.0x 15.2x 12.7x US‐based Marketing Technology 20.9x 17.8x 18.9x 13.4x Internationally‐based Marketing Technology 19.3x 15.2x 14.8x 14.9x Agency 10.7x 8.9x 9.1x 8.8x Marketing Services 8.3x 7.3x 12.3x 8.1x Traditional Media 13.8x 9.5x 10.7x 10.2x Software 29.6x 15.3x 18.9x 13.1x Information 15.0x 13.1x 16.2x 14.9x Business Services 9.9x 8.3x 13.6x 11.8x
As of close of business on 02/26/16
*Calculation is market cap weighted and excludes revenue multiples that are 3 standard deviations above the mean and EBITDA multiples that are 2 standard deviations above the mean
40 | February 2016 PPLLC Indices LTM Share Pricing Trends
Digital Media/Commerce and Traditional Media Digital Advertising LTM Index Performance LTM Index Performance 150% • S&P 500 – (8.7) % 140% • S&P 500 – (8.7) % 140% (%)
(%) 130% • Digital Advertising – 15.9 % 125% • Digital Media/Commerce – 6.6 % 120%
110% • Traditional Media – (15.2 %) 110% Performance Performance
100% 95% Index Index 90%
80% 80% Mar‐15 May‐15 Jul‐15 Sep‐15 Nov‐15 Jan‐16 Mar‐15 May‐15 Jul‐15 Sep‐15 Nov‐15 Jan‐16
Traditional Media S&P 500 Index (^SPX) Digital Media/Commerce Digital Advertising S&P 500 Index (^SPX) Marketing Technology Agency & Marketing Services LTM Index Performance 150% LTM Index Performance 150%
140% • S&P 500 – (8.7) % 140% • S&P 500 – (8.7) % (%)
130% (%)
130% • • Agency – (9.2) % 120% Marketing Technology – (16.5) % 120% 110% • Marketing Services – (16.3) % 110% Performance
100% Performance 100% 90% Index
Index 90% 80% Mar‐15 May‐15 Jul‐15 Sep‐15 Nov‐15 Jan‐16 80% Mar‐15 May‐15 Jul‐15 Sep‐15 Nov‐15 Jan‐16 Marketing Technology S&P 500 Index (^SPX) Agency Marketing Services S&P 500 Index (^SPX) Software LTM Index Performance 150% Information & Business Services LTM Index Performance 150% 140% • S&P 500 – (8.7) % 140% • S&P 500 – (8.7) % (%) 130% • Software – (15.5) %
(%) 130% • Information – (7.9) % 120% 120% 110% • Business Services – (17.4) %
Performance 110% 100% Performance
100%
Index 90% 90%
80% Index Mar‐15 May‐15 Jul‐15 Sep‐15 Nov‐15 Jan‐16 80% Software S&P 500 Index (^SPX) Mar‐15 May‐15 Jul‐15 Sep‐15 Nov‐15 Jan‐16 Note: LTM as of 2/29/2016 Information Business Services S&P 500 Index (^SPX) 41 | M&A and Investment Summary February 2016 All Segments ($ in Millions)
Strategic Transactions Target Target Segment Buyer/Investor Reported TV
Strategic Values Disclosed Truven Health Analytics, Inc. Information IBM Watson Health$ 3,556.4 Brightree LLC Software ResMed Corporation 800.0 Ravello Systems, Inc. Software Oracle Corporation 500.0 HealthPlan Services Business Services Wipro Limited 460.0 Tapad, Inc. Digital Advertising Telenor ASA 378.9 Yodle, Inc. Digital Advertising Web.com Group, Inc. 342.0 SwiftKey Digital Media/Commerce Microsoft Corporation 250.0 RR Media Ltd. Traditional Media SES Platform Services GmbH 231.6 Rocket Internet Non‐Core Operations Digital Media/Commerce Just‐Eat plc 140.0 Ebuys Digital Media/Commerce DSW, Inc. 117.5 Marketwired, L.P. Information NASDAQ 108.3 Hayneedle, Inc. Digital Media/Commerce Jet.com, Inc. 100.0 Resilient Systems, Inc. Software International Business Machines Corporation 100.0 Connecti fi er, Inc. Software LinkedIn Corporation 100.0 Represent Holdings LLC Digital Medi a /Commerce Cus tomInk LLC 100.0 Fitnesskeeper, Inc. Digital Media/Commerce ASICS Corporation 85.0 The App Business Ltd. Agency & Ma rketing Services St. Ives, PLC 77.9 Zindagi Games, Inc. Digital Media/Commerce Zynga , Inc. 75.0 NWP Services Corporation Software RealPage, Inc. 68.0 Internet Identity Software Infoblox, Inc. 45.0 The Brooklyn Brothers Limited Agency & Ma rketing Services Interpublic Group of Compa ni es , Inc. 43.0 Rustici Software LLC Software Learning Technologies Group plc 36.5 Independent Print Ltd, I Newspaper Assets Traditional Media Johnston Publishing Limited 35.0 Redbumper LLC Software CDK Global LLC 33.0 Mascus International Digital Media/Commerce Ritchie Bros. Auctioneers, Inc. 30.4 EarthLink’s IT Services Business Services Synoptek, Inc. 29.0 Rise Labs, Inc. Information One Medica l Group, Inc. 20.0 Viggle, Inc. Agency & Ma rketing Services Perk.com, Inc. 17.3 Kitbag Limited Digital Media/Commerce Fanatics, Inc. 16.6 Naked Apartments, Inc. Digital Media/Commerce Zillow Group, Inc. 13.0 ValidSoft UK Ltd Software ElephantTalk Communications Corporation 12.5 BandPage, Inc. Digital Media/Commerce YouTube, Inc. 8.0 Viximo, Inc. Digital Media/Commerce Pocket Games, Inc. 4.4 Technorati, Inc. Marketing Technology Synacor, Inc. 3.0
