EEY ER UARERY UAE FEBRUARY 2017

Growing a Global Ecosystem Breaking News: The has academic institutions in a business vehicle just won the prestigious M&IT Best UK Hotel that attracts, funds, mentors and grows tech- award, voted on by guests themselves. And if nology start-up teams and turns them into that was not enough, construction is to start globally competitive, investable companies. this month on the International Convention The success of that first initiative (which Indonesia. At various stages of development, Center (ICC) on the property. This new continues to be very active) proved the idea each regional fund is, or will be, operated complex will accommodate 5000 guests. was a winner. with the requisite degree of local autonomy and control. All are supported by the global In terms of this Update, I am a big believer The BC model was then refined and deployed Alacrity network and share the vision to in going global fast with my companies.. in South Wales in the UK. The focus in this create successful local companies with global Get your local market right, then go for it. In case was on ‘charitable’ incubation, using reach, economic benefit and social impact. 2009, we took the technology investment corporate and government contributions to management expertise and resources of provide seed funding and create technology The Alacrity ecosystem provides entrepre- Wesley Clover and worked with like-minded entrepreneurship opportunities for local engi- neurial founders with intellectual property, people at the University of Victoria in British neering and business graduates. Today, the partnership, channel and customer oppor- Columbia to form a non-profit partnership. UK Alacrity Foundation remains the only such tunities that enable success. I am pleased to The group then leveraged innovation charitable technology incubator in Europe. include updates from the Alacrity executives programs from both the Federal and the BC and many of the companies themselves in provincial governments to select, fund and A for-profit model was then deployed in this issue of Q, along with results from several grow entrepreneurial technology companies. Istanbul, Turkey, albeit using a different brand, of our other start-up teams and established The Alacrity Foundation was born — the with local partners, government programs, companies. beginning of a global initiative. mentors/advisors and post-secondary grad- uates. Since then, Alacrity has been initiated Thank you for your continued interest. The model was foundational. Combine in Lille France, Pune India, Shanghai China, Kind Regards, local partners/investors, governments and Mexico City Mexico, Singapore and Jakarta , Chairman

Q is a quarterly publication of Wesley Clover, highlighting some of the latest accomplishments from the wide range of businesses in our portfolio. Visit wesleyclover.com for more information. Table of Contents

2 Alacrity France 3 Alacrity India Alacrité France Joins the Ecosystem Transforming India Into a Digitally Empowered Society 4 CreatorDen The latest addition to the Wesley Clover From the academic partner perspective, No, Wesley Clover has no illusions of engine to raise people out of poverty and create software to impact positively the lives network of technology company incuba­ The Catholic University of Lille and the grandeur regarding that objective. But begin to realize the opportunity to become a of hundreds of millions of people. And so 5 Echosec tors and accelerators is now open for well-known Paris engineering university the government of India does. And that significant player on the global stage?! too are the opportunities to fund and equip business in the city of Lille, France, in Centrale Supélec are both part of the is creating opportunities the Alacrity these start-ups for that success. 5 Talkative the recently-created ‘Hauts-de-France’ founding team. A group of twenty experi- program is tailor-made to help address. Not to be dismayed, the government set 6 L-SPARK region. Lille is situated between the key enced entrepreneurs and managers have Which is why India is now one of the next in place a ‘Digital India’ strategy, beginning It is with all this in mind that Alacrity India cities of Brussels, Paris and London, mak- also signed on to become mentors and regional funds on the priority list for the with a number of targeted and transforma- is being launched. The initial focus will be on 7 CounterPath ing it an ideal spot to launch tech start- advisors to the start-up teams. Recruitment company. tional programs to provide secure, universal leveraging India Stack, targeting small towns ups seeking to grow within Europe and of the first teams is underway now, with ID for its citizens, bank accounts for all, dig- and tier-2 and -3 cities, working with strong, 7 Pretio Interactive beyond. representatives from Wesley Clover and To understand why, we need to look at some ital authentication and document signing local technical and business colleges, solving the other investors, the advisory group and realities. India currently has about 1.2 billion services, and the most advanced public local problems with local solutions, and then 8 The Better Software The investor-partners in Alacrité France the universities reviewing the initial oppor- citizens. Much of that population would be payments interface in the world. The pro- building forward from there to go global. Company are now in place, the local manager has tunities to determine which will be first to characterized as ‘rural’ (more than 800 million grams were designed to coincide with a key been hired, appropriate office space near launch. people), but rapid urbanization and migra- enabling technology becoming pervasive For a more complete telling of this exciting 8 ProntoForms the two rail stations in Lille has been rented, tion to cities continues to take place. Until among the citizens — the mobile phone. story and the opportunities for the Alacrity 9 Cliniconex and the official Grand Opening festivities You can find out more and monitor recently, the Indian government was a large Fast forward five years, and the results have India fund, read this recent blog post by are planned for March 21st, 2017. the progress on the alacrite.fr website. and paper-based bureaucracy. Citizens had been outstanding. Mike Manson, who is leading the initiative 9 Solink The team at Q will also be watching multiple sets of identification tailored to deal for Wesley Clover. Also stay tuned to Q for With Wesley Clover as the lead inves- closely.  with individual government departments. The next step in the program is rolling out further developments as they unfold.  10 YASH tor, matching funding for the program Or they had no ID at all, as in the case of now. Called “India Stack”, it is a set of feature- 11 FileFacets was secured from Hub One, the systems the ‘invisible millions’ of rural poor in India. rich APIs that sit on top of the initiatives integrator and telecom services provider In addition, it was estimated in 2010 that as just mentioned, and “allow governments, 11 Martello Technologies owned by Aeroports de Paris (ADP), as well many as 600 million Indians did not have a businesses, start-ups and developers to use as from local acceleratorEEY Aleph1 and bank account. a unique digital infrastructure to solve India’s 12e InitLiv Networks. A major investment was also hard problems and move towards presence- obtained from the nationalER ‘French Tech So, we had a country with a huge popula- less, paperless, and cashless service delivery.” 12 Mitel Acceleration Fund’ through the government tion, largely rural but rapidly migrating to the 13 The Celtic Manor Resort financial agency, BPIfrance. At least one cities, half without bank accounts but with a This is the tip of the iceberg. The vast num- investment agency from UARERYthe Lille area is also confusing set of IDs to deal with a bureau- ber of use-cases for India Stack have yet to 14 expected to sign on to the program. cracy that could only move slowly. What be conceived. The opportunity for start-ups UAE could possibly go wrong for a government to develop applications that leverage India knowing it must ignite an economic growth Stack is immense. So is the opportunity to

