Median Ltm Ebitda Multiples – Saas & Cloud 130

SAAS & CLOUD M&A AND VALUATION UPDATE Q3 2017

BOSTON  CHICAGO  LONDON  LOS ANGELES  NEW YORK  ORANGE COUNTY  PHILADELPHIA  SAN DIEGO  SILICON VALLEY  TAMPA CONTENTS

Section Page

Introduction ▪ Research Coverage: SaaS & Cloud 3 ▪ Key Takeaways 4-5 M&A Activity & Multiples ▪ M&A Dollar Volume 7 ▪ M&A Transaction Volume 8-10 ▪ LTM Revenue Multiples 11-12 ▪ Revenue Multiples by Segment 13 ▪ Highest Revenue Multiple Transaction for LTM 14 ▪ Notable M&A Transactions 15 ▪ Most Active Buyers 16-17 Public Company Valuation & Operating Metrics ▪ SaaS & Cloud 130 Public Company Universe 19-20 ▪ Recent IPOs 21-32 ▪ Stock Price Performance 33 ▪ LTM Revenue, EBITDA & P/E Multiples 34-36 ▪ Revenue, EBITDA & EPS Growth 37-39 ▪ Margin Analysis 40-41 ▪ Best / Worst Performers 42-43 Notable Transaction Profiles 44-53

Public Company Trading & Operating Metrics 54-61

Technology & Telecom Team 62

1 INTRODUCTION RESEARCH COVERAGE: SAAS & CLOUD

 Capstone’s Technology & Telecom Group focuses its research efforts on the follow market segments:

ENTERPRISE SAAS & MOBILE & WIRELESS CONSUMER INTERNET CLOUD

• Analytics / Business Intelligence • Cloud & IT Infrastructure • Cloud Computing / Storage • Communication & Collaboration • Content Creation & Management • CRM & Customer Services • ERP, Supply Chain & Commerce CONSUMER IT & E-COMMERCE • Finance & Administration TELECOM HARDWARE • Human Resources • Marketing & Advertising • Software Conglomerates • Vertical Markets

3 KEY TAKEAWAYS – M&A ACTIVITY & MULTIPLES

 LTM M&A dollar volume decreased significantly to $60.9B despite Private Company M&A dollar volume increasing » 2016 M&A dollar volume was buoyed by the Microsoft/Linkedin ($29B) and Quintiles/IMS Health ($14B) deals » Q2’17 M&A dollar volume of $9.1B represents a 22.7% decrease from Q1 ‘17  LTM transaction volume reached 1,040 deals as strong deal flow continues » Q2’17 saw 269 deals, up from 259 deals in the prior quarter  LTM transaction volume for private targets reached 1,012 deals, slightly below the 2015 peak of 1,015 deals  LTM public transaction volume increased to 28 deals, its highest level in recent years  Median LTM revenue multiple paid for private companies remained consistent with 2016 at 3.8x  Median LTM revenue multiple paid for public companies came in at 2.3x, reaching a five-year low  Notable M&A transactions in Q2’17 ▪ Siris Capital / Synchronoss Technologies ($986M) ▪ Vista Equity Partners / Xactly ($533M) ▪ TBG Treuland / Telvent DTN ($900M) ▪ Procera / Sandvine ($426M) ▪ Oracle / Moat ($850M(1)) ▪ Sonus / Genband ($412M) ▪ Cisco / Viptela ($610M) ▪ Aurea Software (Wave Systems) / Jive ($344M) ▪ IAC (HomeAdvisor) / Angie’s List ($574M) ▪ Marlin Equity Partners / Tangoe ($305M)  The most active buyers included Vista Equity Partners, j2 Global, IBM, Microsoft, Oracle, Alphabet, Salesforce, and Cisco (sorted by most active)  Capstone expects robust M&A activity and attractive exit valuations to continue in the SaaS & Cloud segment in the near term » In the longer term, there is increasing risk that a market correction could negatively impact activity levels and valuation multiples

(1) Deal value is inclusive of a $250M earn-out

4 KEY TAKEAWAYS – PUBLIC COMPANY METRICS

 11 companies went public during Q2’17, 6 of which were added to the SaaS & Cloud 130 » All but one opened above their offer price but post-IPO performance has been mixed with 5 of the six ending the quarter below their opening price  Q2’17 SaaS & Cloud 130 saw a median increase of 11.3% while the NASDAQ posted a gain of 3.9% » The Q2’17 SaaS & Cloud 130 continued to perform strongly as companies reported strong results » The SaaS & Cloud 130 gained 25.8% in the LTM period, underperforming against the NASDAQ’s increase of 26.8%  Median LTM revenue multiple jumped to 5.7x in Q2’17 from 5.1x in Q1’17, representing a five-year high » Only 2 segments in the SaaS & Cloud 130 traded below a median revenue multiple of 5.0x  Median LTM EBITDA multiple came in at 21.8x, reaching a five-year high  Strong stock performances in Q2’17 increased the median LTM P/E multiple to 40.1x compared to 35.8x in Q1’17, representing a five-year high  Median revenue growth rate decreased to 21.7% after several years of increasing growth » Revenue growth is expected to slow slightly to a median of 20.7% over the next twelve months  Median EBITDA growth rate decreased to 20.1% in LTM 6/30/17, however additional growth expected for NTM as many companies reap the benefits of increased scale driving higher profits  Median EPS growth rate increased to 27.7%, representing a five-year high as companies continue to post strong earnings  Median gross margins have remained relatively constant for the past five years, increasing slightly in LTM 6/30/17 to 68.5%, representing a five-year high » ERP, Supply Chain & Commerce, commanded the highest gross margin at 76.1% as most of their expenses are operational  Median EBITDA margin increased to 14.4% in Q2’17, reversing a five-year decline

5 M&A ACTIVITY & MULTIPLES LTM M&A DOLLAR VOLUME

 LTM M&A dollar volume decreased significantly to $60.9B despite Private Company M&A dollar volume increasing » 2016 M&A dollar volume was driven by the Microsoft/Linkedin ($29B) and Quintiles/IMS Health ($14B) deals » LTM M&A dollar volume dropped due to the lack of megamergers in 2017  Q2’17 M&A dollar volume of $9.1B represents a 22.7% decrease from Q1 ‘17

$120,000

$100,000

$80,000

$81,327 $60,000

$29,763 $40,000 $28,619 TotalTransaction Value $20,136 $24,028 $20,849

$20,000 $27,900 $27,814 $31,095 $26,208 $22,968 $24,298

$0 2012 2013 2014 2015 2016 LTM

Total Private $ Total Public $

7 LTM M&A TRANSACTION VOLUME BY SEGMENT

 LTM transaction volume reached 1,040 deals as strong deal flow continues » Q2’17 saw 269 deals, up from 259 deals in the prior quarter  Vertical Market is by far the largest segment by deal count, representing 40% of LTM transaction volume, though Cloud & IT infrastructure saw over 150 deals LTM

1200

1000

422 420 800 413 295

600 232 112 90 224 98 95 38 57 60 23 62 26

Transactions 400 80 52 14 57 21 66 19 52 59 47 40 42 41 25 27 37 23 40 47 37 55 40 57 43 26 54 55 17 36 55 200 50 37 31 22 32 44 42 25 82 137 125 151 98 101 117 39 77 66 0 52 49 2012 2013 2014 2015 2016 LTM Analytics / Business Intelligence Cloud & IT Infrastructure Cloud Computing / Storage Communication & Collaboration Content Creation & Management CRM & Customer Service ERP, Supply Chain & Commerce Finance & Administration Human Resources Marketing & Advertising Vertical Market

8 LTM M&A TRANSACTION VOLUME BY DEAL SIZE – PRIVATE TARGETS

 Private Company M&A activity and valuations continue to grow  LTM transaction volume for private targets reached 1,012 deals, slightly below the 2015 peak of 1,015 deals  Median transaction size for private targets increased slightly to $40M, equaling the five-year high set in 2015

100% 5 2 5 4 6 8 11 14 3 10 13 13 90% 10 12 7 16 17 11 15 80% 23 27 22 36 23 27 70% 14 16 30 60% 20 17 18 26 23 50% 18 39 28 24 40% 19 33 49 24 30% 40

20% 80 52 46 44 10% 42 42

0% 2012 2013 2014 2015 2016 LTM Total Deals 679 642 865 1015 972 1012 Deals w/ Value 212 164 182 199 158 169 Median ($M) $18 $25 $25 $40 $35 $40 $0-10M $10-25M $25-50M $50-100M $100-250M $250-500M $500M-1B $1B+

9 LTM M&A TRANSACTION VOLUME BY DEAL SIZE – PUBLIC TARGETS

 LTM public transaction volume increased to 28 deals, its highest level in recent years » LTM Median deal size decreased substantially to $409M as there was only one $1B+ in Q2’17 compared to the 7 $1B+ deals in Q2’16 » Median deal size increased to $144M in Q2’17 compared to $105M in Q1’17  Q2’17 public transaction volume increased to 11 compared to 4 in Q1’17 100%

90% 6 7 7 8 80% 5 14 70% 4 1 4 5 60% 4 4 1 50% 4 2 2 40% 3 2 1 4 1 1 6 7 30% 1 2 2 2 20% 1 4 2 1 5 10% 6 4 2 2 1 1 0% 1 1 1 2012 2013 2014 2015 2016 LTM Total Deals 26 23 12 27 26 28 Median ($M) $329 $265 $706 $274 $1,536 $409 $0-10M $10-25M $25-50M $50-100M $100-250M $250-500M $500M-1B $1B+

10 MEDIAN LTM REVENUE MULTIPLES – PRIVATE TARGETS

 Median LTM revenue multiple paid for private companies remained consistent with 2016 at 3.8x  Q2’17 private target median revenue multiple decreased to 3.5x compared to 4.9x in Q1’17  The gap between the 25th and 75th percentile median LTM revenue multiple paid for private companies widened from 2.7x and 7.1x in 2016 to 2.2x and 7.3x in the LTM period

4.5x

4.0x 3.9x 3.8x 3.8x 3.8x 3.6x 3.5x

3.0x 2.8x

2.5x

2.0x

1.5x

Median Revenue Multiple Median Revenue 1.0x

0.5x

0.0x 2012 2013 2014 2015 2016 LTM 25th % 1.4x 2.4x 2.2x 1.9x 2.7x 2.2x 75th % 4.3x 6.0x 6.0x 6.0x 7.1x 7.3x

11 MEDIAN LTM REVENUE MULTIPLES – PUBLIC TARGETS

 Median LTM revenue multiple paid for public companies came in at 2.3x, reaching a five-year low  Q2’17 revenue multiple paid for public companies of 1.6x is well below the LTM median and the lowest multiple during the LTM period » Q2’17 saw a total of 11 deals, more than the last two quarters combined, however many deals were take-private deals as companies struggled to maintain growth, resulting in a lower median multiple of 1.3x for Q2’17 4.0x 3.5x 3.6x 3.5x 3.2x 3.2x 3.2x 2.9x 2.9x 3.0x 2.8x 2.6x 2.4x 2.5x 2.5x 2.3x

2.0x

1.5x

1.0x

Median Revenue Multiple Median Revenue 0.5x

0.0x 2012 2013 2014 2015 2016 LTM 25th % 1.0x 1.3x 2.2x 0.8x 2.5x 1.1x 75th % 3.4x 4.6x 5.8x 4.5x 6.8x 3.6x All Deals $100M+ Deals

12 MEDIAN LTM REVENUE MULTIPLES BY SEGMENT – LAST 5 YEARS

 Median LTM revenue multiples across SaaS segments for deals in the past five years ranged from 1.7x to 4.9x » Finance & Administration achieved the highest median multiple of 4.9x, led by SAP’s acquisition of Concur Technologies and Oracle’s acquisition of NetSuite, which had revenue multiples of 12.4x and 10.3x, respectively » Cloud & IT Infrastructure achieved a median multiple of 4.7x as these companies are often acquired earlier in their revenue curve at strong multiples » More commoditized segments like Communication & Collaboration typically garner lower multiples

6.0x

4.9x 5.0x 4.7x 4.0x 4.0x 3.4x 3.3x 3.1x 3.0x 2.7x 2.5x 2.3x 2.3x 2.0x 1.7x

1.0x Median Revenue Multiple MedianRevenue 0.0x

13 HIGHEST REVENUE MULTIPLE TRANSACTIONS FOR LTM

LTM Multiple Premium Enterprise Ann. Date Buyer Target Segment Target Description Revenue on $ to 1 Mo Value Multiple Invested Prior

Provides cloud-based third-party access control SaaS to IT businesses, Cloud & IT 10/4/16 enabling access to applications that are hosted in data centers and to $60M 30.0x 6.1x NA Infrastructure Microsoft SharePoint on enterprise networks. Provides cloud-based WAN virtualization software that enables businesses Cloud & IT 5/1/17 to build unified carrier agnostic WAN and network infrastructures that $610M 24.4x 5.6x NA Infrastructure connect them to their facilities, users and applications Analytics / Provides big data and predictive analytics SaaS, and related reporting SaaS 8/15/16 Business $110M 22.0x 12.2x NA Intelligence for businesses. Provides behavior-based profiling SaaS for enterprises, enabling breach- Cloud & IT 2/28/17 detection and visibility into advanced or targeted attacks, insider threats and $105M 21.0x 2.9x NA Infrastructure malware that have circumvented traditional security controls. Provides health benefits management SaaS for businesses. Software 1/4/17 Human Resources provides features for financial management, customized health benefit $134M 19.1x 2.0x NA plans, and data and analytics reporting. Provides application performance management SaaS and mobile Cloud & IT 1/24/17 applications, enabling the monitoring and troubleshooting of applications, $3.9B 18.9x 10.1x NA Infrastructure extensions, plugins, databases, and servers for businesses.

Marketing & Provides advertising analytics software as a service (SaaS) to help advertisers 4/18/17 $850M(1) 18.9x 12.5x NA Advertising and publishers determine the effectiveness of their advertising campaigns.

Provides cloud-based financials/enterprise resource planning and ERP, Supply Chain 7/28/16 omnichannel commerce software suites in the United States and $8.7B 10.3x NA 58.0% & Commerce Internationally.

Develops cloud-based field service software solutions that help companies 11/14/16 Human Resources $915M 10.2x 4.5x NA to manage contracts, scheduling, and parts.

ERP, Supply Chain Provides third-party integrateable e-commerce SaaS for independent 8/8/16 $100M 10.0x 50.0x NA & Commerce software vendors and businesses.