42 | M&A and Investment Summary February 2016 All Segments ($ in Millions)
Strategic Transactions Target Target Segment Buyer/Investor Reported TV
Strategic Undisclosed Achtung BV Agency & Ma rketing Services Dentsu Aegis Network, Inc. $ ‐ Adapt Worldwide Agency & Ma rketing Services Welocalize, Inc. ‐ Analytics Quotient Agency & Ma rketing Services Millward Brown, Inc. ‐ Aptero Agency & Ma rketing Services International Business Machines Corpora ti on ‐ Articulate Voices Ltd. Agency & Ma rketing Services The Voiceover Gallery Ltd. ‐ Brand Promotions Agency & Ma rketing Services MC2 ‐ dbg.co.uk Agency & Ma rketing Services Merkle, Inc. ‐ Duma Strategy‐Design Agency & Ma rketing Services Penguin Strategies Ltd. ‐ Ecx.io Agency & Ma rketing Services International Business Machines Corpora ti on ‐ Eveo, Inc. Agency & Ma rketing Services Alpheon Corpora ti on ‐ Evolutionize LLC Agency & Ma rketing Services 10X Studios ‐ Fahrenheit 212 LLC Agency & Ma rketing Services Capgemini Group ‐ Heat Agency & Ma rketing Services Deloitte Digital ‐ IDEAlley Agency & Ma rketing Services BrandShop ‐ IDEO Agency & Ma rketing Services Kyu ‐ ImageWorks Agency & Ma rketing Services City Paper Compa ny ‐ Jung Relations AB Agency & Ma rketing Services Hallvarsson & Halvarsson Group ‐ Mobile Media Lab Agency & Ma rketing Services SharkReach, Inc. ‐ Mubaloo Limited Agency & Ma rketing Services Interpublic Group of Compa ni es , Inc. ‐ O'Leary and Partners Agency & Ma rketing Services The Shipyard ‐ Revolocity Agency & Ma rketing Services The Shipyard ‐ Something Unique, Inc. Agency & Ma rketing Services Envision Tees ‐ Spreng & Co. Limited Agency & Ma rketing Services Spreng Thomson Ltd. ‐ The Allant Group, Inc. Agency & Ma rketing Services Vencap Technologies LLC ‐ The Lathe Agency & Ma rketing Services WPP Group ‐ Themezilla Agency & Ma rketing Services Pixel Union Design Ltd. ‐ Think Social LLC Agency & Ma rketing Services Learfield Communications, Inc. ‐ Twist Agency & Ma rketing Services 10X Studios ‐ Arterian, Inc. Business Services The Aldridge Compa ny ‐ Bizmosis, Inc. Business Servi ces Innova ti ve Architects LLC ‐ Encription Limited Business Services BlackBerry Ltd. ‐ IMWell Health LLC Business Services Premise Health Holding Corp. ‐ InnovationManagement.se Business Services IdeaScale Corpora ti on ‐ InOpen Technologies Pvt. Ltd. Business Services Next Education India Pvt. Ltd. ‐ Markets IT Pty. Ltd. Business Services KPMG LLP ‐ Neo Innovation Business Services Pivotal Labs, Inc. ‐ Ninetwenty Business Services Finite Group NZ ‐ PacketDrivers IT Outsourcing Business Services The Aldridge Compa ny ‐ Phoenix Imaging Business Services Pollux Systems, Inc. ‐ RCBJ Consulting LLC Business Servi ces Levvel LLC ‐ RRC Group Centra l and Eastern Europe Division Business Services Ingram Micro, Inc. ‐ Talentbuddy Business Services Udemy.com ‐ 43 | M&A and Investment Summary February 2016 All Segments ($ in Millions)
Strategic Transactions Target Target Segment Buyer/Investor Reported TV Strategic Undisclosed Tricor Staffing Business Services Mainz Solutions $ ‐ Webfortis LLC Business Services Avtex Solutions LL C ‐ Creator.co.uk Digital Advertising Inspired Thinking Group Limited ‐ DramaFever Corporation Digital Advertising Warner Brothers Entertainment, Inc. ‐ MakeTag S.r.l. Digital Advertising BuzzMyVideos ‐ NimbleCommerce Digital Advertising Blackhawk Network, Inc. ‐ PadMapper, Inc. Digital Advertising Zumper, Inc. ‐ Roostr, Inc. Digital Advertising Chartboost ‐ SalonAddict Digital Advertising Beautifi ‐ Sparkroom, Inc. Digital Advertising Digital Media Solutions ‐ Viant Digital Advertising Time Inc. ‐ Zoove Corporation Digital Advertising Virtual Hold Technology LLC ‐ /Drive Digital Media/Commerce Time Inc. ‐ 20Lines Digital Medi a /Commerce Ha rperCol l i ns Publishers L.L.C. ‐ AlarmSystemReviews.com Digital Medi a /Commerce Cons umer Media , LLC ‐ Bezar, Inc. Digital Media/Commerce AHAlife ‐ Big Concerts International (Pty) Ltd. Digital Medi a /Commerce Li ve Nation Entertainment, Inc. ‐ ClassBook.com Digital Media/Commerce Follett Corpora ti on ‐ Coupl e Di gi ta l Media/Commerce Life360, Inc. ‐ DiMe Media Digital Media/Commerce Hispanicize Media Group LLC ‐ DraftFury Digital Media/Commerce Singlepoint ‐ Fast Lane Daily Digital Media/Commerce Time Inc. ‐ FitMonster, Inc. Digital Media/Commerce McCumby Fitness & Performance ‐ Flixster, Inc. Digital Media/Commerce Fandango, Inc. ‐ Groove Music Digital Media/Commerce Microsoft Corpora ti on ‐ Lulu Digital Media/Commerce Badoo Trading Limited ‐ M‐GO Digital