2 WESLEY CLOVER QUARTERLY UPDATE | February 2017 WESLEY CLOVER QUARTERLY UPDATE | February 2017 3 How do you decide to buy something new? with leading product and service brands, as well WEB-CALLING — AN INTRODUCTION, FROM THE UK Istanbul Maybe you see it on TV or a website, hear about as with other media, PR and advertising agen- it on the radio, perhaps read about it in print. cies, to create 1:1 campaigns designed to engage TALKATIVE, one of the companies founded being viewed, and can further guide the Start-Up Often however, you hear about it from, or see it targeted audiences. The CreatorDen platform through the UK Alacrity program has a pow- customer through the site, share added doc- being used by a friend or someone else whose and mobile application enable these parties to erful story to share. Today, almost 90% of uments if relevant, even annotate the screen judgement you trust. And whether you realize it more easily connect, collaborate and transact in customers everywhere visit the website of a for further clarity or help the customer as Innovating in or not, those individuals have influence over your brand-appropriate projects. supplier before making contact with them. they fill in forms or other required data fields. purchasing decision. But if/when they do make contact, voice a Growth Area When asked about the impetus behind the communication is still the dominant form of Marketers can understand where customer That common behaviour is the catalyst for evolv- start-up, the founders describe “a fragmented interaction. And that voice communication calls come from within their website, and of Advertizing ing advertising tactics today. Instead of paying marketplace between public relations, social is done almost exclusively over a separate the enabled website, the caller is asked for importantly, better determine why they are movie or music stars to promote (read: put their media managers and influencers”. Still a relatively device — the telephone. A telephone that permission to use their microphone. That being made (the good and/or the bad). This ‘influence’ behind) a given product or service, new advertizing concept, many brands find it carries no context from the website session, web/voice call is then connected to a cus- information can be used to improve the site, brands are looking for ways to partner with new difficult to establish the right match with an influ- other than a verbal replay by the customer. tomer service agent on the vendor end, and but more so, to engage strategically with ‘stars’ who have built large followings on YouTube, encer. Since most of the content producers are collaborative, multimedia interaction begins. customers at key points in their web jour- Instagram and other social media channels. These individuals or small teams of friends making vid- This is a missed opportunity to improve ney. Since web-calls are now a functional generally young stars create digital content that eos or posts with their phones, it can be difficult both customer service and operational Customers can now browse the website until tool within the site, they can be presented reaches thousands or more people daily, includ- for a brand to know how to reach out to them. efficiency. Luckily, there is an answer — comfortable, then initiate a call for assistance dynamically, unlike a static phone number. ing and in particular the much-coveted millennial Moreover, these influencers are at their most Talkative Web-calling. Web-calling is voice or next steps with just a single click. No consumer, who increasingly is abandoning tradi- effective when they are speaking to their niche calling embedded into a website, leveraging plugins, downloads or need for a separate It’s hard to think of a business that does not tional TV, radio and print publications, and lever- audiences, so finding the right pairing is critical. now-ubiquitous PC/laptop speakers and app or device. No need to type in a number. have a website as its main marketing tool aging ad blockers in their internet experience. microphones, or those of a smartphone, as And calls are free, globally. today. Why not better communicate through CreatorDen devised a smarter means of manag- well as extended tools such as videos, chat it? Talkative is pleased to offer web-calling as Studies suggest that influencer content does in ing these challenges. For example, the Creator- boxes and co-browsing services. All to help From the customer-service-agent perspec- an integrated service that is simple to setup fact generate significantly higher viewer engage- Den platform uses a proprietary algorithm to redefine what customer contact can be. tive, the context of the customer browsing and use. talkative.uk  ment. One reason is a much higher level of trust match marketers and influencers automatically. session is available along with the voice in the influencer when compared to standard Marketers and influencers can access the platform With the Talkative technology, a simple, cus- call. Also, customers can be routed through advertizing. And with no ad agencies or large pro- either on the web or through a mobile app. A tomizable widget (just 3 lines of code) gets to the most relevant agent based on where duction costs in the way, these new on-line stars marketer can set up a campaign request in only added to the website or mobile application. they were browsing on the site. Agents have are becoming an ever-more attractive marketing 10-15 minutes, putting out requests for creative When a customer call is placed from within the context for the call based on the content channel. content. That call for content will then be seen only by the relevant influencers that can provide Therein lies the opportunity being chased by the desired audiences. CreatorDen, one of the young companies in the ECHOSEC CONTINUES TO GAIN VIRTUAL GROUND Netas-Wesley Clover incubator fund in Turkey. And those audiences are key. Advertisers are CreatorDen has created a self-service, online mar- learning that micro-influencers often have niche The location-based social media search plat- “I’ve said it before and I’ll say Managing Director of Echosec UK, was hon- ketplace that connects social media influencers interests and narrower focus, but that makes their form that Echosec has created continued to oured with the Technology Entrepreneur of insights and expertise more relevant — more gain market traction during the Quarter. The it again, this tool has really the Year award at the Entrepreneur Wales How the CreatorDen app works. ‘influential’ — to their audience. And they reach unique way the SaaS product aggregates increased our insight and Awards gala. Echosec also received an those audiences using Facebook, Instagram, data for clients is allowing them to react to accolade as one of the Top 30 Technology Twitter and YouTube. Snapchat is also expected to information of significance before anyone reduced our response time.” Innovations of 2016 in the latest Security take an increasing part of the pie in 2017. else. It gives clients a real-time data advan- — Fortune 500 retail company Sales & Integration magazine. tage which they are turning into revenues. The new digital paradigm for the industry. focused on the recently updated function- The encouraging results keep coming, and We will continue to watch the progress. Over this latest period, Echosec partners and ality of the software, including enhanced we watch for that trend to only continue. creatorden.com  outbound sales teams drove new engage- location searching, keyword searching, echosec.net  ments with customers in the media, mar- compound searching, saved searches, alert keting, retail, hotel/hospitality and finance features and new analytics capabilities. Also industries. Many these new engagements notable during the Quarter, Ben Milsom,