Excludes deals with Target company revenue less than $2M

(1) Deal value is inclusive of a $250M earn-out

14 NOTABLE M&A TRANSACTIONS FOR Q2’17

LTM Multiple Premium Enterprise Ann. Date Buyer Target Segment Target Description Revenue on $ to 1 Mo Value Multiple Invested Prior

Cloud Computing Provides cloud solutions and software-based activation for connected 6/23/17 $986M 2.1x NA 37.8% / Storage devices worldwide.

Provides agricultural information solutions and market intelligence that 4/3/17 Vertical Market enable farmers, agribusinesses, and commodity traders in the agriculture $900M 4.2x NA NA industry to manage their businesses.

Provides cloud-based WAN virtualization software that enables businesses Cloud & IT 5/1/17 to build unified carrier agnostic WAN and network infrastructures that $610M 24.4x 5.6x NA Infrastructure connect them to their facilities, users and applications Allows consumers to research, shop for, and purchase local services for ERP, Supply Chain 5/1/17 home, health, and automotive service needs, as well as to rate and review $574M 1.8x NA 49.1% & Commerce service providers in markets. Provides cloud-based incentive compensation solutions for employee and 5/30/17 Human Resources sales performance management in the United States and the United $533M 5.5x NA 34.9% Kingdom. Provides network policy control, network integrity, traffic management, Cloud & IT 6/27/17 subscriber service creation and network management hardware, software $426M 3.7x NA NA Infrastructure and services for fixed and mobile telecom network operators. Provides real time communications software solutions for service providers, Communication & 5/23/17 enterprises, independent software vendors, systems integrators, and $412M 1.0x 0.5x NA Collaboration developers worldwide.

Communication & The platform allows companies to connect, communicate, and collaborate 5/1/17 $344M 1.7x NA 22.1% Collaboration with employees, customers, and partners.

Finance & Provides telecom expense management, network provisioning, M2M and 4/28/17 $305M NA NA 19.5% Administrative mobile device management software and SaaS for businesses.

Includes largest transactions based on Enterprise Value

(1) Deal value is inclusive of a $250M earn-out

15 MOST ACTIVE SAAS/CLOUD BUYERS – LAST 2 YEARS

# of Deals SaaS/Cloud Transactions Company SaaS/Cloud Total Date Company Value Date Company Value

6/28/17 PayLease NA 8/18/16 Granicus NA 5/30/17 Lithium Technologies $330M 6/1/16 Ping Identity $600M 5/30/17 Xactly $564M 5/31/16 Marketo $1.8B 5/16/17 Zapproved NA 4/18/16 Cvent $1.7B 18 18 4/17/17 Market Track NA 1/14/16 Fiverun NA 12/7/16 Sungard (Public Sector & Edu) $$850M 1/14/16 Telarix NA 9/26/16 GovDelivery $153M 11/25/15 MarketLive $105M 9/19/16 Infoblox $1.5B 11/25/15 Shopatron $100M 9/6/16 Regulatory DataCorp NA 9/2/15 Trintech NA

4/13/17 Campaigner NA 7/11/16 SMTP NA 1/17/17 Unified Email NA 7/11/16 WhatCounts NA 1/17/17 Meixler Technologies NA 4/4/16 BackUp Solutions (server assets) NA 1/17/17 CudaMail NA 15 37 4/4/16 Global Data Vault NA 10/11/16 Dakota Cloud Recovery NA 4/4/16 Mailout Interactive NA 10/11/16 DataProtect Cloud Ltd NA 3/21/16 Callstream NA 10/11/16 FrontSafe NA 1/14/16 MX Toolbox NA 7/11/16 Overvault NA

5/31/17 TIMETOACT Group NA 12/8/15 Clearleap $200M 11/1/16 Fluid Inc. NA 11/3/15 Gravitant $95M 6/1/16 EZ Legacy NA 10/5/15 Cleversafe $1.3B 3/31/16 Bluewolf Group $240M 15 30 9/24/15 Advanced Application $13M 3/18/16 Optevia NA 9/10/15 StrongLoop NA 2/29/16 Resilient Systems $145M 8/17/15 Appcore (assets) NA 2/18/16 Truven Health Analytics $2.6B 7/23/15 Compose NA 1/21/16 Ustream $130M 6/29/17 Cloudyn $55M 1/13/16 Event Zero NA 5/24/17 Hexadite NA 9/29/15 Sensei Project Solutions NA 4/10/17 Deis NA 9/28/15 Adxstudio NA 13 32 1/17/17 Donya Labs NA 9/8/15 Adallom $250M 8/22/16 Genee NA 8/3/15 Incent Games NA 5/3/16 Solair NA 7/16/15 FieldOne Systems NA 2/24/16 Xamarin $400M

16 MOST ACTIVE SAAS/CLOUD BUYERS – LAST 2 YEARS

# of Deals SaaS/Cloud Transactions Company SaaS/Cloud Total Date Company Value Date Company Value 4/18/17 Moat $850M(1) 4/28/16 Textura $663M 4/17/17 Wercker US NA 4/14/16 Crosswise $50M 1/19/17 Apiary NA 2/22/16 Ravello Systems NA 13 18 9/18/16 Palerra NA 1/5/16 AddThis $175M 9/7/16 LogFire NA 12/18/15 StackEngine NA 7/28/16 NetSuite $9.3B 8/20/15 Maxymiser $170M 5/2/16 Opower $532M 3/9/17 AppBridge NA 7/6/16 Moodstocks NA 11/21/16 Qwiklabs NA 5/2/16 Synergyse Training NA 9/19/16 Speaktoit NA 11 42 11/19/15 Bebop Technologies $380M 9/8/16 Apigee $625M 9/30/15 Jibe Mobile NA 8/8/16 Orbitera $100M 7/21/15 Pixate NA 7/7/16 Anvato NA

10/4/16 Krux $680M 5/9/16 Implisit NA 8/15/16 BeyondCore $110M 4/4/16 MetaMind $33M 10 17 8/1/16 Quip $410M 12/23/15 SteelBrick $360M 7/21/16 Coolan NA 12/14/15 MinHash NA 6/1/16 Demandware $2.8B 9/2/15 AKTA NA

5/4/17 Saggezza NA 3/1/16 CliQr Technologies $260M 1/24/17 AppDynamics $3.6B 2/3/16 Jasper Technologies $1.4B 9 19 8/30/16 ContainerX NA 10/28/15 1 Mainstream NA 6/28/16 CloudLock $293M 7/7/15 MaintenanceNet $139M 3/8/16 Synata NA

17 PUBLIC COMPANY VALUATION & OPERATING MULTIPLES ENTERPRISE SAAS & CLOUD 130 PUBLIC COMPANY UNIVERSE – PT. 1

Analytics / Business Intelligence

Cloud & IT Infrastructure

Cloud Computing / Storage

Communication & Collaboration

Content Creation & Management

CRM & Customer Service

19 ENTERPRISE SAAS & CLOUD 130 PUBLIC COMPANY UNIVERSE – PT. 2

ERP, Supply Chain & Commerce

Finance & Administration

Human Resources

Software Conglomerates

Marketing & Advertising

Vertical Markets

20 RECENT IPOS – ALFA FINANCIAL SOFTWARE (1)

IPO Details Business Description Offering Date: 5/26/17 Market Cap at IPO: $1.2B Alfa is the developer of Alfa Systems, the leading, mission- Offering Price: $4.16 Offering Size: $324.1M critical software platform purpose-built for automotive and equipment finance providers globally. Customers include Bank Original Range: N/A % of Company: 26.0% of America, Barclays, Mercades-Benz Financial Services, and Nordea. IPO Performance HQ: London, United Kingdom Ticker: LSE:ALFA Open: $5.53 6/30 $/share: $6.01 % Change to Offer: 33.1% % Change to Offer: 44.6% Stock Performance thru End of Q2’17 Close: $5.41 % Change to Open: 8.7% $8.00 % Change to Offer: 30.1% $7.00 % Change to Open: (2.3)%

Financial & Valuation Metrics $6.00 LTM Revenue: $90.5M LTM Rev Growth: 35.6% $5.00 LTM EBITDA: $21.0M Gross Margin: 77.2% $4.00 LTM Net Income: $9.7M EBITDA Margin: 23.2% Mkt Cap at 6/30: $1.8B EV at 6/30: $1.7B $3.00 Mkt Cap / $ Invested: N/A Rev Multiple: 18.3x $2.00 Investors

5/30/17

6/13/17 6/15/17 6/19/17 6/21/17 6/23/17 $1.00 6/27/17 6/29/17

6/1/17 6/5/17 6/7/17 6/9/17

IPO Chp Software and Consulting Limited

Offer Range Price-Open Gap $/Share

(1) The company has not been added to the SaaS 130 but will be added if their model transitions to SaaS

21 RECENT IPOS – APPIAN

IPO Details Business Description Offering Date: 5/24/17 Market Cap at IPO: $704.3M Appian, a provider of business process management software Offering Price: $12.00 Offering Size: $75.0M intended to offer work, social collaboration and enterprise mobility. Their software provides low-code digital Original Range: $11.00 - $13.00 % of Company: 10.6% transformation platform, enabling users to build great applications, so that they can innovate faster and run smarter. IPO Performance HQ: Reston, Virginia Ticker: NasdaqGM: APPN Open: $15.00 6/30 $/share: $18.15 % Change to Offer: 25.0% % Change to Offer: 51.3% Stock Performance thru End of Q2’17 Close: $15.01 % Change to Open: 21.0% $20.00 % Change to Offer: 25.1% $19.00 % Change to Open: 0.1% $18.00 Financial & Valuation Metrics $17.00 $16.00 LTM Revenue: $135.3M LTM Rev Growth: 19.5% LTM EBITDA: $(15.2M) Gross Margin: 64.5% $15.00 LTM Net Income: $(16.6M) EBITDA Margin: (11.3)% $14.00 Mkt Cap at 6/30: $1.1B EV at 6/30: $1.1B $13.00 Mkt Cap / $ Invested: 14.7x Rev Multiple: 8.3x $12.00 $11.00 Investors

5/25/17 5/30/17 6/13/17 6/15/17 6/19/17 6/21/17 6/23/17 $10.00 6/27/17 6/29/17

6/1/17 6/5/17 6/7/17 6/9/17

IPO New Enterprise Associates, Novak Biddle Venture Partners

Offer Range Price-Open Gap $/Share

22 RECENT IPOS – CLOUDERA

IPO Details Business Description Offering Date: 4/27/17 Market Cap at IPO: $1.9B Cloudera, Inc. operates a data management, machine learning, Offering Price: $15.00 Offering Size: $225.0M and analytics software platform. The company’s platform delivers an integrated suite of capabilities for data management, Original Range: $12.00 - $14.00 % of Company: 11.7% machine learning, and analytics to customers for transforming their businesses. IPO Performance HQ: Palo Alto, California Ticker: NYSE:CLDR Open: $17.80 6/30 $/share: $16.02 % Change to Offer: 18.7% % Change to Offer: 6.8% Stock Performance thru End of Q2’17 Close: $18.10 % Change to Open: (10.0)% $30.00 % Change to Offer: 20.7% $28.00 % Change to Open: 1.7% $26.00 Financial & Valuation Metrics $24.00 LTM Revenue: $284.1M LTM Rev Growth: 57.2% $22.00 LTM EBITDA: $(333.2M) Gross Margin: 55.6% $20.00 LTM Net Income: $(366.5M) EBITDA Margin: (117.3)% $18.00 Mkt Cap at 6/30: $2.1B EV at 6/30: $2.5B $16.00 Mkt Cap / $ Invested: 1.8x Rev Multiple: 8.9x $14.00 $12.00 Investors

5/12/17 5/17/17 5/22/17 5/25/17 5/31/17 6/13/17 6/16/17 6/21/17 $10.00 6/26/17 6/29/17

5/1/17 5/4/17 5/9/17

6/5/17 6/8/17 Accel, American Funds Insurance Series, DAG Ventures, Fidelity IPO Investments, Firsthand Technology Value Fund, Glynn Capital Management, Greylock Partners, GV, Ignition Venture Partners, In- Q-Tel, Intel Capital, John Hancock Investments, MassMutual Financial Group, Meritech Capital Partners, MicroVentures, … Offer Range Price-Open Gap $/Share

23 RECENT IPOS – DELIVERY HERO

IPO Details Business Description Offering Date: 6/29/17 Market Cap at IPO: $5.0B Delivery Hero AG provides online food ordering and delivery Offering Price: $29.13 Offering Size: $989.1M services. It operates in 40 countries in Europe, the Middle East and North Africa, Asia, and the Americas. Original Range: $25.13 - $29.13 % of Company: 19.7%

IPO Performance HQ: Berlin, Germany Ticker: DB:DHER Open: $30.69 6/30 $/share: $32.35 % Change to Offer: 5.3% % Change to Offer: 11.1% Stock Performance thru End of Q2’17 Close: $32.35 % Change to Open: 5.4% % Change to Offer: 11.1% $34.00

% Change to Open: 5.4% $32.00

Financial & Valuation Metrics $30.00 LTM Revenue: $380.0M LTM Rev Growth: 78.8% $28.00 LTM EBITDA: $(93.1M) Gross Margin: 70.1% LTM Net Income: $(188.8M) EBITDA Margin: (24.5)% $26.00 Mkt Cap at 6/30: $5.6B EV at 6/30: $5.4B $24.00 Mkt Cap / $ Invested: 2.8x Rev Multiple: 13.4x $22.00 Investors

$20.00 6/30/17

IPO AI European Holdings, BVP Berlin Venture Partners, Cavalry Open Ventures, Falcon Edge Capital, FJ Labs, General Atlantic, German Startups Group, Global Founders Capital, Hasso Plattner Ventures, Holtzbrinck Ventures, Insight Venture Partners, Kite Ventures, Kreos Capital, Lead Edge Capital, London Stock Exchange Group, … Offer Range Price-Open Gap $/Share