Media/Commerce Fandango, Inc. ‐ MyWash.in Digital Media/Commerce Housejoy.in ‐ Piethis.com Pte. Ltd. Digital Media/Commerce Google, Inc. ‐ Plumbee Ltd. Digital Media/Commerce Game Show Network ‐ RevZilla Motorsports LLC Digital Media/Commerce JW Chi l ds ‐ SargesList, Inc. Digital Media/Commerce Bright Mountain Media , Inc. ‐ SocialNat Digital Media/Commerce GAME Digital plc ‐ Vision Direct co.uk Digital Media/Commerce Essilor International SA ‐ Whisk, Inc. Digital Media/Commerce Deem, Inc. ‐ AlphaImpactRx, Inc. Information IMS Health, Inc. ‐ Dimensions Healthcare LLC Information IMS Health, Inc. ‐ AC2 Solutions, Inc. Marketing Technology inContact, Inc. ‐ AppJolt Marketing Technology Bridge Ma rketing ‐ Appmind Marketing Technology Mobile Action, Inc. ‐ Beanstalk Data LLC Marketing Technology Heartland Payment Systems, Inc. ‐ Conta ct Solutions, Inc. Marketing Technology Verint Systems, Inc. ‐ 44 | M&A and Investment Summary February 2016 All Segments ($ in Millions)
Strategic Transactions Target Target Segment Buyer/Investor Reported TV Strategic Undisclosed Docalytics, Inc. Marketing Technology Contently, Inc. $ ‐ eDigitalResearch Marketing Technology Maru Group ‐ Konnech, Inc. Marketing Technology Votem Corpora ti on ‐ Netquest Marketing Technology GfK Group ‐ Orange Leap, LLC Marketing Technology YourCause LL C ‐ Point Shout GCV Marketing Technology Stirista LLC ‐ Postano Marketing Technology Sprinklr ‐ PredictionIO Marketing Technology Salesforce.com ‐ ReverseRisk LLC Marketing Technology The Reynolds and Reynolds Compa ny ‐ Roambi Marketing Technology SAP SE ‐ ShapeUp Marketing Technology Virgin Pulse ‐ SocialWire, Inc. Marketing Technology Rakuten, Inc. ‐ Sverve, Inc. Marketing Technology Bloglovin AB ‐ Talkwheel.com, Inc. Marketing Technology Clickable, Inc. ‐ The Freedonia Group Marketing Technology MarketResearch.com ‐ Transera Communications, Inc. Marketing Technology Broadsoft, Inc. ‐ Anetics, Inc. Software Broadridge Financial Solutions, Inc. ‐ APEX Communications, Inc. Software Dialogic, Inc. ‐ Arellia Corporation Software Thycotic Software Ltd. ‐ Ca reKi t Health Corporation Software Moseda Technologies, Inc. ‐ Certi ca Solutions, Inc. Software New Harbor Ca pi ta l , LL C ‐ Datacastle Corporation Software Seagate Technology LLC ‐ DIGITS LLC Software Avalon Document Services, Inc. ‐ Enrich LLC Software Data Intensity LLC ‐ FieldView Solutions Software nlyte Software, Inc. ‐ Flexscore, Inc. Software United Ca pi ta l Financial Advisers LLC ‐ Framebench Technologies Pvt. Ltd. Software Freshdesk, Inc. ‐ G4 Health Systems Software ABILITY Network, Inc. ‐ Global Corpora te Challenge Software Virgin Pulse ‐ GroundWork Open Source, Inc. Software Fox Technologies, Inc. ‐ Ha rk Softwa re Google, Inc. ‐ Hubcreate Ltd. Software essensys Ltd. ‐ iMS GmbH Software Yardi Systems, Inc. ‐ Inatech Europe Limited Software Data Intensity LLC ‐ Invotas International Software FireEye, Inc. ‐ iRealtyManager Software RentPost, Inc. ‐ JP Morga n Systems Integration Software Assets Software Markit Group Limited ‐ Kimono Labs, Inc. Software Palantir Technologies, Inc. ‐ Kwicr Softwa re Instart Logic, Inc. ‐ LegalPartners LP Software Keais Records Service LLC ‐ Lock Media Services, Inc. Software Transcor Data Services LLC ‐ MBS/Net, Inc. Software Medsphere Systems Corpora ti on ‐ 45 | M&A and Investment Summary February 2016 All Segments ($ in Millions)
Strategic Transactions Target Target Segment Buyer/Investor Reported TV Strategic Undisclosed MedAssets, Spend & Clinical Resource Mgt Assets Software Vizient, Inc. $ ‐ Metropolitan Communications LLC Software Invoice Cl oud, Inc. ‐ Modern Survey Software Aon Hewitt ‐ MyRounding Solutions LLC Softwa re Huron Consulting Group, Inc. ‐ Nakina Systems, Inc. Software Nokia Corpora ti on ‐ NICE Software Amazon Web Services ‐ Nutiteq OU Software CartoDB, Inc. ‐ Propuls e Software Karelab, Inc. ‐ QUEsocial LLC Software Hodes LLC ‐ Sefaira Ltd. Software Trimble Navigation Limited ‐ SigmaSpace Corporation Software Hexagon AB ‐ SkuBrain Software Halo Business Intelligence, Inc. ‐ SMS Passcode A/S Software Censornet Ltd. ‐ Symtavision GmbH Software Luxoft Holding, Inc. ‐ Teachers‐Teachers.com Software myEDmatch LLC ‐ Veritext Corporation Software Pamplona Ca pi ta l Ma na gement LLP ‐ Waybury LLC Software InVision App, Inc. ‐ Xama rin Inc. Software Microsoft Corpora ti on ‐ 5 Alarm Music Tra ditional Media Ole ‐ Ca na di a n Who's Who Traditional Media Grey House Publishing ‐ Ebru TV LLC Traditional Media Media max Network Ltd. ‐ Greer Publications Traditional Media Independent News & Media , PLC ‐ Maya Events Ltd. Traditional Media Flight Centre Travel Group Limited ‐ Reynolds Outdoor Media, Inc. Traditional Media OUTFRONT Media, Inc. ‐ Union Events Ltd. Traditional Media Live Nation Entertainment, Inc. ‐