4 WESLEY CLOVER QUARTERLY UPDATE | February 2017 WESLEY CLOVER QUARTERLY UPDATE | February 2017 5 A PICTURE WORTH 1000 WORDS FOR L-SPARK COUNTERPATH MOVING FAST WITH BRIA X

L-SPARK, based in , Canada, is focused on Critical and more. Senior partners from money Vancouver-based CounterPath (NASDAQ: surveys and other customer engagement “The launch of Bria X and the introduction of accelerating market-ready enterprise SaaS start-ups. firms Bessemer, Georgian VP, Inovia, BDC, OMERS, CPAH) (TSX: PATH) provides enterprise Unified efforts, making Bria X a truly customer-driven a subscription-based service for customers A key component of the Wesley Clover ecosystem, Whitestar Capital, Arthur Ventures and others were Communication (UC) and collaboration solu- solution. ushered in a new era for CounterPath”, said the company wrapped up 2016 with an excellent also in attendance. A few more highlights include: tions that overcome the challenges of corpo- Todd Carothers, Executive Vice President of milestone — the inaugural SaaS North conference. ——817 guests in attendance rate network security and deployment. In response to the feedback, certification Sales and Marketing for the company. “The The conference was conceived of and co-founded by ——381 companies represented testing with leading interoperability part- shift allows us to provide a better customer L-SPARK, and was held in Ottawa on November 30th ——29 deeper-dive breakout sessions presented Last September BRIA X was launched, a ners is increasing. Recent work has added experience and unified communications and December 1st. The event succeeded in bringing ——98.33% of attendees would recommend the robust new Unified Communications-as-a- USB headset support for Plantronics Hub experience by including ongoing updates. together more than 800 key participants (founders, event to colleagues Service (UCaaS) solution that overlays any for Windows and Mac, as well as Jabra USB Bria X also removes barriers for remote investors, executives). The two days were filled with ——99.8% of attendees will attend again existing VoIP service, adding secure team and Bluetooth units. Next headsets for cer- working teams, companies looking to adopt content and networking opportunities. messaging, presence, screen sharing and tification include devices from Logitech and BYOD programs, and business users looking On the heels of this success, SAAS NORTH 2017 is application access on up to three devices per Sennheiser. for easy-to-use communications and col- th th More than 60 speakers took to the stage, including now committed for November 29 and 30 . Stay user. Supported by the Bria X Web Platform laboration tools that are accessible anytime CEO’s/Senior Executives from SaaS industry lead- tuned for plenty more details, and review the graphic for IT administration, Bria X was designed across multiple devices.” Bria-X.com  ers such as Salesforce, Survey Monkey, FreshBooks, below for the rest of the L-SPARK 2016 track record. to become the new standard in enterprise  Hootsuite, Shopify, Intercom, 500px, LEAGUE, Vision Not bad for Year Two! l-spark.com UCaaS.