24 RECENT IPOS – FUJIAN APEX SOFTWARE (1)

IPO Details Business Description Offering Date: 5/12/17 Market Cap at IPO: $232.5M Operates as a professional platform software and industry Offering Price: $2.76 Offering Size: $58.1M application solutions company in China. It offers business process management solutions in the areas of securities and Original Range: N/A % of Company: 25.0% futures, bank and trust, and electronic trading, as well as for enterprise, education, and public service industries. IPO Performance HQ: Fuzhou, China Ticker: SHSE:603383 Open: $3.32 6/30 $/share: $6.57 % Change to Offer: 20..2% % Change to Offer: 138.0% Stock Performance thru End of Q2’17 Close: $3.98 % Change to Open: 97.9% $12.00 % Change to Offer: 44.3% $11.00 % Change to Open: 20.0% $10.00 Financial & Valuation Metrics $9.00 $8.00 LTM Revenue: $29.5M LTM Rev Growth: 4.9% LTM EBITDA: $9.7M Gross Margin: 79.5% $7.00 LTM Net Income: $10.2 EBITDA Margin: 32.9% $6.00 Mkt Cap at 6/30: $553.3M EV at 6/30: $478.4M $5.00 Mkt Cap / $ Invested: N/A Rev Multiple: 15.8x $4.00 $3.00 Investors

5/22/17 5/24/17 5/26/17 6/13/17 6/15/17 6/19/17 6/21/17 6/23/17 $2.00 6/27/17 6/29/17

6/1/17 6/5/17 6/7/17 6/9/17

IPO N/A

Offer Range Price-Open Gap $/Share

(1) The company has not been added to the SaaS 130

25 RECENT IPOS – OKTA

IPO Details Business Description Offering Date: 4/6/17 Market Cap at IPO: $1.5B Okta is a provider of cloud-based identity and device Offering Price: $17.00 Offering Size: $187.0M management services designed to help in user management. Their identity and device management application offers Original Range: $13.00 - $15.00 % of Company: 12.1% mobility and life-cycle management, enabling businesses to connect and protect employees. IPO Performance HQ: San Francisco, California Ticker: NasdaqGS:OKTA Open: $23.56 6/30 $/share: $22.80 % Change to Offer: 38.6% % Change to Offer: 34.1% Stock Performance thru End of Q2’17 Close: $23.51 % Change to Open: (3.2)% $30.00

% Change to Offer: 38.3% $28.00 % Change to Open: (0.2)% $26.00

Financial & Valuation Metrics $24.00

LTM Revenue: $181.5M LTM Rev Growth: 86.6% $22.00 LTM EBITDA: $(86.0M) Gross Margin: 66.4% $20.00 LTM Net Income: $(89.7M) EBITDA Margin: (47.4)% $18.00 Mkt Cap at 6/30: $2.2B EV at 6/30: $1.9B Mkt Cap / $ Invested: 6.7x Rev Multiple: 10.7x $16.00 $14.00 Investors

6/30/17 6/27/17 6/22/17 6/19/17 6/14/17

5/26/17 5/23/17 5/18/17 5/15/17 5/10/17

4/27/17 4/24/17 4/19/17 4/13/17 $12.00 4/10/17

6/9/17 6/6/17 6/1/17

5/5/17 5/2/17 Altimeter Capital Management, AME Cloud Ventures, Andreessen IPO Horowitz, Floodgate Fund, Glynn Capital Management, Greylock Partners, Janus Capital Group, Khosla Ventures, Sequoia Capital, SV Angel, Webb Investment Network Offer Range Price-Open Gap $/Share

26 RECENT IPOS – SHOTSPOTTER

IPO Details Business Description Offering Date: 6/7/17 Market Cap at IPO: $100.2M ShotSpotter, Inc. provides software-as-a-service based gunshot Offering Price: $11.00 Offering Size: $30.8M detection solutions for law enforcement officials and security personnel worldwide. Original Range: $10.00 - $12.00 % of Company: 30.7%

IPO Performance HQ: Newark, California Ticker: NasdaqCM:SSTI Open: $14.35 6/30 $/share: $12.79 % Change to Offer: 30.5% % Change to Offer: 16.3% Stock Performance thru End of Q2’17 Close: $12.90 % Change to Open: (10.9)% % Change to Offer: 17.3% $17.00 % Change to Open: (10.1)% $15.00 Financial & Valuation Metrics

LTM Revenue: $17.0M LTM Rev Growth: 31.5% $13.00 LTM EBITDA: $(1.7M) Gross Margin: 41.1% LTM Net Income: $(6.3M) EBITDA Margin: (9.8)% $11.00 Mkt Cap at 6/30: $121.9M EV at 6/30: $176.6M Mkt Cap / $ Invested: 1.3x Rev Multiple: 10.4x $9.00

Investors

6/12/17 6/13/17 6/14/17 6/15/17 6/16/17 6/19/17 6/20/17 6/21/17 6/22/17 6/23/17 6/26/17 6/27/17 6/28/17 $7.00 6/29/17 6/30/17

6/8/17 6/9/17

IPO Band of Angels, Broidy Capital Management, City Light Capital, Open Claremont Creek Ventures, Dolby Family Ventures, Labrador Ventures, Lauder Partners, Levensohn Venture Partners, Motorola Solutions Venture Capital, Norwest Venture Partners, ORIX Growth Capital, RNR Ventures, RT Groos, Shatas Partners, … Offer Range Price-Open Gap $/Share

27 RECENT IPOS – TINTRI(1)

IPO Details Business Description Offering Date: 6/29/17 Market Cap at IPO: $216.4M Tintri, Inc. develops and markets an enterprise cloud platform Offering Price: $7.00 Offering Size: $60.0M combining cloud management software technology and a range of all-flash storage systems for virtualized and cloud Original Range: $10.50 - $12.50 % of Company: 27.7% environments in the United States and internationally.

IPO Performance HQ: Mountain View, California Ticker: NasdaqGM:TNTR Open: $7.12 6/30 $/share: $7.27 % Change to Offer: 1.7% % Change to Offer: 3.9% Stock Performance thru End of Q2’17 Close: $7.27 % Change to Open: 2.1% $15.00 % Change to Offer: 3.9% $14.00 % Change to Open: 2.1% $13.00 Financial & Valuation Metrics $12.00 $11.00 LTM Revenue: $132.6M LTM Rev Growth: 45.5% LTM EBITDA: $(91.7M) Gross Margin: 63.7% $10.00 LTM Net Income: $(105.7M) EBITDA Margin: (69.2)% $9.00 Mkt Cap at 6/30: $224.7M EV at 6/30: $508.9M $8.00 Mkt Cap / $ Invested: 0.8x Rev Multiple: 3.8x $7.00 $6.00 Investors

$5.00 6/30/17

IPO

Open Four Rivers Group, Insight Venture Partners, Lightspeed Venture Partners, Menlo Ventures, New Enterprise Associates, Partner Ventures, Sharespost, Silver Lake Management

Offer Range Price-Open Gap $/Share

(1) The company has not been added to the SaaS 130 but will be added if their model transitions to SaaS

28 RECENT IPOS – VERITONE (1)

IPO Details Business Description Offering Date: 5/11/17 Market Cap at IPO: $208.2M Veritone, Inc., a cloud-based cognitive software company, Offering Price: $15.00 Offering Size: $37.5 develops a proprietary artificial intelligence platform for various markets in the United States and internationally. Original Range: $14.00 - $16.00 % of Company: 18.0%

IPO Performance HQ: Newport Beach, California Ticker: NasdaqGM:VERI Open: $15.64 6/30 $/share: $11.71 % Change to Offer: 4.3% % Change to Offer: (21.9)% Stock Performance thru End of Q2’17 Close: $13.07 % Change to Open: (25.1)% $19.00 % Change to Offer: (12.9)% $18.00 % Change to Open: (16.4)% $17.00

Financial & Valuation Metrics $16.00

LTM Revenue: $9.9M LTM Rev Growth: (23.8)% $15.00 LTM EBITDA: $(25.9M) Gross Margin: 85.4% $14.00 LTM Net Income: $(28.9M) EBITDA Margin: (260.7)% $13.00 Mkt Cap at 6/30: $174.8M EV at 6/30: $205.2M $12.00 Mkt Cap / $ Invested: 3.2x Rev Multiple: 20.6x $11.00 Investors

$10.00 5/12/17 5/16/17 5/18/17 5/22/17 5/24/17 5/26/17 5/31/17 6/12/17 6/14/17 6/16/17 6/20/17 6/22/17

6/2/17 6/6/17 6/8/17

IPO 125 Media Holdings, 730 Media Holdings, Acacia Research, Checketts Partners, Miramar Ventures, Newport Coast Investments, Radio Dial, Turnstone Capital

Offer Range Price-Open Gap $/Share

(1) The company has not been added to the SaaS 130 but will be added if their model transitions to SaaS

29 RECENT IPOS – YEXT

IPO Details Business Description Offering Date: 4/12/17 Market Cap at IPO: $940.4M Yext, Inc. provides a knowledge engine platform that lets Offering Price: $11.00 Offering Size: $115.5M businesses manage their digital knowledge in the cloud in North America and Europe. Original Range: $8.00 - $10.00 % of Company: 12.3%

IPO Performance HQ: New York, New York Ticker: NYSE:YEXT Open: $14.00 6/30 $/share: $13.33 % Change to Offer: 27.3% % Change to Offer: 21.2% Stock Performance thru End of Q2’17 Close: $13.41 % Change to Open: (4.8)% % Change to Offer: 21.9% $18.00 % Change to Open: (4.2)% $16.00 Financial & Valuation Metrics $14.00 LTM Revenue: $134.2M LTM Rev Growth: 38.5% LTM EBITDA: $(44.9M) Gross Margin: 71.8% $12.00 LTM Net Income: $(49.9M) EBITDA Margin: (33.5)% Mkt Cap at 6/30: $1.2B EV at 6/30: $1.1B $10.00 Mkt Cap / $ Invested: 8.3x Rev Multiple: 7.9x $8.00 Investors

$6.00 4/15/17 4/19/17 4/23/17 4/27/17 5/11/17 5/16/17 5/20/17 5/23/17 5/28/17 6/11/17 6/16/17 6/21/17 6/25/17

5/1/17 5/8/17 6/3/17 6/6/17

IPO CrunchFund, Grape Arbor VC, Insight Venture Partners, IVP, Marker, Sutter Hill Ventures, SV Angel, WGI Group

Offer Range Price-Open Gap $/Share

30 RECENT IPOS – ZHONGFU INFORMATION (1)

IPO Details Business Description Offering Date: 5/25/17 Market Cap at IPO: $152.7M Zhongfu Information Inc. provides information security software Offering Price: $1.87 Offering Size: $38.2M and hardware products. It offers computer and mobile storage media security management, secret flag generation and Original Range: N/A % of Company: 25.0% management, host monitoring and auditing, and various other security related solutions. IPO Performance HQ: Jinan, China Ticker: SZSE:300659 Open: $2.25 6/30 $/share: $5.17 % Change to Offer: 20.2% % Change to Offer: 176.1% Stock Performance thru End of Q2’17 Close: $2.70 % Change to Open: 129.6% $7.00 % Change to Offer: 44.3% % Change to Open: 20.0% $6.00

Financial & Valuation Metrics $5.00 LTM Revenue: $31.6M LTM Rev Growth: 4.0% LTM EBITDA: $6.3M Gross Margin: 74.1% $4.00 LTM Net Income: $7.2M EBITDA Margin: 20.0% $3.00 Mkt Cap at 6/30: $421.5M EV at 6/30: $415.2M

Mkt Cap / $ Invested: N/A Rev Multiple: 12.9x $2.00 Investors

5/26/17

6/13/17 6/15/17 6/19/17 6/21/17 6/23/17 $1.00 6/27/17 6/29/17

6/1/17 6/5/17 6/7/17 6/9/17

IPO N/A

Offer Range Price-Open Gap $/Share

(1) The company has not been added to the SaaS 130

31 MEDIAN STOCK PERFORMANCE – SAAS & CLOUD 130

 Q2’17 SaaS & Cloud 130 saw a median increase of 11.3% while the NASDAQ posted a gain of 3.9% » The Q2’17 SaaS & Cloud 130 continued to perform strongly as companies reported strong results » The CRM & Customer Service segment saw the largest increase with a 20.3% gain in Q2’17, led by LivePerson and Five9, which had Q2’17 gains of 60.6% and 30.7%, respectively  The SaaS & Cloud 130 gained 25.8% in the LTM period, underperforming against the NASDAQ’s increase of 26.8%

Stock Performance Stock Performance - 3/31-6/30

140% CRM & Customer Service 27.3% 123.8% Analytics / Business Intelligence 120% 21.1% 109.2% Human Resources 16.5% 100% Finance & Administration 14.3% SaaS & Cloud 130 11.3% 80% Marketing & Advertising 9.7% Communication & Collaboration 9.1% 60% ERP, Supply Chain & Commerce 9.0% 39.3% Vertical Market 8.5% 40% 24.8% 25.8% 26.8% Cloud & IT Infrastructure 7.7% Content Creation & Management 6.4% 20% 11.3% 3.9% Software Conglomerates 5.6% 0% Cloud Computing / Storage 5.0% Last 5 Years Last 3 Years LTM 3/31-6/30 (25)% (5)% 15% 35% SaaS & Cloud 130 NASDAQ

32 MEDIAN LTM REVENUE MULTIPLES – SAAS & CLOUD 130

 Median LTM revenue multiple jumped to 5.7x in Q2’17 from 5.1x in Q1’17, representing a five-year high » Only 2 segments in the SaaS & Cloud 130 traded below a median revenue multiple of 5.0x » The Finance & Administration had the highest median LTM revenue multiple of 7.7x, representing a five-year high for the segment

LTM Enterprise Value / Revenue LTM Enterprise Value / Revenue

6.0x 5.7x Finance & Administration 7.7 x 5.2x 5.1x CRM & Customer Service 6.4 x 5.0x 5.0x 4.7x Content Creation & Management 6.3 x Marketing & Advertising 6.3 x 4.0x 3.8x Human Resources 6.2 x ERP, Supply Chain & Commerce 6.2 x 3.0x Vertical Market 6.2 x SaaS & Cloud 130 5.7 x

2.0x Cloud & IT Infrastructure 5.5 x Cloud Computing / Storage 5.3 x

1.0x Software Conglomerates 5.3 x Communication & Collaboration 4.8 x Analytics / Business Intelligence 4.2 x 0.0x 2012 2013 2014 2015 2016 6/30/17 0x 2x 4x 6x 8x 10x Based on dat a available as of 6/30/17 Based on dat a available as of 6/30/17

33 MEDIAN LTM EBITDA MULTIPLES – SAAS & CLOUD 130

 Median LTM EBITDA multiple came in at 21.8x, reaching a five-year high  The top 3 segments have posted near 25.0x+ EBITDA multiples for the past several quarters » Only two companies in the ERP, Supply Chain & Commerce segment meet the required parameters so the segment multiple is not very meaningful » Only two segments trade below 15.0x