46 | M&A and Investment Summary February 2016 All Segments ($ in Millions)
Buyout Transactions Target Target Segment Buyer/Investor Reported TV Buyout Deals Values Disclosed Lytx Inc. Software GTCR, LLC$ 500.0 Diligent Corporation Software Insight Venture Partners 435.9 Ci ta ti on plc Business Services HG Capital 260.0 MedCPU, Inc. Software UPMC 35.0
Target Target Segment Buyer/Investor Reported TV Buyout Deals Undisclosed All Metro Health Ca re Services, Inc. Business Services One Equity Partners , LL C ‐ NDC, Inc. Business Services Court Square Ca pi ta l Partners ‐ ELEVATE Global Limited Software EQT Holdings AB ‐ Perforce Software, Inc. Software Summit Partners LP ‐ Unifaun Group Software Vitruvian Partners LLP ‐
47 | M&A and Investment Summary February 2016 All Segments ($ in Millions)
Venture/Growth Capital Transactions Target Target Segment Buyer/Investor Reported TV VC/Growth Capital Values Disclosed Symantec Corporation Software Silver Lake Partners$ 500.0 SOUQ.com Digital Media/Commerce Tiger Global Management, LLC 275.0 ibibo Group Digital Media/Commerce Naspers Ltd. 250.0 Snapdeal.com Digital Media/Commerce Ontario Teachers' Pension Plan 200.0 Uber Technologies, Inc. Digital Media/Commerce Letterone 200.0 ThinkingPhones Software Bessemer Venture Partners 112.0 SnagAJob.com, Inc. Digital Media/Commerce NewSpring Capital 100.0 360 Mobile Security Software Qihoo 360 Technology 100.0 Skybox Security, Inc. Software Providence Equity Partners, Inc. 96.0 Africa Internet Group Digital Media/Commerce Ardian SA 83.0 Opendoor Digital Media/Commerce Khosla Ventures 80.0 Razer, Inc. Digital Media/Commerce Digital Grid Technology 75.0 Health Catal ys t, LLC Software Sequoia Capital 70.0 Wadi.com Digital Media/Commerce Rocket Internet GmbH 67.0 Student.com Limited Digital Media/Commerce Vy Capital 60.0 Kingsoft Cl oud Softwa re IDG Ca pi ta l Partners 60.0 Jana Mobile, Inc. Marketing Technology Verizon Ventures 57.0 Giphy, Inc. Digital Media/Commerce Lightspeed Venture Partners 55.0 OutSystems Software North Bridge Growth Equity 55.0 Knewton, Inc. Business Services Bessemer Venture Partners 52.0 Atom Tickets LLC Digital Media/Commerce The Walt Disney Company 50.0 Aria Systems, Inc. Marketing Technology Bain Ca pi ta l Ventures 50.0 Fairlubo Digital Media/Commerce Legend Capital 45.0 Seven Bridges Genomics, Inc. Software Kryssen Capital 45.0 Sprout Social, Inc. Marketing Technology New Enterprise Associates 42.0 Hired, Inc. Digital Advertising Lumia Capital 40.0 Travelstart Online Travel Operations Pty Ltd. Digital Media/Commerce Amadeus Capi tal Partners Limited 40.0 Qubit Marketing Technology Accel Partners 40.0 LiveAction, Inc. Software Insight Venture Partners 36.0 ThousandEyes Marketing Technology Sequoia Capital 35.0 Trifacta, Inc. Marketing Technology Accel Partners 35.0 DataRobot Inc. Software New Enterprise Associates 33.0 Lamudi GmbH Digital Media/Commerce Holtzbrinck Ventures 31.4 Kika.Tech, Inc. Digital Media/Commerce Honge Capital 30.6 JetSmarter, Inc. Digital Medi a /Commerce (Pri va te Investors) 30.0 Yello Mobile Digital Media/Commerce SBI Holdings 30.0 Namely, Inc. Marketing Technology Sequoia Capital 30.0 Quantifind, Inc. Marketing Technology Comcast Ventures 30.0 Sonatype, Inc. Software Accel Partners 30.0 Deliv, Inc. Business Services United Parcel Service, Inc. 28.0 Cura l a te Ma rketi ng Technology New Enterprise Associates 27.5 Zoomdata, Inc. Marketing Technology Accel Partners 25.0 48 | M&A and Investment Summary February 2016 All Segments ($ in Millions)
Venture/Growth Capital Transactions Target Target Segment Buyer/Investor Reported TV VC/Growth Capital Values Disclosed Enlighted Software Kleiner Perkins Caufield & Byers$ 25.0 Riskified Software Qumra Capital 25.0 Wevr, Inc. Software AME Cl oud Ventures 25.0 Veniam, Inc. Software Union Square Ventures 22.0 Xignite, Inc. Information Altos Ventures 20.5 AppCard Solutions, Inc. Digital Media/Commerce Loyalty Partner Gmbh 20.0 RealtyShares, Inc. Digital Media/Commerce Union Square Ventures 20.0 Signifyd, Inc. Software Menlo Ventures 20.0 eSentire, Inc. Software Edison Partners 19.5 ATTN: Digital Media/Commerce Evolution Media Capital 18.6 Reflektion, Inc. Marketing Technology Intel Capital 18.0 MakeSpace