During the latest Quarter the company began to see the promising results expected. Targeted initiatives to a network of more than six million IT professionals continue to grow the user base dramatically. In parallel, user feedback continues to be collected through

PRETIO INTERACTIVE CONTINUES IMPRESSIVE GROWTH

Pretio Interactive is one of the start-ups In January, Pretio acquired the core team The company also signed an exclusive inte- in the Canada Alacrity program, and is now and technology assets of a Victoria-based gration contract with a leading retail-focused a leader in creating more effective mobile performance marketing firm which was marketing agency that will use the Apollo advertising strategies and deployments. The focused on the growing video advertizing platform to A/B test a suite of promotional company experienced another record-break- market. The move adds five key members to offers for its tier-one consumer packaged ing Quarter with triple-digit growth in three the Pretio team: three who are expected to goods (CPG) clients. In earlier beta tests with major financial metrics: bring immediate revenue and profit upside this agency, the Apollo intelligent ad buying ——Revenues grew 105% quarter-over- to the existing Atlas business unit, and two features outperformed traditional media and quarter who will join the ‘Apollo’ (internal code name delivered an ROI at or better than industry ——Gross Profit grew 217% for the automated ad-buying platform being leaders such as Facebook. ——EBITDA grew 163% developed by Pretio) team to accelerate that program. The technology acquisition An impressive measuring stick indeed. Stay This growth was attributed to a combination adds an industry-leading campaign tracking tuned for further updates from Pretio. of strong end-of-year campaign budgets platform for ad buying to the Pretio portfolio, pretio.in  with key clients and the culmination of and offers unique insights into performance months of business development activities optimization and direct reporting/finance by the team in new geographic markets and integrations that can be leveraged. industry verticals.