LTM Enterprise Value / EBITDA LTM Enterprise Value / EBITDA

25x ERP, Supply Chain & Commerce 39.4 x 21.8x CRM & Customer Service 33.6 x 19.3x Human Resources 32.8 x 20x 19.0x 18.7x Content Creation & Management 25.4 x 15.8x Analytics / Business Intelligence 23.0 x 15x 13.3x Vertical Market 21.9 x SaaS & Cloud 130 21.8 x Marketing & Advertising 10x 20.7 x Cloud & IT Infrastructure 18.4 x Finance & Administration 17.3 x 5x Communication & Collaboration 16.0 x Cloud Computing / Storage 12.5 x Software Conglomerates 12.5 x 0x 2012 2013 2014 2015 2016 6/30/17 0x 10x 20x 30x 40x 50x Based on dat a available as of 6/30/17 Based on dat a available as of 6/30/17 Com panies wit h EBITDA Mar gin <7.5% and EBITDA m ultiple above 20x deem ed NA Com panies wit h EBIT DA Mar gin <7.5% and EBIT DA m ultiple above 20x deem ed NA

34 MEDIAN LTM P/E MULTIPLES – SAAS & CLOUD 130

 Strong stock performances in Q2’17 increased the median LTM P/E multiple to 40.1x compared to 35.8x in Q1’17, representing a five-year high  Public markets demonstrate a strong preference for companies growing quickly and investing to solidify market leadership, confident that future profits will come with scale » Only two companies in the CRM & Customer Service and ERP, Supply Chain & Commerce segments meet the required parameters so the segment multiple is not very meaningful

LTM P/E LTM P/E

45x CRM & Customer Service 83.3 x 40.1x 40x ERP, Supply Chain & Commerce 76.5 x Human Resources 50.9 x 35x 32.1x 30.7x Content Creation & Management 41.9 x 29.0x 30x 27.2x Cloud & IT Infrastructure 41.1 x SaaS & Cloud 130 40.1 x 25x 21.2x Analytics / Business Intelligence 39.2 x 20x Vertical Market 38.7 x

15x Marketing & Advertising 34.6 x Communication & Collaboration 32.7 x 10x Finance & Administration 30.9 x 5x Software Conglomerates 20.6 x Cloud Computing / Storage 18.3 x 0x 2012 2013 2014 2015 2016 6/30/17 0x 20x 40x 60x 80x 100x Based on dat a available as of 6/30/17 Based on dat a available as of 6/30/17 Com panies wit h Net Mar gin <5.0% and P/E above 40x deem ed NA Com panies wit h Net Mar gin <5.0% and P/E above 40x deem ed NA

35 MEDIAN REVENUE GROWTH – SAAS & CLOUD 130

 Median revenue growth rate decreased to 21.7% after several years of growth » Revenue growth is expected to slow slightly to a median of 20.7% over the next twelve months » Software Conglomerates is a more mature segment which tends to have lower revenue growth due to a higher degree of competition and market saturation » Cloud & IT Infrastructure project strong revenue growth with LogMeIn and Nutanix projecting 144.8% and 41.8% growth, respectively

Revenue Growth vs Prior 12 Mos NTM / LTM Revenue Growth Projection

25% Cloud & IT Infrastructure 23.5% 22.3% 21.8% 21.7% 20.9% 20.9% 20.7% Communication & Collaboration 23.2% 20% 18.9% Human Resources 23.0% Marketing & Advertising 21.3% Analytics / Business Intelligence 20.9% 15% Content Creation & Management 20.9% SaaS & Cloud 130 20.7%

10% ERP, Supply Chain & Commerce 20.4% Vertical Market 19.2% Finance & Administration 19.2% 5% CRM & Customer Service 17.7% Cloud Computing / Storage 16.4%

0% Software Conglomerates 9.4% 2012 2013 2014 2015 2016 LTM NTM 0% 10% 20% 30% 6/30/17 6/30/17 Based on dat a available as of 6/30/17 Based on dat a available as of 6/30/17

36 MEDIAN EBITDA GROWTH – SAAS & CLOUD 130

 Median EBITDA growth rate decreased to 20.1% in LTM 6/30/17, however additional growth expected for NTM as many companies reap the benefits of increased scale driving higher profits » The ERP, Supply Chain & Commerce and Marketing & Advertising segments project the largest growth with half of the companies projecting over 30% EBITDA growth, however only two companies in the ERP, Supply Chain & Commerce segment have hit meaningful profitability » Lower EBITDA growth in prior years was largely driven by companies aggressively pouring money back in to sales and marketing, forgoing near term profits to drive increased growth

EBITDA Growth vs Prior 12 Mos NTM / LTM EBITDA Growth Projection

30% ERP, Supply Chain & Commerce 36.8% 25.8% Marketing & Advertising 31.7% 25% 22.4% Human Resources 30.2% 20.1% Vertical Market 28.9% 20% Cloud & IT Infrastructure 28.0% Finance & Administration 27.7% 15% 13.7% SaaS & Cloud 130 25.8% Content Creation & Management 22.8% 9.9% 10% 8.7% CRM & Customer Service 22.5% Communication & Collaboration 22.4%

5% 3.9% Analytics / Business Intelligence 20.9% Cloud Computing / Storage 9.4% Software Conglomerates 0% 8.7% 2012 2013 2014 2015 2016 LTM NTM 0% 20% 40% 6/30/17 6/30/17 Based on dat a available as of 6/30/17 Based on dat a available as of 6/30/17 Com panies wit h EBITDA Mar gin bet ween -5.0% and 5.0% deem ed NA Com panies wit h EBITDA Mar gin bet ween -5.0% and 5.0% deem ed NA

37 MEDIAN EPS GROWTH – SAAS & CLOUD 130

 Median EPS growth rate increased to 27.7%, representing a five-year high as companies continue to post strong earnings » This growth trend is expected to decrease to 20.5% in the next twelve months  Established leaders with scale are able to drive increased profitability as cost factors normalize after periods of heavy investments to drive top line growth

EPS Growth vs Prior 12 Mos NTM / LTM EPS Growth Projection

30% 27.7% Finance & Administration 46.2% Analytics / Business Intelligence 44.4% 25% Cloud & IT Infrastructure 25.8% 20.7% 20.5% Marketing & Advertising 23.1% 20% CRM & Customer Service 21.2% 16.5% 16.3% SaaS & Cloud 130 20.5% 15% 12.9% Human Resources 20.4% Vertical Market 17.9% 10% 7.8% Content Creation & Management 14.3% ERP, Supply Chain & Commerce 13.7% 5% Communication & Collaboration 10.9% Software Conglomerates 6.5% 0% Cloud Computing / Storage 2.5% 2012 2013 2014 2015 2016 LTM NTM 6/30/17 6/30/17 0% 10% 20% 30% 40% 50% Based on dat a available as of 6/30/17 Based on dat a available as of 6/30/17 Com panies wit h Net Mar gin bet ween -5.0% and 5.0% deem ed NA Com panies wit h Net Mar gin bet ween -5.0% and 5.0% deem ed NA

38 MEDIAN GROSS MARGIN TRENDS – SAAS & CLOUD 130

 Median gross margins have remained relatively constant for the past five years, increasing slightly in LTM 6/30/17 to 68.5%, representing a five-year high » ERP, Supply Chain & Commerce, commanded the highest gross margin at 76.1% as most of their expenses are operational  More mature segments such as Cloud Computing / Storage and Software Conglomerates tend to have lower gross margins due to a higher degree of price competition and diverse revenue streams, such as IBM and Oracle which lower margins for their hardware and services businesses

Gross Margins Gross Margins by Segment

80% ERP, Supply Chain & Commerce 76.1% 68.5% 68.5% 70% 67.3% 67.2% 67.7% 67.8% Cloud & IT Infrastructure 74.0% Communication & Collaboration 73.7% 60% Marketing & Advertising 72.4% Finance & Administration 50% 71.6% Analytics / Business Intelligence 70.1% 40% Content Creation & Management 69.7% SaaS & Cloud 130 68.5% 30% CRM & Customer Service 68.4% 20% Human Resources 68.3% Vertical Market 62.0% 10% Software Conglomerates 59.9%

0% Cloud Computing / Storage 59.2% 2012 2013 2014 2015 2016 LTM 0% 25% 50% 75% 100% 6/30/17 Based on dat a available as of 6/30/17 Based on dat a available as of 6/30/17

39 MEDIAN EBITDA MARGIN TRENDS – SAAS & CLOUD 130

 Median EBITDA margin increased to 14.4% in Q2’17, reversing a five-year decline  The majority of companies in ERP, Supply Chain & Commerce continue to invest heavily in sales and marketing, delaying profitability in favor of scale and market share  The Software Conglomerates and other more mature segments already have operating leverage, resulting in higher margins

EBITDA Margins EBITDA Margins by Segment

25% Software Conglomerates 39.2% Cloud Computing / Storage 35.5% 20% 19.2% Vertical Market 23.1% Marketing & Advertising 18.9% 16.2% Content Creation & Management 18.6% 14.4% 15% 13.4% 12.8% SaaS & Cloud 130 14.4% 11.7% Communication & Collaboration 12.3%

10% Human Resources 11.9% Analytics / Business Intelligence 8.8% CRM & Customer Service 8.1% 5% Finance & Administration 8.0% Cloud & IT Infrastructure 6.3%

0% ERP, Supply Chain & Commerce 0.2% 2012 2013 2014 2015 2016 LTM 0% 10% 20% 30% 40% 50% 6/30/17 Based on dat a available as of 6/30/17 Based on dat a available as of 6/30/17

40 BEST & WORST PERFORMERS – SAAS & CLOUD 130

High/Low LTM EV/Rev Multiples High/Low Revenue Growth

25x 23.5 200% 144.8 20x 18.2 150% 14.4 13.8 13.7 100% 67.6 15x 55.9 54.0 47.7 50% 20.7 10x 5.7 0% 5x (1.4) (4.0) (5.1) 1.8 1.5 1.5 1.2 1.1 (50)% (16.6) (48.9) 0x (100)%

Based on dat a available as of 6/30/17 Based on dat a available as of 6/30/17

High/Low LTM EV/EBITDA Multiples High/Low EBITDA Growth

253.1 93.6 91.6 280% 100.0x 230% 173.7 75.7 74.1 73.6 171.4 180% 128.1 130% 104.4 50.0x 80% 25.8 30% 21.8 (20)% 8.8 8.4 7.1 6.7 5.1 (70)% (33.2) (43.6) 0.0x (52.7) (56.8) (120)% (101.5)

Based on dat a available as of 6/30/17 Based on dat a available as of 6/30/17 Companies w it h EBITDA Margin <7.5% and EBI TDA mult iple above 20x deemed NA Com panies wit h EBITDA Mar gin bet ween -5.0% and 5.0% deem ed NA

41 BEST & WORST PERFORMERS – SAAS & CLOUD 130 (CONTINUED)

High/Low LTM P/E Multiples High/Low EPS Growth 200x 450% 157.9 332.2 138.8 133.2 350% 279.5 150x 123.3 100.5 250% 126.2 100x 150% 110.1 102.6 27.7 40.1 50% 50x 13.7 13.0 11.9 11.3 10.6 (50)% (28.3) (28.8) (36.7) (58.9) (67.1) 0x (150)%

Based on dat a available as of 6/30/17 Based on dat a available as of 6/30/17 Com panies wit h Net Mar gin <5.0% and P/E above 40x deem ed NA Com panies wit h Net Mar gin bet ween -5.0% and 5.0% deem ed NA

Stock Performance - 3/31-6/30 High/Low EBITDA Margin

100% 100% 69.3 45.5 44.0 42.9 42.5 41.0 70% 60.6 47.9 45.1 44.0 14.4 40% 0% 11.3 10% (47.4) (51.3) (51.6) (20)% (100)% (14.7) (16.6) (19.9) (50)% (30.3) (35.6) (142.1)(146.7) (80)% (200)%

42 NOTABLE TRANSACTION PROFILES M&A TRANSACTION SPOTLIGHT

Acquiror Target Deal Rationale/Commentary

Headquartered in Bridgewater, New Jersey, Synchronoss Technologies, Inc. is a global leader in managed mobility solutions for service providers and enterprise. By simplifying the processes Deal Summary associated with managing the customer experience for activating Date: 6/23/17 and synchronizing connected devices and services, the company’s Transaction Value: $1.1 billion solutions help their customers acquire, retain, and service subscribers more reliability and cost-effectively. The company Enterprise Value: $986 million boasts numerous Fortune 500 customers such as, Amazon, % Sought: 87.1% Microsoft, AT&T, Target, and many more. Consideration: Cash With more than $2.4 billion in cumulative capital commitments, Siris Capital was founded in 2011 and primarily invests in the technology vertical. Synchronoss has seen a 68% YTD plunge in Valuation Metrics their stock price as of Q2 2017. As such, the largest shareholder, Siris Capital who owns 12.9% of Synchronoss, has decided to take LTM Revenue Multiple: 2.1 x the company private by acquiring the remaining outstanding LTM EBITDA Multiple: 18.2 x shares. In a letter dated June 22, 2017, “Based on meetings with LTM P/E Multiple: NM management and certain confidential information received under NDA, we believe we could be in a position to deliver compelling Premium versus: and certain value to Synchronoss shareholders through an all-cash 1 day prior: 47.8% acquisition at $18.00 per share, which would represent an 1 week prior: 66.5% attractive 69% premium to the Company’s closing stock price of 1 month prior: 37.8% $10.65 on June 21, 2017.”

Synchronoss’ stock surged up 36% in premarket trading after the Note: LTM and Premiums as of quarter prior to transaction announcement of the acquisition, reaching its best intraday level announcement date. since May 2017.

44 M&A TRANSACTION SPOTLIGHT

Acquiror Target Deal Rationale/Commentary

With revenues of $213 million as of December 2016, Telvent DTN (dba DTN The Progressive Farmer) is a leading digital provider of information services, supply chain connectivity solutions, and Deal Summary decision-support tools primarily for the agriculture industry. Date: 4/3/2017 TBG Treuahnd (TBG), a Swiss holding company headquartered in Transaction Value: $900 million Zurich, Switzerland, focuses on critical business information Enterprise Value: $900 million services and high added value industrial niches. Additionally, TBG % Sought: 100% also provides management consulting, accounting, and tax advice. Consideration: Cash Schneider Electric, seller of Telvent DTN, put the business up for sale after a strategic review found that it was not essential to the company. With the acquisition of Telvent DTN, TBG plans to revitalize the DTN brand and develop and grow the business Valuation Metrics further in both domestic and international markets. Jerre Stead, LTM Revenue Multiple: 4.2 x Executive Chairman of DTN commented, “The acquisition of DTN LTM EBITDA Multiple: NA is very important for TBG as we have a deep understanding of the SaaS (software as a service) business with decades of experience Multiple on $ Invested: NA supporting such solutions. We are fully committed to the DTN business over the long term and our plan is to facilitate DTN’s strategic and commercial expansion around the globe.”