Labs, Inc. Digital Media/Commerce Upfront Ventures 17.5 Thrive Network, Inc. Information UPMC 17.0 NuoDB, Inc. Software Morgenthaler 17.0 Vera Security, Inc. Software Battery Ventures 17.0 Quidsi, Inc. & Affiliates Digital Media/Commerce Atlas Venture 16.4 Waterline Data Science, Inc. Software Partech Ventures 16.0 digiSchool Business Services Creadev S.A.S 15.8 MasterClas s Productions, Inc. Business Services New Enterprise Associates 15.0 55Haitao.com Digital Media/Commerce JJ Capital 15.0 EQIS Ca pi ta l Ma nagement Informa tion Long Ridge Equity Partners LLC 15.0 Shopgate GmbH Marketing Technology Undisclosed 15.0 GridGain Systems, Inc. Software Sberbank 15.0 Vast.com Digital Advertising Capital One Services, Inc. 14.0 Digital Shadows Ltd. Software Trinity Ventures 14.0 Zendrive, Inc. Digital Media/Commerce Sherpa Ventures 13.5 Centa ge Corporation Software NorthGate Capi tal , LLC 13.5 youAPPi Digital Advertising Altair Capital 13.1 Hopscotch Digital Medi a /Commerce (Pri va te Investors) 13.0 KFit Asia Sdn Bhd Digital Media/Commerce Sequoia Capital 12.0 The Bouqs Digital Media/Commerce Quest Venture Partners 12.0 Rainforest QA Software Bessemer Venture Partners 12.0 Wavefront, Inc. Software Sequoia Capital 11.5 Handshake ‐ Stryder Corp. Digital Media/Commerce Kleiner Perkins Caufield & Byers 10.5 IfOnly Digital Media/Commerce Khosla Ventures 10.3 NoBroker.in Digital Media/Commerce Digital Garage, Inc. 10.0 SprinkleBit Holding SA Digital Media/Commerce GTC 10.0 The Viral Fever Digital Media/Commerce Tiger Global Management, LLC 10.0 Diffbot Marketing Technology Tencent Holdings Ltd. 10.0 FiscalNote, Inc. Marketing Technology New Enterprise Associates 10.0 Label Insight Marketing Technology KPMG Corpora te Finance LLC 10.0 Mobify Ma rketing Technology Acton Ca pi ta l Partners 10.0 49 | M&A and Investment Summary February 2016 All Segments ($ in Millions)
Venture/Growth Capital Transactions Target Target Segment Buyer/Investor Reported TV VC/Growth Capital Values Disclosed Payleven Marketing Technology New Enterprise Associates$ 10.0 PowerChord, Inc. Marketing Technology Ballast Point Ventures 10.0 Receipt Bank Software Kennet Partners 10.0 Swervepay LLC Softwa re Ga rla nd Ca pi ta l Group 10.0 WebRadar Software QUALCOMM Ventures 10.0 Parkifi, Inc. Digital Medi a /Commerce Cros s l i nk Ca pi ta l 9.5 StayNTouch, LLC Marketing Technology Triangle Peak Partners, LP 9.5 PayActiv, Inc. Software SoftBank Ca pi ta l 9.2 Rabbit Internet Co. Ltd. Digital Media/Commerce BTS Group 9.1 Chubbies Shorts Digital Media/Commerce Undisclosed 9.0 TodayTix LLC Digital Media/Commerce Walden Venture Ca pi ta l 9.0 Amperity, Inc. Marketing Technology Madrona Venture Group 9.0 Stellar Loya l ty, Inc. Marketing Technology InterWest Partners 9.0 enSilo Ltd. Software Lightspeed Venture Partners 9.0 Grapeshot Marketing Technology DFJ Esprit 8.5 Nimble Collective Marketing Technology New Enterprise Associates 8.5 Xpres sbees Logistics Business Services SAIF Partners 8.0 Jobillico, Inc. Digital Advertising Desjardin Venture Ca pi ta l 8.0 Modsy Digital Media/Commerce Norwest Venture Partners 8.0 ThirdLove Digital Media/Commerce New Enterprise Associates 8.0 Kaizen Platform, Inc. Marketing Technology Yahoo Japan 8.0 Seebo Interactive Ltd. Marketing Technology Carmel Ventures 8.0 Hexadite Software Ten Eleven Ventures 8.0 KnowBe4, Inc. Software Elephant Partners 8.0 Trusona, Inc. Software Kleiner Perkins Caufield & Byers 8.0 Phenom People, Inc. Software Sierra Ventures 7.6 Adbrain Ltd. Marketing Technology Notion Ca pi ta l 7.5 Sonovate Limited Software Dawn Capi tal 7.2 Triptease Ltd. Digital Advertising Notion Ca pi ta l 7.0 FunnelWise, Inc. Marketing Technology (Private Investors) 7.0 Cynet.com Software Lazarus Investment Partners LLLP 7.0 BUX Digital Media/Commerce Holtzbrinck Ventures 6.9 Crowdynews Digital Media/Commerce INKEF Ca pi ta l 6.7 inSided B.V. Marketing Technology Ventech 6.6 Skuid, Inc. Softwa re (Priva te Investors) 6.6 Admedo Ltd. Digital Advertising MMC Ventures, LLC 6.0 Realtyka LLC Digital Advertising Magma Venture Partners 6.0 Chatbooks, Inc. Digital Media/Commerce Signa l Peak Ventures 6.0 Opternative, Inc. Digital Media/Commerce Jump Ca pi ta l 6.0 Applied Pathways LLC Information Health Enterprise Partners 6.0 SALESmanago Marketing Technology 3TS Ca pi ta l Partners, Ltd. 6.0 BetterLesson, LLC Software New Markets Venture Partners 6.0 50 | M&A and Investment Summary February 2016 All Segments ($ in Millions)