6 WESLEY CLOVER QUARTERLY UPDATE | February 2017 WESLEY CLOVER QUARTERLY UPDATE | February 2017 7 ® CLINICONEX SEES RECORD QUARTERLY GROWTH CLINICONEX, an L-SPARK Accelerator graduate, provides SaaS soft- ware that automates patient outreach for health clinics and helps A NUMBER OF AWARDS physicians track the quality of care being delivered. Tailored to the clinic workflow, the light-touch, automated communication and FOR PRONTOFORMS reporting software streamlines pre- and post-appointment out- With more than 3,500 customers using reach, and improves preventative patient care and individualized its configurable mobile forms platform to health literacy. transform business processes, Ottawa-based PRONTOFORMS is the global leader in In the latest Quarter, the company saw record growth. Healthcare automating mobile workflows. During the provider count (clinics using the system) jumped 18% to exceed past Quarter the company continued to 1900, compared to 1600 last Quarter. Transaction volume through the Cliniconex platform now exceeds 200,000 appointments per month, Cliniconex CEO Anthony Mar participates in Ottawa Chamber drive growth and develop strategic partner- of Commerce Health Innovation Council ships. The company also received positive compared to 170,000 last Quarter. And the pipeline for the coming validation of all that it is doing from a num- Quarter is already projecting continued strong growth. as provide valuable first-hand input on the massive U.S. market shift ber of external sources, including: from volume to value and outcome-based care delivery. Electronic Medical Records (EMR) partnerships are driving much of ——The 2016 Deloitte Technology Fast the growth, and the company continues to nurture relationships Also during the Quarter, the company was pleased to add Calian 50 Award, celebrating leadership in the with groups such as Telus Heath and Shoppers/QHR, the dominant Group Ltd. (TSX:CGY) as a new strategic investor in the company. As BETTER SOFTWARE IS THE MISSING Canadian technology industry over time. EMR vendors in Canada. In the U.S., work continues to close the first part of the investment, Scott Murray, Vice President of Calian Health The award recognized the impressive pilot installation, at a 600-bed hospital in Buffalo, NY. That pilot will Services, has assumed a seat on the Cliniconex Board of Directors. PIECE TO FRANCHISING PUZZLE 269% growth in revenue the company open up a promising partnership opportunity with a major American Calian Health is one of Canada’s largest national health services L-SPARK Accelerator graduate The Better run and grow a small business. Functions has achieved over the preceding EMR vendor. organizations, with more than 10 years of experience in the manage- Software Company kicked off the New such as email marketing, lead generation, three years. ment of healthcare professionals and health programs, as well as the Year by formally introducing an integrated opportunity management and more are To increase exposure in the U.S. market, the company will be exhibit- operation and management of primary care and occupational health Franchise Operating System that simplifies included. For the franchisor, it provides a ——The 2016 CIX Public Top 20 Award, ing at the Healthcare Information and Management Systems Society clinics. That company has a network of more than 1,500 healthcare and improves operations for franchisors single viewpoint into the performance of showcasing the most innovative public (HIMSS) tradeshow later this month, in Orlando, Florida. HIMSS is the professionals, and supports more than six million patient visits per and multi-location businesses. their franchisees, enabling them to track technology companies in Canada. largest Health IT show in North America, drawing in some 45,000 year at 180 clinic locations across the country. trends, identify potential areas for support Only 20 companies were selected from participants and 1,200 vendors. It is expected to help Cliniconex The new BPro SaaS software was launched and better communicate with their fran- the hundreds of small- and mid-cap initiate new partnership opportunities with U.S. and global EMR Calian and Scott are welcome additions to the team. at the International Franchise Association chise teams.” technology companies considered. vendors, health insurance companies and system integrators, as well cliniconex.com  (IFA) 2017 Convention in Las Vegas, NV, with hands-on demonstrations of the all- A serial entrepreneur with 15 small busi- ——The City of Ottawa 2016 Immigrant in-one features designed to address the nesses to his credit, Cody co-founded Entrepreneur Award, recognizing needs of the four key stakeholders in a suc- The Better Software Company in 2015 in ProntoForms founder and CEO Alvaro cessful franchise: the franchisor, franchisee, response to his own frustrations in finding Pombo for his considerable contributions SOLINK IS ON A MISSION manager and customer. Features include a simple-to-use software tool that could to the Ottawa business community. Ottawa-based SOLINK CORPORATION is 1000 new installations are in backlog, real-time mobile access, inventory and incorporate all the functionality essential disrupting the security surveillance industry and plans are in place to support at least warehouse management, central report- to running a small business. The company “These past few months have underscored with an innovative new, cloud-based video 1500 more paying customers over the year. ing, quote management and customer now has more than 450 small business the forward trajectory of ProntoForms,” said recording and analysis solution that dramati- Installs can now be found in South America, account tracking. customers, and the new Franchise Pombo. “Our strengthening partnerships cally improves incident investigation and loss Australia, the U.S. and Canada. Opportunities Operating System is already in use by with top-tier technology brands, and our prevention. The company entered 2017 with are also being pursued in the U.K., the Middle for new vertical markets and expand the “Our goal is to help small business owners 15 multi-location brands.  recent string of third-party recognition, adds dramatic growth prospects. The new product East and France. Solink customer community further. The around the globe become successful, and thebettersoftwarecompany.com further credibility to our platform for those in and business model are clearly catching on. development team is busy adding new a large part of the small business market the enterprise market.” The company has partners that can dis- language support to the mobile and web is made up of franchises”, stated company For more news from ProntoForms, visit Through 2016, Solink increased customer tribute and install platforms all over the user interfaces to support this expansion. CEO and co-founder Steve Cody. “Using the recently renovated company website. deployments five-fold, to 800 sites, all of globe. An Application Programming Solink is on a very positive roll, and we will BPro, franchisees have an integrated sys- prontoforms.com  which are now paying monthly recur- Interface (API) is now available for devel- bring further updates to you as the year tem that manages everything necessary to ring SaaS fees. Already in 2017, more than opers to build or enhance video solutions unfolds. solinkcorp.com 

8 WESLEY CLOVER QUARTERLY UPDATE | February 2017 WESLEY CLOVER QUARTERLY UPDATE | February 2017 9 HYAS THREAT INTELLIGENCE PLATFORM HELPS FBI FileFacets Secures Solid Series A Financing