Investors With the support of TBG, DTN will be able to deliver new world- Schneider Electric class solutions to customers and accelerate their domestic and international growth.

45 M&A TRANSACTION SPOTLIGHT

Acquiror Target Deal Rationale/Commentary

Founded in 2007, Moat is a developer of a cloud-based actionable marketing analytics platform designed to measure and drive customer attention. Their platform allows for real-time measuring Deal Summary of attention analytics and digital video advertisement impressions, Date: 4/18/17 enabling its customers to measure advertising effectiveness. (1) Transaction Value: $850 million Headquartered in Redwood City, California, Oracle is a cloud Enterprise Value: $850 million (1) computing company that provides solutions that enable the cloud % Sought: 100% and physical data centers to optimize cloud monitoring and Consideration: Cash/Earn-out storage. Additionally, the company offers enterprise database and management software and related services. The acquisition of Moat will complement Oracle’s previous acquisitions in the AdTech space, DataLogix and BlueKai. Additionally, Oracle will be Valuation Metrics able to enhance their Oracle Data Cloud solution, providing their LTM Revenue Multiple: 18.9 x customers with industry-leading attention analytics and add LTM EBITDA Multiple: NA greater visibility and transparency to their digital advertising efforts. Eric Roza, SVP and GM of Oracle Data Cloud commented, Multiple on $ Invested: 12.5 x “With the Moat acquisition, Oracle Data Cloud now offers brands and publishers a full suite of targeting and measurement solutions to improve the outcome of virtually every type of digital advertising campaign.” Investors Mayfield Fund, Lerer Hippeau Ventures, First Round The transaction is estimated to be $600 million in cash, plus an Capital, MHS Capital, Insight Venture Partners earn-out of up to $250 million based on the achievement of unspecified milestones. The Moat team will be joining Oracle with Moat continuing to operate as an independent platform within Oracle’s Data Cloud business unit. (1) Deal value is inclusive of a $250M earn-out

46 M&A TRANSACTION SPOTLIGHT

Acquiror Target Deal Rationale/Commentary

Headquartered in San Jose, California, Viptela’s technology focuses on developing simplified, virtualized networks that are centrally managed with SD-WAN technology. Their technology Deal Summary then allows companies to build carrier agnostic, policy-controlled, Date: 5/1/17 and cost-effective WANs. Transaction Value: $610 million With more than 80,000 employees and having generated over $48 Enterprise Value: $610 million billion in revenue as of LTM April 2017, Cisco offers various % Sought: 100% products and services including networking software, routers, Consideration: Cash and equity video, wireless, security, voice and unified communications, collaboration, data center, virtualization, and unified computing systems. Cisco is looking to move away from their hardware- focused business model and increase their subscription-based Valuation Metrics recurring revenue model. As such, their acquisition of Viptela helps LTM Revenue Multiple: 24.4 x support Cisco’s strategic transition towards a software-based LTM EBITDA Multiple: NA recurring revenue model. Viptela’s solution also compliments Cisco’s IWAN product, enabling IWAN to be deployed in the cloud Multiple on $ Invested: 5.6 x versus on-premises-only. Scott Harrell, Senior Vice President of Product Management for Cisco’s Enterprise Networking Group commented, “With Viptela and Cisco, we will be able to deliver a comprehensive portfolio of comprehensive on-premises, hybrid, Investors and cloud-based SD-WAN solutions.” Sequoia Capital, Redline Capital Management, Northgate Capital Group Cisco will acquire Viptela for $610 million cash with assumed equity awards. The Viptela team will be integrated into Cisco’s Enterprising Routing team within their Networking and Security Business.

47 M&A TRANSACTION SPOTLIGHT

Acquiror Target Deal Rationale/Commentary

Headquartered in Indianapolis, Indiana, Angie’s List operates a local services consumer review service and e-commerce marketplace. Their website allows consumers to research, shop for, Deal Summary and review local services for home, health, and automotive Date: 5/1/17 services. Transaction Value: $615 million Founded in 1998, HomeAdvisor, a subsidiary of InterActiveCorp, Enterprise Value: $574 million operates one of the largest home services marketplaces in the % Sought: 100% world. The company provides internet tools and resources for a Consideration: Election consideration – Cash/equity variety of home improvement, maintenance, and repair projects. option Angie’s List User growth has stalled and the company has missed revenue estimates for eight straight quarters, resulting in the company putting itself up for sale. With the acquisition of Angie’s Valuation Metrics List, HomeAdvisor will be able to accelerate growth on both the supply and demand side of the home services marketplace, while LTM Revenue Multiple: 1.8 x also improving response times in more geographic areas for LTM EBITDA Multiple: 51.6 x customers. Chris Terrill, CEO of HomeAdvisor commented, “By LTM P/E Multiple: NM combining HomeAdvisor and Angie’s List’s complementary strengths, the combined company will be able to leverage its joint Premium versus: models and resources to not only accelerate market penetration, 1 day prior: 44.6% but also continued online conversion of that marketplace.” 1 week prior: 40.3% 1 month prior: 49.1% Under the terms of the agreement, HomeAdvisor and Angie’s List will be combined into a new publicly-traded company, to be called ANGI Homeservices Inc. HomeAdvisor CEO Chris Terrill will assume Note: LTM and Premiums as of quarter prior to transaction the role of CEO of the new combined company. announcement date.

48 M&A TRANSACTION SPOTLIGHT

Acquiror Target Deal Rationale/Commentary

Founded in 2005, Xactly is a provider of enterprise-class, cloud- based incentive and sales performance management software. Their platform allows decision-makers to get data insights they Deal Summary need to make strategic decisions, improve margins, mitigate risk, Date: 5/30/17 etc. by using data to monitor employee performance. The Transaction Value: $577 million company boasts a number of high-profile customers such as, Docusign, Marketo, SanDisk, and many more. Enterprise Value: $533 million % Sought: 100% Headquartered in Austin, Texas, Vista Equity Partners (Vista) is a Consideration: Cash leading private equity firm with approximately $30 billion AUM. The firm primarily invests in the software and technology industry with investments in companies such as Bullhorn, Forcepoint, and Infoblox. Xactly’s take-private deal comes after two years of mixed Valuation Metrics results as a public company, with the company underperforming the market in its first year, but achieving a mid-20% revenue LTM Revenue Multiple: 5.5 x growth in its second year. The acquisition of Xactly will be made LTM EBITDA Multiple: NM from the Vista Equity Partners Fund VI. Brian Sheth, Co-Founder LTM P/E Multiple: NM and President of Vista commented, “Xactly’s market leadership in cloud incentive compensation solutions makes it an ideal addition Premium versus: to the Vista family of companies. We are looking forward to 1 day prior: 16.8% bringing Vista's resources and expertise to help drive Xactly’s next 1 week prior: 19.5% phase of innovation and growth.” 1 month prior: 34.9% Under the terms of the agreement, Vista will acquire all outstanding shares of Xactly common stock for $15.65 per share, Note: LTM and Premiums as of quarter prior to transaction representing approximately a 17% to the closing price on May 26, announcement date. 2017.

49 M&A TRANSACTION SPOTLIGHT

Acquiror Target Deal Rationale/Commentary

Headquartered in Waterloo, Canada, Sandvine is a leading provider in network policy control solutions for fixed, mobile, and converged communications service providers. Their software helps Deal Summary operators better understand network traffic, manage network Date: 6/27/17 congestion, create new services and revenue, and mitigate traffic Transaction Value: $426 million that is malicious. Enterprise Value: $426 million Founded in 2001, Procera Networks provides subscriber % Sought: 100% experience assurance solutions based on deep packet inspection Consideration: Cash technology to network operators. Procera Networks boasts customers such as Softbank, Cox Communications, and Tata Communications. Procera, backed by Francisco Partners, won a bidding war against Vector Capital, resulting in Sandvine paying a Valuation Metrics termination fee of $13 million to Vector Capital. With the acquisition of Sandvine, Procera Networks will be able to LTM Revenue Multiple: 3.7 x accelerate their strategy in becoming the preeminent provider in LTM EBITDA Multiple: NM the network intelligence market. Lyndon Cantor, CEO of Procera LTM P/E Multiple: NM Networks commented, “Along with the rest of the Procera team, we look forward to bringing the best of both companies together Premium versus: to accelerate our strategy as the preeminent provider in the 1 day prior: 15.8% emerging Network Intelligence market. The combined 1 week prior: 13.1% organization will deliver greater capability to serve our customers, 1 month prior: 44.4% execute on innovation initiatives and expand our addressable market.”

Note: LTM and Premiums as of quarter prior to transaction The combined company will be led by Procera’s CEO and CFO, announcement date. Lyndon Cantor and Richard Deggs, respectively.

50 M&A TRANSACTION SPOTLIGHT

Acquiror Target Deal Rationale/Commentary

Founded in 1999, GENBAND provides real time communication software solutions designed to transform the speed and quality of every day communication. The company’s technology is Deal Summary deployable in the network, on premise or through the cloud and Date: 5/23/17 empower its customers to enrich their service offerings with real Transaction Value: $412 million time contextual communications. Enterprise Value: $412 million Headquartered in Westford, Massachusetts, Sonos Networks % Sought: 100% (Sonos) is a provider of session initiation protocol based Consideration: Combination of Debt & Equity communications and session border controller services intended to secure and prioritize real-time communications. With the merger of equals with GENBAND, Sonos and GENBAND will be able to cut costs in its legacy businesses freeing up resources for Valuation Metrics R&D, especially for GENBAND’s Kandy, a communications LTM Revenue Multiple: 1.0 x software development platform that enables telecommunication LTM EBITDA Multiple: 17.5 x companies to compete with Twilio. Raymond Dolan, President and CEO of Sonos commented, “This is a strategically and financially Multiple on $ Invested: 0.5 x compelling transaction for Sonus and we are confident that together with GENBAND we will achieve our growth initiatives faster and more fully than either company could do on its own.”

Investors As this deal is a merger of equals, Sonus and GENBAND Intel Capital, JPMC Heritage Parent, JP Morgan & Chase, shareholders will each own approximately 50% of the combined Oak Investment Partners, Saints Capital, Star Ventures company. Consideration is composed of $389.5 million in stock Management, Thomas Weisel Capital Management, Trellis through the issuance of 50 million shares of Sonos’ common stock Partners, Venrock and $22.5 million in an unsecured note.

51 M&A TRANSACTION SPOTLIGHT

Acquiror Target Deal Rationale/Commentary

Headquartered in Palo Alto, California, Jive provides communication and collaboration solutions that allow companies to connect, communicate, and collaborate with employees, Deal Summary customers, and partners. Jive’s platform has two configurations, Date: 5/1/17 Jive Internal for employee networks; and Jive External for customer Transaction Value: $462 million and partner communities. Enterprise Value: $344 million Wave Systems, a portfolio company of ESW Capital and part of the % Sought: 100% Aurea Software family of companies, develops, produces, and Consideration: Cash markets products for hardware-based digital security. Its products include Wave Embassy digital security products and Safend’s endpoint data loss protection products and services.

After three years of declining stock price and single digit revenue Valuation Metrics growth, Jive’s board has agreed to sell to Wave Systems a. The LTM Revenue Multiple: 1.7 x acquisition of Jive will give Wave Systems/Aurea Software a tool LTM EBITDA Multiple: 69.1 x for creating internal and customer-facing communities along with access to Jive’s customer base, which includes McAfee and T- LTM P/E Multiple: NM Mobile. Scott Brighton, CEO of Aurea Software, commented, Premium versus: “Together, Aurea and Jive will transform the customer experience 1 day prior: 4.0% through far deeper engagement with employees, partners and 1 week prior: 5.0% customers. I'm excited to welcome Jive customers and employees 1 month prior: 22.1% to the Aurea family, and look forward to taking this significant step forward together.“

Under the terms of the agreement, Wave Systems will purchase all Note: LTM and Premiums as of quarter prior to transaction announcement date. outstanding shares of Jive common stock at $5.25 per share.

52 M&A TRANSACTION SPOTLIGHT

Acquiror Target Deal Rationale/Commentary

Founded in 2000, provides IT and telecom expense management software and services. The company’s solutions help companies manage IT assets, services, expenses, and increase efficiency. Deal Summary Tangoe’s client roster also includes nearly 50% of the Fortune 500 Date: 4/28/17 companies. Transaction Value: $305 million Marlin Equity Partners is a leading private equity firm founded in Enterprise Value: $305 million 2005 with approximately $6.7 billion in AUM. The firm primarily % Sought: 100% invests in the software and technology, services, healthcare, Consideration: Cash consumer, and industrial verticals. With the acquisition of Tangoe, Marlin Equity will combine the company with Asentinel, an existing portfolio company. Peter Chung, Principal at Marlin Equity commented, “Tangoe is ideally positioned to capitalize on the Valuation Metrics tremendous opportunity we see in the TLM market, and we are thrilled to partner with the new leadership team to build upon the LTM Revenue Multiple: 0.8 x company’s longstanding relationships with its established LTM EBITDA Multiple: 18.4 x customers. We are committed to supporting Tangoe with the LTM P/E Multiple: NM strategic and financial resources that will help accelerate overall growth, technological innovation and the delivery of a best-in- Premium versus: class product offering to its clients.” 1 day prior: 19.5% 1 week prior: 23.6% The combined company will operate under the Tangoe brand and 1 month prior: 19.5% be headquartered in Parsippany, New Jersey. Robert Irwin, formerly CEO of EMS Software, TDCI, and Sterling Commerce, will serve as CEO of the newly combined company. Note: LTM and Premiums as of quarter prior to transaction announcement date.