Venture/Growth Capital Transactions Target Target Segment Buyer/Investor Reported TV VC/Growth Capital Values Disclosed riskmethods GmbH Software EQT Holdings AB$ 6.0 Vaadin Ltd. Software Finnish Industry Investment 6.0 Flyp, Inc. Digital Media/Commerce Aspect Ventures 5.8 Vicampo GmbH Digital Media/Commerce Pass ion Ca pi ta l 5.7 iChef Software CDIB Venture Ca pi ta l 5.6 iCharts, Inc. Marketing Technology Software AG 5.5 Qualia Media Ma rketing Technology Verizon Ventures 5.5 Aasaanjobs Pvt. Ltd. Digital Advertising IDG Ventures India 5.0 Four51, Inc. Digital Medi a /Commerce (Pri va te Investors) 5.0 Niantic Labs, Inc. Digital Medi a /Commerce (Pri va te Investors) 5.0 Power Supply Collective, Inc. Digital Media/Commerce Upfront Ventures 5.0 OpenMethods LLC Marketing Technology Kayne Anderson Capi tal Advisors, L.P. 5.0 OpsPanda Marketing Technology TDF Ventures 5.0 Smart Ca nva s Ma rketi ng Technology (Private Investors) 5.0 Vyopta, Inc. Marketing Technology AVX Partners 5.0 LodgIQ Software Trilantic Ca pi ta l Ma na gement LLC 5.0 ReSec Technologies Software The Founders Fund, LLC 5.0 Lexumo, Inc. Software Accomplice 4.9 Revolut Limited Digital Media/Commerce Index Ventures 4.8 User Replay Marketing Technology Episode 1 Ventures 4.7 Tellmeplus S.A.S. Software Runa Ca pi ta l 4.7 RAW Pres sery Digital Media/Commerce Sequoia Ca pi ta l 4.5 Taskbob Digital Media/Commerce IvyCap Ventures 4.5 Toss Lab, Inc. Software QUALCOMM Ventures 4.5 Foodee Digital Media/Commerce BDC Capi tal 4.3 CREXi Ma rketi ng Technology Lerer Hippeau Ventures 4.3 Ci rda n Imaging, Ltd. Software Kernel Ca pi ta l 4.2 zyBooks Business Services Bialla Venture Partners 4.0 icustommadeit Digital Media/Commerce Brand Ca pi ta l 4.0 Paysa.com Marketing Technology New Enterprise Associates 4.0 Siftery, Inc. Marketing Technology Draper Nexus 4.0 Aplos Software LLC Software San Joaquin Ca pi ta l 4.0 ClearMetal, Inc. Software New Enterprise Associates 4.0 ElementN, Inc. Software Middle East Venture Partners 4.0 Siemplify Ltd. Software Greylock Partners 4.0 Bloodbuy LLC Software Premier, Inc. 3.8 Goodpatch, Inc. Agency & Ma rketing Services Salesforce Ventures 3.5 Grana.com Digital Media/Commerce Golden Gate Ventures 3.5 Iron.io Software Sapphire Ventures, LLC 3.5 OwnBackup Ltd. Software Innovation Endeavors LL C 3.5 AQMetrics Limited Software Frontline Ventures 3.3 MagicPin Digital Advertising Lightspeed Venture Partners 3.0 51 | M&A and Investment Summary February 2016 All Segments ($ in Millions)
Venture/Growth Capital Transactions Target Target Segment Buyer/Investor Reported TV VC/Growth Capital Values Disclosed CarGlass, Inc. Digital Media/Commerce Byron Asset Management$ 3.0 Collective Returns, Inc. Digital Media/Commerce Entree Ca pi ta l 3.0 Fyndiq AB Digital Medi a /Commerce (Pri va te Investors) 3.0 Hi‐Fi Digital Media/Commerce MTH Ventures 3.0 NuuED, Inc. Digital Media/Commerce DuKlaw Ventures 3.0 Salesfloor, Inc. Marketing Technology BDC Capi tal 3.0 Cognitive Logic Limited Software Upfront Ventures 3.0 DBmaestro Software lool ventures 3.0 OnePark SAS Digital Media/Commerce Keolis Bernard Arnault Group 2.8 IKO System Marketing Technology Bpifrance SA 2.8 Ci vi c Technologies, Inc. Software Pantera Ca pi ta l 2.8 Overnight Cra s hpad, Inc. Digital Advertising Accomplice 2.5 Di vvy Parking Pty. Ltd. Digital Medi a /Commerce (Pri va te Investors) 2.5 Hobnob Digital Media/Commerce Bessemer Venture Partners 2.5 MaaS Finland Oy Digital Medi a /Commerce Innova ti on Takes 2.5 Tattoodo ApS Digital Medi a /Commerce (Pri va te Investors) 2.5 Jisto, Inc. Software .406 Ventures, LLC 2.5 Woo.io Digital Advertising Acequia Ca pi ta l 2.4 InCrowd Sports Ltd. Digital Media/Commerce Albion Ventures LLP 2.4 Notarize Digital Media/Commerce Polaris Partners 2.4 Statflo, Inc. Marketing Technology Extreme Venture Partners 2.4 Qvinci Software, Inc. Software Undisclosed 2.4 Vive Lifestyle, Inc. Digital Media/Commerce CrunchFund 2.3 SOCi, Inc. Marketing Technology GrowthX 2.3 FinLocker LLC Software Cultivation Ca pi ta l 2.3 Jask Labs, Inc. Software Battery Ventures 2.3 Good Uncle Digital Media/Commerce Firs t Round Ca pi ta l 2.2 Mintos.com Digital Media/Commerce Skillion Ventures 2.2 Shopbox.com Marketing Technology Undisclosed 2.2 SendCloud BV Software TIIN Ca pi ta l 2.2 Testbirds GmbH Software Seventure Partners 2.2 First Stop Health LLC Softwa re (Priva te Investors) 2.1 CrunchBase Digital Media/Commerce Salesforce Ventures 2.0 Ca i rn Outdoors LLC Digital Media/Commerce Seaport Ca pi ta l , LLC 1.7 Anyline.io Marketing Technology iSeed Ventures 1.7 9139249 Canada, Inc. Business Services Undisclosed 1.5 Impact Ma kers, Inc. Business Services (Private Investors) 1.5 Wardrobe Green Digital Media/Commerce Innogest SGR 1.5 Codec ‐ Content Intelligence Marketing Technology 500 Startups 1.5 Drive Motors Ma rketing Technology Khosla Ventures 1.5 Gorgias, Inc. Marketing Technology CRV 1.5 Tenacity Software Health Tech Ca pi ta l 1.5 52 | M&A and Investment Summary February 2016 All Segments ($ in Millions)