HYAS continued this Quarter to make solid progress through emails behind several of the C2 domains associated with the FILEFACETS, an L-SPARK Alumnus and “We are delighted to secure this funding,” of metadata, and a file sorting algorithm the customer-testing phase for Comox, the new flagship ransomware. It also obtained the postal address on the credit recent addition to the Wesley Clover portfo- said Chris Perram, FileFacets co-founder and enables clients to more easily locate specific software for the company, and one of the most powerful card used to purchase those domains. Social media search- lio, achieved a significant milestone during CEO. “It will allow us to focus on scaling our data and detect duplicate files as well. The threat intelligence investigation and attribution systems to ing then led to a suspect. Once this information was passed the Quarter. The Ottawa-based data analytics operations across North America and into tool works particularly well for the migra- date. Industry response from Fortune 500 companies, gov- to the FBI, they used court orders to obtain corroborating and content migration software company markets abroad. We will continue our mission tion of unstructured content from multiple ernment agencies and other information security service data which confirmed the Comox findings. The results: the concluded a Series A financing round that of making it cheaper, faster, easier and more sources. providers using the platform has been very positive. arrest of a suspect in New York, and strong validation of the brought $4.0M of new funding into the firm. secure for organizations to move data from power of Comox. disparate sources into ECMs.” “The high-tech scene in Ottawa continues “Everyone is trying to do attribution, but they are doing it The financing round was led by Celtic to flourish and shine on the international with crap data. Comox fixes that”, stated Andre DiMino, As further evidence, several information security companies House Venture Partners of Ottawa, and FileFacets software provides content analysis stage,” said Sir Terry Matthews, founder and Founder of Shadow Server and part of the beta test group. recently came forward with the results of their investigations included participation from Green Capital and migration services for enterprise cus- Chairman of Wesley Clover International. Comox gives analysts, researchers, and investigators the into a well-publicized breach of DNC servers during the Ventures Ltd. from San Diego, CA, Wesley tomers, taking the multitude of employee “FileFacets fits very well into the Wesley tools to be much more effective at their jobs, and increases 2016 U.S. election. Comox was used in a number of those Clover International and a number of smaller data files which are typically scattered across Clover global portfolio of next-generation the accuracy of their findings significantly. investigations, and discovered the customer phone num- investors. FileFacets plans to use the funds to shared hard drives and other IT resources, cloud and SaaS companies and we look for- ber behind the purchase of several domains involved in the expand North American sales and marketing and streamlining them into a more organized ward to supporting the success of FileFacets.” The platform connects specific attack instances and breach as well as other malicious domains not yet used in an efforts and accelerate the growth of its chan- Enterprise Content Management (ECM) campaigns to billions of historical indicators of compro- attack. This information enabled an expanded investigation nel sales strategy. system. The software automates the cate- Look for further FileFacets updates in mise faster than ever. It helps research millions of malware via a data thread that previously would have been unavail- gorization of files through the application future issues of Q. filefacets.com  samples and their corresponding network traffic patterns, able to investigators without international police assistance bringing valuable insights to security incident and event and multiple court orders. management efforts. The big leagues of threat analysis, and HYAS is right in the Comox recently assisted the FBI with a ransomware inves- middle of it. We look forward eagerly to the stories that Planning and Execution Fueling Global Growth for Martello tigation. Using data from a HYAS domain registrar partner, come next. hyas.com  Comox was able to obtain the login IP addresses and contact Well-aligned product development plans global growth in IP telephony, with CAGR coupled with successfully executed launch projected to be 28% between 2016 and activities resulted in continued sales growth 2019. Mitel has a customer-centric approach this Quarter for Martello Technologies, the to the premise-to-cloud transition, and It helps research millions developer of network performance man- MPA software is a key tool in that journey. of malware samples and agement SaaS for the Mitel family of hosted Many channel partners are shifting their their corresponding communications offerings. business model as a result. Mitel partner network traffic patterns, TCS Canada, for example, offers both prem- When Mitel acquired Aastra in early 2014, ise-based Unified Communications (UC) and customer demand for features such as net- bringing valuable insights Martello saw an opportunity to enter new managed voice services, and uses MPA to work diagrams, emergency call notifications, to security incident and global markets in Europe, Latin America and deliver reliable voice quality to their entire and expanded analytics. Martello has also event management efforts. Asia Pacific by developing support rapidly customer base. invented new voice network service testing for the MiVoice MX-ONE call platform that and site qualification technology, which has Aastra had made dominant in these regions. “Customers are more sticky to us with MPA”, resulted in a patent application. The strategy paid off for Martello, with its said TCS owner Mike Tavares. “They are more enhanced Mitel Performance Analytics (MPA) tech-savvy than ever, and with MPA, we have The company is also actively seeking acqui- software gaining traction in nine new coun- a way to demonstrate quickly where a prob- sition targets to fuel further growth, and tries. This Quarter alone, new high-value lem originated, and ensure our first level sup- will soon move to larger office space. Bigger enterprise accounts were secured in Austria, port techs have it resolved quickly”. should be better. We will keep watching … Spain and Italy. martellotech.com  As Martello moves into the final Quarter of In other areas of the business, cloud-hosted its fiscal year, the focus is on development unified communications continues to drive of the next MPA release, which will meet