53 PUBLIC COMPANY TRADING & OPERATING METRICS TRADING & OPERATING METRICS

($ in millions, except per share data) $ / Share M arket Enterprise % C hange Ent. Value/Rev. Ent. Value/EBITDA P rice/ EP S NTM / LTM Growth LT M M argin C o mpany N ame 6/30/17 Cap Value Cash Debt LTM LQ LTM NTM LTM NTM LTM NTM Revenue EBITDA EPS Gross EBITDA Net

SaaS & Cloud 130 M ean 23,086 22,957 3,396 3,268 34.7% 11.5% 6.3 x 5.0 x 27.3 x 22.2 x 44.6 x 39.5 x 21.3% 31.9% 28.1% 66.7% 8.8% 0.2% SaaS & Cloud 130 M edian 1,886 1,890 129 25 25.8% 11.3% 5.7 x 4.9 x 21.8 x 17.0 x 40.1 x 29.0 x 20.7% 25.8% 20.5% 68.5% 14.4% 6.9%

Analytics / Business Intelligence Adobe 141.44 69,787 66,744 4,932 1,888 47.7 % 8.7 % 10.2 x 8.5 x 24.9 x 20.3 x 39.2 x 31.5 x 20.9% 22.8% 24.5% 86.3 % 41.0 % 27.8 % Alphabet 929.68 635,840 547,338 92,439 3,937 32.1 % 9.7 % 5.8 x 4.9 x 14.2 x 12.0 x 25.2 x 26.4 x 17.9% 18.9% (4.3)% 60.7 % 40.6 % 27.2 % Alteryx 19.52 1,139 974 164 0 NA 24.9 % 10.2 x 7.4 x NA NA NA NA 38.0% (5.6)% 44.7% 82.3 % (19.9)% (26.1)% Apptio 17.35 689 578 111 0 NA 47.9 % 3.4 x 3.1 x NA NA NA NA 11.5% 56.3% 73.1% 66.0 % (8.1)% (20.6)% Bazaarvoice 4.95 417 3589132 23.4 % 15.1 % 1.8 x 1.7 x 21.4 x 16.3 x NA NA 1.7% 31.8% NA 62.0 % 8.3 % 0.8 % Cloudera 16.02 2,101 1,879 222 0 NA NA 6.6 x 5.1 x NA NA NA NA 29.4% 13.2% 77.4% 55.6 % (51.3)% (56.6)% comScore 26.25 1,504 1,390 14733 9.9 % 21.6 % 3.8 x 2.7 x 12.7 x 11.1 x 13.7 x 18.1 x 40.9% 14.2% (24.5)% 68.5 % 29.7 % 19.7 % Gridsum 8.56 255 2423724 NA (35.6)% 3.8 x 2.3 x NA 29.6 x NA NA 67.6% 253.1% 105.9% 87.5 % (8.4)% (25.3)% Hottolink 5.42 6675 7 16 11.6 % 21.1 % 3.8 x NA 24.6 x NA NA NA NA NA NA 48.5 % 15.3 % (31.1)% iSentia 1.65 330 3691050 (36.2)% 44.0 % 3.1 x 2.8 x 13.8 x 10.0 x 48.5 x 14.9 x 8.3% 38.0% 225.1% 35.6 % 22.2 % 5.7 % New Relic 43.01 2,301 2,095 206 0 46.4 % 16.0 % 8.0 x 6.1 x NA NA NA NA 30.8% NA 44.4% 81.0 % (2.7)% (9.6)% Splunk 56.89 7,872 6,869 1,087 84 5.0 % (8.7)% 6.8 x 5.4 x 74.1 x 46.4 x 138.8 x 101.9 x 25.3% 59.6% 36.2% 79.2 % 9.2 % 5.5 % Tableu 61.27 4,778 3,824 955 0 25.2 % 23.7 % 4.5 x 4.3 x 41.5 x NA NA NA 4.0% (43.6)% NA 87.9 % 10.8 % 3.5 % Workiva 19.05 788 7446521 39.5 % 21.7 % 4.0 x 3.5 x NA NA NA NA 13.7% (33.2)% (28.2)% 71.6 % (10.1)% (12.3)% Mean51,991 45,248 7,177 435 20.5% 16.2% 5.4 x 4.4 x 28.4 x 20.8 x 53.1 x 38.6 x 23.9% 35.5% 52.2% 69.5% 5.5% (6.5)% Median 1,321 1,182 156 22 24.3% 21.1% 4.2 x 4.3 x 23.0 x 16.3 x 39.2 x 26.4 x 20.9% 20.9% 44.4% 70.1% 8.8% (4.4)%

55 TRADING & OPERATING METRICS

($ in millions, except per share data) $ / Share M arket Enterprise % C hange Ent. Value/Rev. Ent. Value/EBITDA P rice/ EP S N T M / LT M Gro wth LT M M argin C o mpany N ame 6/30/17 Cap Value Cash Debt LTM LQ LTM NTM LTM NTM LTM NTM Revenue EBITDA EPS Gross EBITDA Net

Cloud & IT Infrastructure Akamai 49.81 8,611 8,411 845 646 (10.9)% (16.6)% 3.5 x 3.3 x 8.8 x 8.9 x 18.2 x 19.5 x 6.6% (1.1)% (6.5)% 65.6 % 40.2 % 20.1 % Alarm.com 37.63 1,743 1,754 6374 46.8 % 22.4 % 6.3 x 5.1 x 33.8 x 25.4 x 49.5 x 51.9 x 23.5% 33.2% (4.5)% 62.0 % 18.8 % 13.3 % Appian 18.15 1,082 1,067 3520 NA NA 7.9 x 6.6 x NA NA NA NA 19.8% (101.5)% (27.2)% 64.5 % (12.1)% (11.5)% Brightcove 6.20 212 18329 1 (29.5)% (30.3)% 1.2 x 1.2 x NA NA NA NA 1.3% NA NA 62.4 % 1.4 % (2.0)% Citrix 79.58 12,028 12,072 1,414 1,458 (0.6)% (4.6)% 3.5 x 4.2 x 10.4 x 11.3 x 15.6 x 16.7 x (16.6)% (8.1)% (6.7)% 85.3 % 33.9 % 23.5 % FireEye 15.21 2,713 2,589 875 751 (7.7)% 20.6 % 3.6 x 3.5 x NA 39.6 x NA NA 3.5% NA 57.5% 63.2 % 3.5 % (14.6)% Hortonw orks 12.88 824 74183 0 20.5 % 31.3 % 3.7 x 2.9 x NA NA NA NA 26.3% 94.1% 30.4% 63.0 % (34.7)% (71.9)% LogMeIn 104.50 5,499 5,233 29630 64.7 % 7.2 % 11.8 x 4.8 x 37.7 x 13.8 x 41.5 x 25.7 x 144.8% 173.7% 61.4% 83.5 % 31.3 % 17.0 % Metaps 28.13 364 3337039 177.5 % 1.2 % 3.1 x 2.8 x NA NA NA NA 10.1% (56.8)% NA 22.7 % 6.1 % (1.1)% Mimecast 26.78 1,509 1,400 112 2 167.5 % 19.6 % 7.5 x 5.7 x NA 70.4 x NA NA 30.7% 68.6% NA 73.0 % 6.3 % 2.5 % MuleSoft 24.94 3,212 2,872 340 0 NA 2.5 % 13.7 x 9.7 x NA NA NA NA 41.7% (16.7)% 79.2% 74.0 % (22.6)% (24.3)% Nutanix 20.15 3,053 2,703 350 0 NA 7.4 % 4.0 x 2.8 x NA NA NA NA 41.8% 51.2% 36.3% 58.2 % (51.6)% (32.4)% Okta 22.80 2,173 1,948 224 0 NA NA 10.7 x 7.7 x NA NA NA NA 39.6% 7.9% 74.7% 66.4 % (47.4)% (52.0)% Proofpoint 86.83 3,796 3,755 413 372 37.6 % 16.8 % 9.2 x 7.1 x 75.7 x 59.1 x 157.9 x 137.3 x 29.3% 28.0% 14.9% 71.7 % 12.1 % 5.7 % Qualys 40.80 1,511 1,266 245 0 36.9 % 7.7 % 6.2 x 5.4 x 18.4 x 17.0 x 48.0 x 46.7 x 15.0% 8.6% 2.8% 77.9 % 33.5 % 16.0 % Quick Heal 3.20 225 16559 0 (20.0)% (12.4)% 3.6 x 2.8 x 13.7 x 9.6 x 17.4 x 23.2 x 29.5% 42.3% (25.1)% 95.2 % 26.1 % 28.0 % Rapid7 16.83 731 65179 0 33.8 % 12.3 % 3.9 x 3.2 x NA NA NA NA 22.7% (9.3)% (1.9)% 74.2 % (12.6)% (15.6)% Red Hat 95.75 16,998 16,110 1,638 751 31.9 % 10.7 % 6.4 x 5.6 x 24.5 x 20.2 x 41.1 x 34.2 x 15.1% 21.0% 20.2% 85.3 % 26.1 % 16.9 % SecureWorks 9.29 753 66292 0 (34.1)% (2.2)% 1.5 x 1.4 x NA NA NA NA 6.5% NA NA 51.1 % (3.2)% (3.4)% ServiceNow 106.00 18,007 17,548 975 516 59.6 % 21.2 % 11.7 x 8.7 x 62.0 x 39.3 x 123.3 x 84.6 x 33.8% 57.9% 45.7% 72.0 % 18.8 % 9.5 % Sophos 5.76 2,654 2,932 68 346 106.4 % 69.3 % 5.5 x 4.7 x NA 48.0 x NA 73.5 x 18.3% NA 175.7% 77.1 % 2.0 % (8.8)% Splunk 56.89 7,872 6,869 1,087 84 5.0 % (8.7)% 6.8 x 5.4 x 74.1 x 46.4 x 138.8 x 101.9 x 25.3% 59.6% 36.2% 79.2 % 9.2 % 5.5 % Symantec 28.25 17,183 21,113 4,256 8,186 37.5 % (7.9)% 5.3 x 4.1 x 12.2 x 8.9 x 23.7 x 15.8 x 28.1% 38.2% 50.0% 79.4 % 42.9 % 18.3 % Talend 34.78 1,003 90895 0 NA 16.8 % 7.8 x 5.8 x NA NA NA NA 34.0% 14.0% 71.6% 75.7 % (22.1)% (42.0)% Trend Micro 51.54 7,077 5,964 1,1130 45.2 % 16.1 % 4.8 x 4.5 x 14.2 x 13.2 x 32.0 x NA 7.4% 7.6% NA 81.4 % 34.1 % 18.1 % VMw are 87.43 35,707 29,222 7,985 1,500 52.8 % (5.1)% 4.1 x 3.8 x 15.8 x 10.2 x 21.1 x 17.4 x 8.8% 55.0% 21.2% 85.2 % 26.1 % 24.7 % WANdisco 7.70 275 267 80 285.9 % 45.1 % 23.5 x 17.2 x NA NA NA NA 37.0% 73.1% (35.1)% 88.1 % (146.7)% (72.4)% Mean5,808 5,509 846 547 50.3% 9.6% 6.7 x 5.2 x 30.9 x 27.6 x 56.0 x 49.9 x 25.3% 27.8% 30.5% 71.7% 0.7% (4.9)% Median 2,654 2,589 24520 37.2% 7.7% 5.5 x 4.7 x 18.4 x 18.6 x 41.1 x 34.2 x 23.5% 28.0% 25.8% 74.0% 6.3% 2.5%

Cloud Computing / Storage Alphabet 929.68 635,840 547,338 92,439 3,937 32.1 % 9.7 % 5.8 x 4.9 x 14.2 x 12.0 x 25.2 x 26.4 x 17.9% 18.9% (4.3)% 60.7 % 40.6 % 27.2 % Amazon 968.00 462,680 462,748 21,531 21,599 35.3 % 9.2 % 3.2 x 2.7 x 28.5 x 22.8 x NA NA 21.8% 25.2% NA 35.6 % 11.4 % 1.8 % Box 18.24 2,465 2,362 18480 76.4 % 11.8 % 5.5 x 4.4 x NA NA NA NA 25.4% 51.6% 19.1% 72.5 % (6.5)% (15.5)% CenturyLink 23.88 13,106 32,571 214 19,679 (17.7)% 1.3 % 1.9 x 2.0 x 5.1 x 5.5 x 10.6 x 11.3 x (5.1)% (7.6)% (6.0)% 57.9 % 36.9 % 7.0 % IBM 153.83 144,523 176,614 10,695 42,786 1.4 % (11.7)% 2.2 x 2.3 x 9.0 x 9.0 x 11.3 x 11.3 x (1.4)% 0.6% (0.2)% 47.1 % 24.6 % 16.4 % Microsoft 68.93 532,175 496,594 121,576 85,995 34.7 % 4.7 % 5.7 x 4.9 x 13.4 x 12.2 x 22.8 x 21.7 x 16.4% 9.4% 5.2% 61.3 % 42.5 % 27.2 % Oracle 50.14 207,413 199,244 66,078 57,909 22.5 % 12.4 % 5.3 x 5.1 x 11.6 x 10.8 x 18.3 x 17.0 x 4.4% 7.9% 7.9% 58.5 % 45.5 % 30.6 % Salesforce 86.60 61,677 60,992 3,220 2,535 9.1 % 5.0 % 6.9 x 5.7 x 33.3 x 25.3 x 83.3 x 62.1 x 21.7% 31.7% 34.1% 73.1 % 20.7 % 8.3 % Verizon 44.66 182,185 294,720 4,307 116,842 (20.0)% (8.4)% 2.4 x 2.4 x 6.7 x 6.6 x 11.9 x 12.0 x (0.9)% 1.5% (1.0)% 59.2 % 35.5 % 12.4 % Mean 249,118 252,576 35,583 39,040 19.3% 3.8% 4.3 x 3.8 x 15.2 x 13.0 x 26.2 x 23.1 x 11.1% 15.5% 6.8% 58.4% 27.9% 12.8% Median 182,185 199,244 10,695 21,599 22.5% 5.0% 5.3 x 4.4 x 12.5 x 11.4 x 18.3 x 17.0 x 16.4% 9.4% 2.5% 59.2% 35.5% 12.4%

56 TRADING & OPERATING METRICS

($ in millions, except per share data) $ / Share M arket Enterprise % C hange Ent. Value/Rev. Ent. Value/EBITDA P rice/ EP S N T M / LT M Gro wth LT M M argin C o mpany N ame 6/30/17 Cap Value Cash Debt LTM LQ LTM NTM LTM NTM LTM NTM Revenue EBITDA EPS Gross EBITDA Net