Venture/Growth Capital Transactions Target Target Segment Buyer/Investor Reported TV VC/Growth Capital Values Disclosed Wrapify, Inc. Traditional Media Ludlow Ventures$ 1.5 Makeable Agency & Ma rketing Services ff Venture Ca pi ta l 1.4 Ca ta pul t Di gi ta l Advertising Continuity Ca pi ta l 1.4 viisights Solutions Ltd. Digital Advertising thetime 1.2 Pearachute, Inc. Digital Medi a /Commerce Chi ca go Ventures 1.2 Cl ea rVoi ce, Inc. Marketing Technology Peak Ventures 1.1 Centri c Digital LLC Agency & Ma rketing Services Bookend Ca pi ta l 1.0 Rollout.io Software Sweet Ca pi ta l 1.0
Target Target Segment Buyer/Investor Reported TV VC/Growth Capital Undisclosed LAC Group Business Services TZP Group, LLC $ ‐ MWR InfoSecurity Business Services Environmental Technology Fund ‐ VC3, Inc. Business Services WestView Ca pi ta l Partners ‐ DogBuddy Digital Media/Commerce Sweet Ca pi ta l ‐ Jodel App Digital Media/Commerce Redalpine Venture Partners AG ‐ Total Benchmark Solution LLC Information Kaufman Hall & Assoicates, Inc. ‐ casavi GmbH Marketing Technology High‐Tech Gründerfonds ‐ Finagraph Financial Management Marketing Technology Moody's Corpora ti on ‐ Peloton Document Solutions LLC Marketing Technology R.R. Donnelley & Sons Compa ny ‐ HYAS Infosec, Inc. Software Wesley Cl over International ‐ IDMWORKS Software Trivest Partners, LP ‐ Koverse, Inc. Software Credit Suisse Asset Management ‐ Loopline Systems Software High‐Tech Gründerfonds ‐ True Potential LLP Software FTV Ca pi ta l ‐ Imagine Entertainment LLC Traditional Media The Raine Group, LLC ‐
53 | M&A and Investment Summary February 2016 Petsky Prunier: Maximizing Shareholder Value
. Top‐ranked, global investment bank dedicated to digital advertising and marketing, eCommerce, digital media, technology, information, business services, and healthcare services industries . Extensive sell‐side M&A and capital raise expertise, with a transaction closing rate unmatched at our level of deal volume . Founded in 1999 . More than 50 focused professionals; growth of 40% since 2011 . New York, Palo Alto, Las Vegas, Chicago, Boston, Tampa . Deep relationships across a broad spectrum of strategic buyers, as well as private equity, growth equity, and VC groups and lenders . Strategic consulting firm Winterberry Group – one of the largest industry‐specific advisors providing strategic and transactional services . Global reach enhanced through our partnerships with investment bank Altium in Europe, as well as The Mountain Capital Group in China, and Allegro Advisors and o3 Capital in India . Securities transactions are processed through Petsky Prunier Securities LLC, a member of FINRA and an affiliated entity
. M&A Advisory and Sell‐Side Representation . Advertising & Marketing . Business Current Situation Assessment and . Privately‐Owned Companies . eCommerce Profit Improvement Planning . Entrepreneur‐Led Businesses . Digital Media . Opportunity Mapping: Strategic Planning & Development . Private Equity Portfolio Companies . Technology . Competitive Landscape Analysis . VC‐Backed Companies . Information . M&A Transaction Due Diligence Support . Corporate Divestitures . Business Services . Buy‐Side Targeting Criteria & Integration Strategy . Selected Buy‐Side Engagements . Healthcare Services . Custom Market Research . Capital Raising and Private Placements . Publishing, Speaking, and Thought Leadership
54 | M&A and Investment Summary February 2016 Ranked #1 by Bloomberg for Mid‐Market Internet & Advertising Transactions
Bloomberg M&A League Tables, 2011‐2015 TOP ADVISORS SERVING THE MIDDLE MARKET INTERNET & ADVERTISING SECTORS 2015 2011‐2015 (5‐Year) Rank Advisor Deal Count Rank Advisor Deal Count
1Petsky Prunier 18 1 Petsky Prunier 84
2Goldman Sachs 17 2 Goldman Sachs 68 2PwC 173Jordan Edmiston Group 59 4 Jordan Edmiston Group 15 3 Morgan Stanley 59 4KPMG Corporate Finance 15 5 PwC 52 4Morgan Stanley 15 6 China Renaissance Partners 47 7 China Renaissance Partners 11 6 Nomura 47 7Ernst & Young 11 8 GCA Savvian Group 44 9 Avendus Capital 9 9 KPMG Corporate Finance 43 9 Rothschild 9 10 Ernst & Young 38 11 Citi 8 10 JP Morgan 38 11 Credit Suisse 8 12 Jefferies 37 11 Jefferies 8 13 AGC Partners 35 11 William Blair & Company 8 14 Credit Suisse 34 11 Mooreland Partners 8 15 Daiwa Securities 33