10 WESLEY CLOVER QUARTERLY UPDATE | February 2017 WESLEY CLOVER QUARTERLY UPDATE | February 2017 11 INITLIVE OFF TO THE RACES During the past Quarter, the 2016 Abu with and between the teams, and shuffling of Dhabi Grand Prix was held at the Yas Marina staff as required, were all handled smoothly. Racing Circuit in the United Arab Emirates. An independent staffing company provided The final race of the season saw 5 million much of the workforce, and the manager people watch Nico Rosberg win his first of that company used the app to keep an World Drivers Championship title, beating eye on all the activities in real time. One of Mercedes team-mate Lewis Hamilton to the the more positive outcomes was the fact that crown but finishing second in this last race to this new software tool provided an added pole-sitter Hamilton. sense of accountability between the staffing company and the venue itself, who was pay- The highlight for us, however, was the fact ing them. that InitLive, provider of mobile staff and vol- unteer management software, won the con- In the end, the event was a tremendous tract to manage the organizing and on-site success. The app performed admirably, and team at this Grand Prix. Given the magnitude garnered many compliments from the staff, of the event, it was a nice win for the young supervisors and event managers who were company. While he certainly did not do it experiencing its capabilities for the first time. alone, credit for much of the local business Strong customer validation in a real-world development and support goes to Dubai- environment. Enough so that the clients based Ahmed Al-Hayderi with Wesley Clover. are planning to increase their purchases of the software, and provide valuable ref- A complicated schedule across multiple facil- erences within the racing community and In it ities and locations proved no problem for the lucrative region overall. Congratulations to InitLive app. Staff were dispersed over many the InitLive team, and we look forward to Live floors of six grandstands, with supervisors in further successes from the partnership. place for each. Regardless communication initlive.com  Funding Agreed to Build International Convention Centre Wales at Celtic Manor Resort

MITEL PERFORMANCE REMAINS STRONG THE CELTIC MANOR RESORT had some Convention Centre has been many years in networking spaces, state-of-the-art technol- The latest financial results for MITEL® pending divestiture of the Mobile Division, ——The company achieved the highest score momentous news to kick off 2017 when final the planning. I am delighted that we are now ogy with fully integrated audio visual facilities (Nasdaq:MITL) (TSX:MNW), a global expected to close in the first Quarter of 2017, for satisfying Hybrid UC Requirements details were worked out to begin construc- in a position to build and deliver a facility that and fully serviced client offices, green rooms leader in enterprise communications, resulted in a goodwill impairment charge of among the 16 providers evaluated in tion of the new International Convention will be such an asset to the United Kingdom. and production facilities. were announced during the Quarter. $213 million, a GAAP loss of $209.2 million Gartner’s Critical Capabilities for Unified Centre Wales (ICC Wales). The Celtic Manor Resort has already estab- Commenting on company performance and a GAAP loss per share of $1.72. Our Communications as a Service (UCaaS). lished a reputation as the number one Government Cabinet Secretary for Economy for the period ended December 31, 2016, non-GAAP earnings per share of $0.25 and With a development cost of £85M includ- Conference Hotel in the U.K., but this new and Infrastructure, Ken Skates, said “This Richard McBee, Mitel’s Chief Executive adjusted EBITDA of $56 million, which both ——The City of Marseille selected Mitel ing car parking and landscaping, ICC Wales centre will be a game-changer. ICC Wales will be a major asset for Wales, enabling us Officer, said “Strong operational execution exclude the impairment charge and other to replace an system as the first will attract many major events to Wales. The will allow us to attract the biggest and most to compete with any venue in the U.K. and enabled the company to deliver a solid items, exceeded analyst consensus esti- step in a digital transformation of the facility will be capable of accommodating lucrative business events to the Celtic Manor indeed Europe to attract and host key events. fourth Quarter in a highly competitive mates. With continued focus on operational 300 locations and 7,000 seats installed up to 5,000 delegates in a total floor space and Wales, as well as high-profile summits This development will provide a very real market driven by technology migration execution we improved our cash position at the organization. Mitel secured the exceeding 26,000 square metres. Projected and party political conferences.” long-term boost for the entire economy. It and vendor consolidation”. by $27 million from third Quarter levels, business after competitions with Cisco, to open for business in the summer of 2019, will place Wales firmly at the forefront of busi- enabling us to pay down $23 million in debt Avaya and Alcatel-Lucent. the centre will house a 1,500-seat audito- Excavation work has already begun on land ness tourism destinations and I am delighted Steve Spooner, Chief Financial Officer with shortly after the quarter closed.” rium and separate exhibition hall which, at adjacent to the Resort Hotel and existing it is being delivered in partnership with the the company, added that “Mitel continued More details on these and other develop- 4,000 square metres, will provide the largest Convention Centre at the Celtic Manor, clear- Government.” to gain share with a particularly strong Other highlights from the Quarter included: ments can be found on the Mitel website. pillar-free ballroom in Europe, capable of ing the way for the two-year construction performance across Europe, and executed Q will continue to share updates from the hosting 2,400 people for a gala dinner. project to commence in March. As well as Stay tuned for further exciting develop- well against our Cloud strategy, driving ——Hosted cloud seats grew by 49,000, company each Quarter. mitel.com  the auditorium and main hall, included in ments from the Celtic Manor next Quarter. a 35% increase in hosted seats and 60% up from the 43,000 seats added during Celtic Manor Resort Chief Executive Ian the detailed designs are five divisible meet- celticmanor.com  increase in total seats year-over-year. The Q3-2016 and now totalling 543,000. Edwards stated that “The International ing rooms, breakouts at all levels to outdoor