Communication & Collaboration 8x8 14.55 1,333 1,158 175 0 (0.4)% (4.6)% 4.6 x 3.9 x 44.2 x 36.1 x 63.3 x 81.2 x 17.2% 22.4% (22.1)% 75.5 % 10.3 % 8.2 % Atlassian 35.18 7,932 7,429 504 0 35.8 % 17.5 % 13.0 x 9.8 x 73.6 x 38.3 x 100.5 x 81.8 x 32.2% 92.4% 22.9% 81.9 % 17.6 % 13.4 % Cisco 31.30 156,502 120,998 67,974 32,470 9.1 % (7.4)% 2.5 x 2.5 x 7.1 x 7.1 x 13.0 x 13.0 x (1.3)% 0.3% (0.1)% 63.4 % 35.2 % 25.1 % Citrix 79.58 12,028 12,072 1,414 1,458 (0.6)% (4.6)% 3.5 x 4.2 x 10.4 x 11.3 x 15.6 x 16.7 x (16.6)% (8.1)% (6.7)% 85.3 % 33.9 % 23.5 % CLX 15.96 856 913 12 69 123.6 % 32.3 % 3.8 x 2.4 x NA 19.4 x 42.6 x 28.7 x 55.9% 171.4% 48.7% 17.1 % 7.2 % 7.7 % Cybozu 4.50 207 195 15 4 22.1 % 13.6 % 2.6 x NA 18.5 x NA 50.5 x NA NA NA NA 93.7 % 14.2 % 5.5 % Everbridge 24.36 679 639 40 0 NA 18.7 % 7.7 x 5.9 x NA NA NA NA 30.8% 104.4% 52.6% 68.6 % (12.6)% (11.8)% j2 Global 85.09 4,101 4,742 187 828 34.7 % 1.4 % 5.1 x 4.0 x 11.6 x 9.7 x 16.6 x 14.2 x 26.8% 19.9% 16.5% 83.5 % 44.0 % 26.6 % LivePerson 11.00 643 595 48 0 73.5 % 60.6 % 2.7 x 2.8 x 33.6 x 30.4 x NA NA (4.0)% 10.4% NA 72.0 % 8.1 % (3.1)% Microsoft 68.93 532,175 496,594 121,576 85,995 34.7 % 4.7 % 5.7 x 4.9 x 13.4 x 12.2 x 22.8 x 21.7 x 16.4% 9.4% 5.2% 61.3 % 42.5 % 27.2 % RingCentral 36.55 2,747 2,598 150 0 85.3 % 29.2 % 6.4 x 5.0 x NA NA NA NA 27.9% 47.9% NA 75.9 % 5.6 % 2.0 % Tw ilio 29.11 2,634 2,345 289 0 (20.2)% 0.8 % 7.7 x 6.2 x NA NA NA NA 23.2% 61.5% NA 57.1 % (13.3)% (3.7)% Mean 60,153 54,190 16,032 10,069 36.1% 13.5% 5.4 x 4.7 x 26.5 x 20.6 x 40.6 x 36.8 x 18.9% 48.4% 14.6% 69.6% 16.1% 10.0% Median 2,691 2,472 181 2 34.7% 9.1% 4.8 x 4.2 x 16.0 x 15.8 x 32.7 x 21.7 x 23.2% 22.4% 10.9% 73.7% 12.3% 7.9%

Content Creation & M anagement Adobe 141.44 69,787 66,744 4,932 1,888 47.7 % 8.7 % 10.2 x 8.5 x 24.9 x 20.3 x 39.2 x 31.5 x 20.9% 22.8% 24.5% 86.3 % 41.0 % 27.8 % GoDaddy 42.42 4,465 4,832 671 1,037 36.0 % 11.9 % 2.5 x 2.1 x 11.2 x 8.3 x 23.6 x 20.6 x 22.1% 34.2% 14.3% 64.3 % 22.7 % 8.1 % Kudelski 17.07 928 1,135 174 381 (14.0)% 4.1 % 1.1 x 0.9 x 8.4 x 9.1 x NA 17.3 x 17.8% (7.7)% NA 67.6 % 13.1 % 6.0 % ROVI 19.48 960 964 51 55 26.3 % 24.3 % 3.3 x 2.9 x 25.9 x 28.4 x 44.7 x 52.6 x 12.8% (8.6)% (15.1)% 57.0 % 12.8 % 8.5 % Sumavision 0.86 1,189 952 237 0 (33.1)% (12.0)% 10.8 x NA 54.5 x NA 133.2 x NA NA NA NA 71.8 % 19.8 % 10.2 % Wix.com 69.60 3,164 3,001 164 1 129.3 % 2.5 % 9.3 x 6.6 x 53.8 x 35.0 x NA NA 41.9% 53.5% NA 84.5 % 17.4 % (3.4)% Mean 13,415 12,938 1,038 561 32.0% 6.6% 6.2 x 4.2 x 29.8 x 20.2 x 60.1 x 30.5 x 23.1% 18.9% 7.9% 71.9% 21.1% 9.5% Median 2,176 2,068 205 218 31.2% 6.4% 6.3 x 2.9 x 25.4 x 20.3 x 41.9 x 26.0 x 20.9% 22.8% 14.3% 69.7% 18.6% 8.3%

CRM & Customer Service Callidus 24.20 1,570 1,387 183 0 21.1 % 13.3 % 6.4 x 5.4 x 49.8 x 40.7 x 86.1 x 71.0 x 17.7% 22.5% 21.2% 61.7 % 12.9 % 7.9 % Five9 21.52 1,172 1,161 56 46 80.8 % 30.7 % 6.8 x 5.8 x NA NA NA NA 17.4% NA NA 58.9 % 1.7 % (0.5)% LivePerson 11.00 643 595 48 0 73.5 % 60.6 % 2.7 x 2.8 x 33.6 x 30.4 x NA NA (4.0)% 10.4% NA 72.0 % 8.1 % (3.1)% Model N 13.30 383 386 54 57 (0.4)% 27.3 % 3.3 x 2.8 x NA NA NA NA 18.9% 94.6% 36.6% 51.3 % (10.8)% (15.9)% Pegasystems 58.35 4,501 4,353 148 0 116.5 % 33.1 % 5.5 x 4.9 x 33.7 x 37.9 x 61.4 x 58.6 x 11.3% (11.0)% 4.7% 68.4 % 16.2 % 9.6 % Salesforce 86.60 61,677 60,992 3,220 2,535 9.1 % 5.0 % 6.9 x 5.7 x 33.3 x 25.3 x 83.3 x 62.1 x 21.7% 31.7% 34.1% 73.1 % 20.7 % 8.3 % Zendesk 27.78 2,749 2,501 248 0 5.3 % (0.9)% 7.4 x 5.6 x NA NA NA NA 33.8% NA 21.1% 70.1 % 2.8 % (5.4)% Mean 10,385 10,197 565 377 43.7% 24.2% 5.6 x 4.7 x 37.6 x 33.6 x 76.9 x 63.9 x 16.7% 29.6% 23.6% 65.1% 7.4% 0.1% Median 1,570 1,387 148 0 21.1% 27.3% 6.4 x 5.4 x 33.6 x 34.1 x 83.3 x 62.1 x 17.7% 22.5% 21.2% 68.4% 8.1% (0.5)%

57 TRADING & OPERATING METRICS

($ in millions, except per share data) $ / Share M arket Enterprise % C hange Ent. Value/Rev. Ent. Value/EBITDA P rice/ EP S N T M / LT M Gro wth LT M M argin C o mpany N ame 6/30/17 Cap Value Cash Debt LTM LQ LTM NTM LTM NTM LTM NTM Revenue EBITDA EPS Gross EBITDA Net

ERP, Supply Chain & Commerce Amber Road 8.57 232 240 15 23 11.2 % 11.0 % 3.2 x 2.8 x NA NA NA NA 13.1% NA 13.7% 51.7 % (3.8)% (14.8)% ChannelAdvisor 11.55 304 242 63 1 (20.3)% 3.6 % 2.1 x 1.9 x NA NA NA NA 10.2% NA NA 76.1 % 4.9 % 2.8 % Crow dw orks 8.88 120 102 18 0 74.6 % (11.7)% 8.8 x NA NA NA NA NA NA NA NA 95.1 % (44.4)% (52.2)% Freelancer 0.60 276 250 27 0 (49.5)% (13.8)% 6.2 x 4.9 x NA NA NA NA 26.2% NA NA 86.0 % 0.2 % (2.1)% Shopify 86.90 8,492 8,097 396 0 182.5 % 27.6 % 18.2 x 11.8 x NA NA NA NA 54.0% NA NA 54.4 % (0.4)% (1.9)% SPS Commerce 63.76 1,096 942 154 0 5.2 % 9.0 % 4.7 x 4.1 x 32.4 x 29.0 x 61.3 x 77.7 x 14.6% 11.8% (21.1)% 66.5 % 14.6 % 9.0 % Wisetech 5.31 1,544 1,469 78 3 60.9 % 23.5 % 13.8 x 10.6 x 46.4 x 28.7 x 91.6 x 49.8 x 30.1% 61.9% 84.1% 83.5 % 29.7 % 15.6 % Mean 1,724 1,620 107 4 37.8% 7.0% 8.1 x 6.0 x 39.4 x 28.8 x 76.5 x 63.7 x 24.7% 36.8% 25.6% 73.3% 0.1% (6.2)% M edian 304 250 63 0 11.2% 9.0% 6.2 x 4.5 x 39.4 x 28.8 x 76.5 x 63.7 x 20.4% 36.8% 13.7% 76.1% 0.2% (1.9)%

Finance & Administration Blackline 35.74 1,836 1,735 101 0 NA 20.1 % 12.8 x 9.4 x NA NA NA NA 36.0% NA 28.8% 76.0 % (2.5)% (12.5)% Bottomline 25.69 1,040 1,080 141 180 19.3 % 8.6 % 3.1 x 2.9 x 17.0 x 13.3 x 27.0 x 25.1 x 6.5% 27.7% 7.6% 54.8 % 18.5 % 10.5 % Coupa 28.98 1,536 1,297 238 0 NA 14.1 % 8.9 x 7.0 x NA NA NA NA 26.5% 8.1% 79.5% 67.2 % (14.4)% (54.3)% Intuit 132.81 34,028 32,935 1,593 500 19.0 % 14.5 % 6.5 x 6.0 x 17.3 x 15.6 x 30.9 x 26.7 x 7.6% 11.1% 15.6% 84.6 % 37.3 % 22.0 % MYOB 2.62 1,592 1,894 30 332 2.1 % (3.5)% 6.5 x 5.8 x 19.1 x 12.4 x 38.7 x 18.5 x 11.9% 54.2% 108.8% 61.4 % 33.8 % 14.0 % Xero 18.45 2,522 2,443 80 0 42.2 % 33.3 % 11.8 x 8.0 x NA NA NA NA 47.7% 128.1% 63.6% 76.5 % (21.7)% (23.8)%

M ean 7,092 6,897 364 169 20.7% 14.5% 8.3 x 6.5 x 17.8 x 13.8 x 32.2 x 23.5 x 22.7% 45.8% 50.6% 70.1% 8.5% (7.4)% Median 1,714 1,814 121 90 19.2% 14.3% 7.7 x 6.5 x 17.3 x 13.3 x 30.9 x 25.1 x 19.2% 27.7% 46.2% 71.6% 8.0% (1.0)%

Human Resources Benefitfocus 36.35 1,128 1,179 58 109 (4.6)% 30.1 % 4.9 x 4.3 x NA NA NA NA 13.6% NA 57.8% 49.3 % 2.6 % (6.9)% Cornerstone 35.75 2,031 1,982 290 241 (6.1)% (8.1)% 4.6 x 4.0 x 43.5 x 31.4 x NA 76.4 x 14.9% 38.4% NA 68.3 % 10.5 % 2.4 % Crow dw orks 8.88 120 102 18 0 74.6 % (11.7)% 8.8 x NA NA NA NA NA NA NA NA 95.1 % (44.4)% (52.2)% Freelancer 0.60 276 250 27 0 (49.5)% (13.8)% 6.2 x 4.9 x NA NA NA NA 26.2% NA NA 86.0 % 0.2 % (2.1)% Instructure 29.50 853 815 38 0 55.3 % 26.1 % 6.7 x 5.0 x NA NA NA NA 33.0% 17.1% 17.4% 71.2 % (29.6)% (33.9)% Paycom 68.41 4,065 4,004 93 32 58.3 % 19.0 % 11.2 x 8.8 x 37.0 x 31.1 x 67.7 x 58.4 x 27.4% 19.0% 16.0% 85.3 % 30.2 % 16.6 % Solium 7.55 381 317 65 0 64.9 % 32.4 % 4.0 x 3.4 x 21.8 x 27.8 x 50.9 x 77.9 x 17.6% (21.5)% (34.7)% 43.5 % 18.2 % 9.5 % Ultimate Softw are 210.06 6,243 6,168 84 9 (0.1)% 7.6 % 7.5 x 6.0 x 32.8 x 24.5 x 65.6 x 49.5 x 24.0% 33.8% 32.6% 61.4 % 22.9 % 11.9 % Upland 21.99 446 484 19 57 188.6 % 38.4 % 6.2 x 5.3 x 30.1 x 16.5 x 48.9 x 25.3 x 18.2% 82.7% 92.9% 64.4 % 20.6 % 9.7 % WageWorks 67.20 2,657 2,294 609 246 12.4 % (7.1)% 5.7 x 4.7 x 19.3 x 15.2 x 44.2 x 36.7 x 22.0% 26.6% 20.4% 63.7 % 29.5 % 14.2 % Workday 97.00 20,079 18,505 2,116 541 29.9 % 16.5 % 10.9 x 8.5 x 91.6 x 57.6 x NA 155.1 x 27.2% 59.0% NA 69.9 % 11.9 % 4.1 %

M ean 3,480 3,282 311 112 38.5 % 11.7 % 7.0 x 5.5 x 39.4 x 29.2 x 55.5 x 68.5 x 22.4% 31.9% 28.9% 68.9% 6.6% (2.4)% Median 1,128 1,179 65 32 29.9% 16.5% 6.2 x 5.0 x 32.8 x 27.8 x 50.9 x 58.4 x 23.0% 30.2% 20.4% 68.3% 11.9% 4.1%