Based on number of deals announced in 2011‐2015 valued at $500 million or less. Internet and Advertising is defined by Bloomberg.
. With 25 total transactions closed in 2015, and more than 100 transactions closed since 2011 (across all industries in addition to Internet and Advertising), Petsky Prunier is one of the most active M&A practices within the marketing and advertising, eCommerce, and media industries
55 | M&A and Investment Summary February 2016 Representative Recent Transactions*
$207,000,000* $225,000,000* $160,000,000*
a leading digital provider of subscription‐ and based, consumer product images and a portfolio company of a leading digital database marketing a portfolio company of related data to the retail food industry and advertising technology company has received a significant a leading developer of enterprise growth investment from a leading technology and data‐driven a portfolio company of mobility software has been sold to digital marketing services and comprising Media Properties Holdings has been sold to analytics company has been sold to has been sold to has been sold to has been sold to has been sold to
(NASDAQ: SYKE) (NYSE: DLX) (NYSE: IDI)
*Approximate Value *Approximate Value *Approximate Value
$74,000,000*
has sold a leading content‐driven, strategic the leading eCommerce media network digital agency in the U.S. the dominant, pure‐play eCommerce the leader in strategic launch solutions a fast‐growing, direct‐to‐consumer a leading provider of software‐based has been sold to retailer of envelopes and related products for orphan and rare disease a big data marketing analytics & database wine eCommerce company the most innovative digital strategy, has been sold to social media brand advocacy solutions pharmaceutical drugs technology and solutions company user experience, and software has received a significant has been sold to development firm has been sold to has been sold to investment from has been sold to a portfolio company of Aperion Management to and
(NYSE EVDY) (NASDAQ: EXLS) (NYSE: ACN)
*Approximate Value
$65,000,000 $120,000,000
a leading supplier of data on healthcare has sold has sold a leading provider of performance‐based a provider of outsourced digital campaign a portfolio company of professionals and administrator of one a leading data‐driven patient a global leader in quantitative data digital marketing programs to healthcare management for video, mobile, of the largest practitioner‐level medical the leader in data‐driven identification and engagement platform collection and reporting software systems professionals on behalf of leading display, and email claims databases in the U.S. advocacy campaigns that provides its members access to has been sold to pharmaceutical companies has been sold to to healthcare education, patient savings, has been sold to has been sold to has been sold to and other valuable programs has been sold to a division of has been sold to to a portfolio company of (NYSE: OMC) (NYSE: EVDY) (NYSE: RUK) (NASDAQ: ICLR)
$280,000,000* $50,000,000
a disruptive, rapidly a leading SaaS provider of social intelligence, expanding marketplace for a leading targeted direct marketing analytics, insights, and engagement a leading provider of marketing solutions the leading film and television information, insurance clicks, calls, and leads a leading provider of end‐to‐end one of the largest digital agencies specializing company that connects new movers a leading global SaaS‐based customer acquisition solutions to the in multi‐channel content marketing solutions has been sold to to destinations, resorts, and other data, and related software company with local business has sold a majority stake to tag management, data management, insurance industry for the life sciences industry travel‐related businesses and marketing attribution provider has been sold to has merged with an affiliate of has sold a majority stake to has been sold to which is being combined with has been recapitalized to support future growth with significant debt financing has been sold to from a division of both portfolio companies of and (NASDAQ: CTSH) (NYSE: WTM) (NYSE: WTM)
*Approximate Enterprise Value
*For a more comprehensive list, please click here.
56 | M&A and Investment Summary February 2016