12 WESLEY CLOVER QUARTERLY UPDATE | February 2017 WESLEY CLOVER QUARTERLY UPDATE | February 2017 13 Snow Day Snow Day

Pretzel race Wesley Clover Parks Not-for-profit community hub Wesley Clover Parks ended 2016 on a roll and looks forward to an even bigger and better year to come. Here are some highlights. Gift of Lights Tunnel Pretzel race

CAMP FARM GATHER LEARN PLAY RIDE Moving into 2017, preparations are under- As a part of the national celebrations The Parks hosted the second annual The Ottawa Forest and Nature School Kanata Nordic Ski members have been Plans are underway for The Ottawa way to celebrate the 50th anniversary of for 150th birthday of Canada, the City “Holiday at the Parks” gathering on continued to run sold out programming enjoying the winter sport at their new Equestrian Tournaments to return bigger camping in the capital at the Wesley Clover of Ottawa is organizing the Canada December 11th. More than 800 people from through the Quarter. The organizers have trailhead in a newer, larger area of the and better for 2017. This year will feature Parks Campground. The facility is on track 150 Groves project, designed to leave a the community were invited to celebrate also hosted a number of “Adult Forest Campground. The club hosted a number of three full weeks of competition, begin- for the busiest year in that 50 year history. lasting legacy by planting a grove of the Christmas season with activities includ- School” nights to encourage people of all successful public events over the Quarter, ning with the introduction of the Ottawa For example, Canada Day weekend sold out 150 native Canadian maple trees in each of ing a craft market, horse-drawn carriage ages to embrace nature and the outdoors seeing the highest-to-date attendance at Welcome tournament in June. All told, the before last season ended! the 23 city wards. Planting for all groves will rides, kid’s entertainment and more. during the winter season. their Pretzel Race and Snow Day. competitions this year are expected to host take place throughout 2017. Wesley Clover more than 1,600 horses and 35,000 visitors! Parks is proud to have been selected as The Gift of Lights display saw more than one of the locations to receive these trees. 25,000 cars tour a brilliant display of wesleycloverparks.com This is in addition to the more than Christmas lights staged throughout the 1000 tulips, also known as the Canada Campground between November 25th and 150 or Maple Leaf tulips, which have January 7th. The event, which benefitted already been planted on-site as part of the the Ottawa Senators Foundation, received overall celebrations. very positive feedback from the public, and we look forward to building on this holiday tradition again next year.

14 WESLEY CLOVER QUARTERLY UPDATE | February 2017 WESLEY CLOVER QUARTERLY UPDATE | February 2017 15 PRINCIPAL COMPANY INDEX * Featured in this issue of Q

AirVM - airvm.com L-SPARK* - l-spark.com Alacrity Canada - alacrityfoundation.com Marshes Golf Club - marshesgolfclub.com Alacrity Foundation UK - alacrityfoundation.co.uk Martello Technologies* - martellotech.com Alacrité France* - alacrite.fr Mitel* - mitel.com Alacrity India* - alacrityindia.com Mydoma Studio - mydomastudio.com Benbria - benbria.com Persona - personajobs.com Brookstreet Hotel - brookstreethotel.com Pisano - pisano.co Brookstreet Pictures - brookstreetpictures.com Pretio Interactive* - pretio.in CareerJSM - careerjsm.com ProntoForms* - prontoforms.com Celtic Manor Resort* - celticmanor.com Referral SaaSquatch - referralsaasquatch.com Cliniconex* - cliniconex.com Solace - solace.com CreatorDen* - creatorden.com Solink* - solinkcorp.com CounterPath* - counterpath.com StartSub - startsub.com Deriva - derivalabs.com Talkative* - talkative.uk Echosec* - echosec.net TaraSpan - taraspan.com Encepta - encepta.net Teldio - Teldio.com Encore Networks - encorenetworks.com The Better Software Company* - thebettersoftware Enjovia - enjovia.com company.com FileFacets* - filefacets.com ThinkRF - thinkrf.com HYAS Infosec* - hyas.com Tutela Technologies - tutelatech.com InitLive* - initlive.com Twentify - twentify.com Iven - iven.io Wesley Clover Parks* - wesleycloverparks.com KRP Properties - krpproperties.com Wesley Clover Solutions - wesleycloversolutions.com Learnium - learnium.net

HEAD OFFICE US OFFICE EMEA OFFICE WESLEY CLOVER WESLEY CLOVER WESLEY CLOVER INTERNATIONAL INTERNATIONAL INTERNATIONAL 390 March Road, Suite 110 3800 Concorde Parkway, The Manor House Ottawa, ON K2K 0G7 Suite 1500 Newport, South Wales, UK +1.613.271.6305 Chantilly, VA 20151 NP18 1HQ Additional offices are listed on our website. wesleyclover.com +1.703.318.4355 +44.11633.410383 © 2017. Wesley Clover International Corporation. All rights reserved.