58 TRADING & OPERATING METRICS

M arketing & Advertising Adobe 141.44 69,787 66,744 4,932 1,888 47.7 % 8.7 % 10.2 x 8.5 x 24.9 x 20.3 x 39.2 x 31.5 x 20.9% 22.8% 24.5% 86.3 % 41.0 % 27.8 % Alphabet 929.68 635,840 547,338 92,439 3,937 32.1 % 9.7 % 5.8 x 4.9 x 14.2 x 12.0 x 25.2 x 26.4 x 17.9% 18.9% (4.3)% 60.7 % 40.6 % 27.2 % Bazaarvoice 4.95 417 3589132 23.4 % 15.1 % 1.8 x 1.7 x 21.4 x 16.3 x NA NA 1.7% 31.8% NA 62.0 % 8.3 % 0.8 % Criteo 49.05 3,176 2,959 30487 6.8 % (1.9)% 1.5 x 3.0 x 12.7 x 9.5 x 23.7 x 19.4 x (48.9)% 34.1% 21.7% 35.7 % 12.1 % 7.2 % Hubspot 65.75 2,404 2,282 123 1 51.4 % 8.6 % 7.8 x 6.0 x NA NA NA NA 29.5% NA NA 77.9 % 1.8 % (2.7)% Nasmedia 47.15 413 39523 5 12.1 % 35.0 % 5.2 x 3.8 x 19.9 x 13.6 x 19.5 x 20.9 x 37.2% 46.7% (6.6)% 100.0 % 25.9 % 26.8 % Salesforce 86.60 61,677 60,992 3,220 2,535 9.1 % 5.0 % 6.9 x 5.7 x 33.3 x 25.3 x 83.3 x 62.1 x 21.7% 31.7% 34.1% 73.1 % 20.7 % 8.3 % TechTarget 10.37 285 2952737 28.0 % 14.8 % 2.8 x 2.6 x 16.4 x 12.8 x 34.6 x 24.5 x 6.6% 28.7% 41.0% 71.5 % 17.1 % 8.4 % Trade Desk 50.11 2,121 2,040 10726 NA 34.5 % 9.0 x 6.8 x 34.7 x 23.1 x 55.7 x 46.2 x 31.8% 50.6% 20.6% 80.1 % 26.0 % 10.5 % Yext 13.33 1,200 1,067 134 0 NA NA 7.9 x 5.9 x NA NA NA NA 35.3% 6.2% 58.3% 71.8 % (33.5)% (29.9)% Mean 77,732 68,447 10,140 855 26.3% 14.4% 5.9 x 4.9 x 22.2 x 16.6 x 40.2 x 33.0 x 15.4% 30.2% 23.7% 71.9% 16.0% 8.4% Median 2,262 2,161 128 35 25.7% 9.7% 6.3 x 5.3 x 20.7 x 14.9 x 34.6 x 26.4 x 21.3% 31.7% 23.1% 72.4% 18.9% 8.3%

59 TRADING & OPERATING METRICS

($ in millions, except per share data) $ / Share M arket Enterprise % C hange Ent. Value/Rev. Ent. Value/EBITDA P rice/ EP S N T M / LT M Gro wth LT M M argin C o mpany N ame 6/30/17 Cap Value Cash Debt LTM LQ LTM NTM LTM NTM LTM NTM Revenue EBITDA EPSGross EBITDA Net

Vertical M arket ACI Worldw ide 22.37 2,641 3,243 100702 14.7 % 4.6 % 3.2 x 3.2 x 17.7 x 13.1 x NA 49.6 x 1.2% 35.0%NA 57.0 % 18.2 % 2.9 % AppFolio 32.60 1,104 1,076 27 0 125.4 % 19.9 % 9.4 x 7.3 x 93.6 x 62.4 x NA NA 28.3% 50.0%NA 58.9 % 10.0 % (2.6)% Athenahealth 140.55 5,599 5,784 98284 1.8 % 24.7 % 5.2 x 4.6 x 21.8 x 21.6 x 74.8 x 70.3 x 13.4%1.0%6.3% 51.0 % 23.8 % 6.8 % Blackbaud 85.75 4,025 4,368 14356 26.3 % 11.8% 5.9 x 5.4 x 22.6 x 23.0 x 43.8 x 39.1 x 783.7 % (164.3)% 1,179.1 % 53.9 % 25.9 % 12.5 % Castlight Health 4.15 542438103 0 4.8 % 13.7 % 4.1 x 3.1 x NA NA NA NA 34.7% (52.7)% (16.4)% 68.6 % (18.8)% (21.2)% Delivery Hero 32.35 5,565 5,456 234125 NANA 14.4 x NA NA NA NA NA NA NA NA 70.1 % (24.5)% (76.3)% Descartes 24.28 1,844 1,790 54 0 27.5 % 6.2 % 8.5 x 7.7 x 24.7 x 21.8 x 25.8 x 22.8 x 10.4% 13.2% 13.1% 72.9 % 34.6 % 34.4 % Earthport 0.27 13011515 0 47.4 % (19.9)% 3.6 x 2.9 x NA NA NA NA 24.2% 72.4%2.3% 67.2 % (35.7)% (21.9)% Ebix 53.90 1,700 1,885 123309 12.5 % (12.0)% 6.2 x 5.1 x 16.8 x 15.6 x 17.8 x 18.4 x 20.4%7.8% (3.4)% 70.4 % 36.7 % 32.2 % Ellie Mae 109.91 3,745 3,351 394 1 19.9 % 9.6 % 8.8 x 7.3 x 28.3 x 21.6 x 50.4 x 54.6 x 21.1% 31.2% (7.6)% 66.2 % 31.1 % 19.5 % Envestnet 39.60 1,736 1,981 39285 18.9 % 22.6 % 3.3 x 2.9 x 18.7 x 14.7 x 37.4 x 29.4 x 12.9% 26.7% 27.2% 28.1 % 17.6 % 7.5 % FactSet 166.18 6,557 6,938 194575 2.9 % 0.8 % 5.9 x 5.2 x 16.6 x 15.6 x 23.4 x 21.2 x 11.9%6.1% 10.3% 55.5 % 35.4 % 24.0 % GrubHub 43.60 3,758 3,397 361 0 40.3 % 32.6 % 6.3 x 4.9 x 21.9 x 17.4 x 48.0 x 37.6 x 28.7% 25.8% 27.6% 55.0 % 28.8 % 14.6 % IDOX 0.79 320351 5 35 (4.3)% (9.9)% 3.7 x 2.8 x 16.4 x 9.9 x 20.2 x 14.6 x 35.3% 64.4% 38.8% 86.8 % 22.9 % 15.5 % Inovalon 13.15 1,920 1,645 533259 (27.0)% 4.4 % 3.8 x 3.6 x 15.5 x 15.2 x 36.5 x 38.4 x 4.7%1.5% (4.8)% 64.1 % 24.6 % 12.4 % Instructure 29.50 85381538 0 55.3 % 26.1 % 6.7 x 5.0 x NA NA NA NA 33.0% 17.1% 17.4% 71.2 % (29.6)% (33.9)% JUST EAT 8.51 5,781 5,560 222 1 50.2 % 20.0 % 10.7 x 8.2 x 37.3 x 24.3 x 58.4 x 35.4 x 31.7% 53.3% 65.0% 88.9 % 28.8 % 19.1 % Linx 5.40 89272220940 7.3 % 2.7 % 4.5 x 4.0 x 27.8 x 16.1 x 33.4 x 23.9 x 10.8% 72.9% 39.5% 70.1 % 16.0 % 15.7 % Medidata Solutions78.20 4,555 4,457 365267 66.8 % 35.6 % 9.2 x 7.7 x 39.2 x 31.4 x 67.4 x 59.9 x 19.2% 24.9% 12.5% 75.6 % 23.4 % 13.8 % MINDBODY 27.20 1,189 1,116 8815 68.5 % (0.9)% 7.5 x 5.8 x NA NA NA NA 28.6%NA 70.8% 69.8 % (0.9)% (7.2)% Model N 13.30 3833865457 (0.4)% 27.3 % 3.3 x 2.8 x NA NA NA NA 18.9% 94.6% 36.6% 51.3 % (10.8)% (15.9)% MYOB 2.62 1,592 1,894 30332 2.1 % (3.5)% 6.5 x 5.8 x 19.1 x 12.4 x 38.7 x 18.5 x 11.9% 54.2% 108.8% 61.4 % 33.8 % 14.0 % NantHealth 4.23 514582125192 (66.2)% (14.7)% 5.6 x 4.1 x NA NA NA NA 37.0% 78.6% 24.9% 38.5 % (142.1)% (84.9)% NIC 18.95 1,255 1,131 124 0 (13.6)% (6.2)% 3.5 x 3.4 x 13.3 x 13.2 x 22.3 x 25.8 x 4.0%0.4% (13.5)% 41.1 % 26.4 % 17.4 % Playtech 12.35 3,879 3,810 574504 16.6 % 5.9 % 4.7 x 3.7 x 12.9 x 9.0 x 18.1 x 12.6 x 28.3% 43.4% 43.8% 100.0 % 36.9 % 30.2 % Q2 Holdings 36.95 1,513 1,431 82 0 31.9 % 6.0 % 8.9 x 7.0 x NA NA NA NA 27.9%NA 71.2% 48.8 % (0.6)% (6.1)% RealPage 35.95 2,972 3,034 60121 61.0 % 3.0 % 5.1 x 4.4 x 22.2 x 17.7 x 43.8 x 37.2 x 15.2% 25.0% 17.9% 57.7 % 23.1 % 10.9 % Sabre 21.77 6,054 9,279 288 3,513 (18.7)% 2.7 % 2.7 x 2.6 x 8.8 x 8.4 x 16.4 x 15.8 x 5.9%4.1%3.4% 31.6 % 30.8 % 10.9 % ShotSpotter 12.79 122133 2 13 NANA 7.8 x NA NA NA NA NA NA NA NA 41.1 % (9.8)% (49.9)% SimCorp 60.52 2,386 2,335 58 7 23.8 % 0.2 % 7.1 x 5.8 x 28.3 x 21.0 x 41.5 x 29.0 x 21.4% 34.6% 42.9% 62.0 % 25.1 % 17.9 % SS&C 38.41 7,836 10,172 109 2,445 36.8 % 8.5 % 6.5 x 6.0 x 16.1 x 14.3 x 22.5 x 19.1 x 8.6% 12.6% 17.7% 46.2 % 40.4 % 22.6 % Tabula Rasa 15.05 259258 32 NA 11.6 % 2.5 x 2.1 x NA 13.7 x NA 30.3 x 21.4%NA NA 30.2 % 4.4 % 0.8 % Takeaw ay 42.54 1,837 1,722 115 0 NA 26.3 % 12.9 x 8.8 x NA NA NA NA 46.9% 93.0% 65.6% 85.3 % (20.3)% (22.0)% Technology One 4.42 1,387 1,343 44 0 14.8 % 12.8 % 6.7 x 5.8 x 30.4 x 24.7 x 45.2 x 35.4 x 15.3% 23.0% 27.8% 37.5 % 22.1 % 15.8 % Temenos 89.35 6,229 6,398 210379 79.7 % 12.3 % 9.9 x 8.9 x 36.9 x 24.9 x 41.6 x 36.3 x 10.7% 48.1% 14.5% 69.8 % 26.7 % 24.2 % TrueCar 19.93 1,851 1,766 11529 153.9 % 28.8 % 6.1 x 5.3 x NA 59.8 x NA NA 15.0% 47.3%NA 91.3 % 6.9 % (2.3)% Wisetech 5.31 1,544 1,469 78 3 60.9 % 23.5 % 13.8 x 10.6 x 46.4 x 28.7 x 91.6 x 49.8 x 30.1% 61.9% 84.1% 83.5 % 29.7 % 15.6 % Mean2,596 2,747143 293 28.5% 9.6% 6.6 x 5.3 x 26.1 x 21.2 x 39.9 x 33.0 x 19.9% 33.4% 27.6% 61.6% 10.6% 1.8% Median1,837 1,790100 35 19.9% 8.5% 6.2 x 5.1 x 21.9 x 17.4 x 38.7 x 30.3 x 19.2% 28.9% 17.9% 62.0% 23.1% 12.4%

60 TRADING & OPERATING METRICS

($ in millions, except per share data) $ / Share M arket Enterprise % C hange Ent. Value/Rev. Ent. Value/EBITDA P rice/ EP S NTM / LTM Growth LT M M argin Company Name 6/30/17 Cap Value Cash Debt LTM LQ LTM NTM LTM NTM LTM NTM Revenue EBITDA EPS Gross EBITDA Net

Software Conglomerates IBM 153.83 144,523 176,614 10,695 42,786 1.4 % (11.7)% 2.2 x 2.3 x 9.0 x 9.0 x 11.3 x 11.3 x (1.4)% 0.6% (0.2)% 47.1 % 24.6 % 16.4 % Microsoft 68.93 532,175 496,594 121,576 85,995 34.7 % 4.7 % 5.7 x 4.9 x 13.4 x 12.2 x 22.8 x 21.7 x 16.4% 9.4% 5.2% 61.3 % 42.5 % 27.2 % Oracle 50.14 207,413 199,244 66,078 57,909 22.5 % 12.4 % 5.3 x 5.1 x 11.6 x 10.8 x 18.3 x 17.0 x 4.4% 7.9% 7.9% 58.5 % 45.5 % 30.6 % SAP 104.78 125,588 126,387 8,000 8,799 39.4 % 6.5 % 5.2 x 4.6 x 14.5 x 13.2 x 24.3 x 21.2 x 14.4% 10.4% 14.6% 70.0 % 36.0 % 21.4 % Mean 252,425 249,710 51,587 48,872 24.5% 3.0% 4.6 x 4.2 x 12.1 x 11.3 x 19.2 x 17.8 x 8.5% 7.1% 6.9% 59.2% 37.2% 23.9% Median 175,968 187,929 38,387 50,348 28.6% 5.6% 5.3 x 4.7 x 12.5 x 11.5 x 20.6 x 19.1 x 9.4% 8.7% 6.5% 59.9% 39.2% 24.3%

61 TECHNOLOGY & TELECOM TEAM TECHNOLOGY & TELECOM TEAM

 Capstone is built from the top and our clients receive hands-on, senior-level attention on every transaction. With a long track record of success, we are dedicated to delivering results that maximize value for our clients.

JOHN FERRARA DAVID MICHAELS JOHN SNEAD Founder & President Partner, Managing Director Partner, Managing Director Head of Investment Banking Head of Technology & Telecom Head of International M&A Technology & Telecom Los Angeles, Boston, New York San Diego & Silicon Valley London

DAVID DESIMONE TEAK MURPHY BRANDON OVERMYER Director Director Vice President Technology & Telecom Technology & Telecom Technology & Telecom

Boston Los Angeles Los Angeles

JAY WONGWATANA-ANAN Analyst Technology & Telecom

Los Angeles