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December 2011 Investment Summary

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December 2011 Investment Summary Marketing, Media, Technology, and Service Industries M&A & December 2011 Investment Summary Expertise. Commitment. Results. TABLE OF CONTENTS Overview of Monthly M&A and Investment Activity 3 Monthly M&A and Investment Activity by Industry Segment 7 Additional Monthly M&A and Investment Activity Data 24 About Petsky Prunier 34 M&A & INVESTMENT SUMMARY DECEMBER 2011 2 MARKETING, MEDIA, TECHNOLOGY, AND SERVICE INDUSTRIES Transaction Distribution • A to ta l of 261 deal s worth approximat el y $10.7 billion were announced in Decemb er 2011 • Digital Media/Commerce was the most active segment with 78 transactions • Software & Information was the highest value segment worth approximately $6 billion • Strategic buyers announced 142 deals for approximately $10.9 billion (54% of total volume) • VC/Growth Capital investors announced 107 deals for approximately $1.3 billion • Buyout investors announced 12 deals for approximately $807 million DECEMBER2011 BUYER/INVESTOR BREAKDOWN Transactions Est. Value Strategic Buyout Venture/Growth Capital # % $MM % # $MM # $MM # $MM Digital Media/Commerce 78 30% 1,816.0 17% 31 818.1 3 431.4 44 566.5 Marketing Technology 66 25% 1,811.3 17% 34 1,557.3 3 50.0 29 204.0 Software & Information 53 20% 5,944.3 56% 32 5,641.5 2 127.6 19 175.2 Agency/Consulting 37 14% 601.5 6% 30 356.4 2 17.2 5 228.0 Digital Advertising 17 7% 136.9 1% 8 91.1 0 0.0 9 45.8 MktiMarketing Servi ces 7 3% 130.4 1% 5 80. 4 1 15. 0 1 35. 0 Out-of-Home & Specialty Media 3 1% 216.0 2% 2 50.0 1 166.0 0 0.0 Total 261 100% 10,656.4 100% 142 8,594.8 12 807.2 107 1,254.5 Marketing, Media, Technology, and Service Industries M&A and Investment Volume - Last 13 Months 24.0 $22.0 21.0 $18.3 18.0 $10.3 $14.7 HPQ/ AU 15.0 $8.5 $6.0 $13.2 Skype/ $10.7 12.0 $10.7 MSFT $9.6 $8.5 $10.0 $9.4 9.0 $6.0 $9.8 6.0 alue ($ in billions) in ($ alue 303.0 VV 182199 207246 241 254 248 245 263 275 279 497 261 - Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Nov-11 Dec-11 M&A & INVESTMENT SUMMARY DECEMBER 2011 3 SELECTED TRANSACTIONS WITH VALUATION INFORMATION DISCLOSED AND IPOS AFTER FINAL PRICING ($ in Millions) Selected Transactions With Multiples Information Target Subsegment Buyer/Investor Ent. Value Rev EBITDA EV/REV EV/EBITDA Agency/Consulting MSQ Partners Limited General Agency Management Buyout 17.2 73.0 4.3 0.2x 4.0x Digital Media/Commerce Wiggle Ltd. eCommerce Bridgepoint Capital Limited 282.5 138.2 - 2.0x NM fab.com(1 ) Digital Promotion/Coupon Andreessen Horowitz Fund 200.0 20.0 - 10.0x NM Jacques Vert Plc eCommerce Sun Capital Partners, Inc. 62.7 183.0 9.3 0.3x 6.7x Ash Gaming Gaming Playt ec h 24.1 7.0 4.3 3.4x 5.6x Direc t Enquiries Loc al Searc h MITIE Group PLC 0.5 2.3 - 0.2x NM Marketing Technology DemandTec, Inc. Analytics & Reporting IBM 440.0 88.5 (8.4) 5.0x NM Cotendo, Inc. Content Delivery Network Akamai Technologies, Inc. 268.0 44.7 - 6.0x NM Webs, Inc.(2 ) Content Management VistaPrint USA, Inc. 117.5 9.0 - 13.1x NM Alterian plc CRM SDL plc 107.0 52.0 - 2.1x NM Enswers, Inc. Search & Discovery KT Corporation 39.9 2.7 - 15.0x NM Software & Information SuccessFactors, Inc. HR Software SAP AG 3,400.0 291.8 (27.2) 11.7x NM FTSE International Financial London Stock Exchange Group 1,405.0 40.0 - 35.1x NM Orc Group Financial Software Cidron Intressenter 292.1 141.9 27.4 2.1x 10.7x Curam Software(3 ) ERP Software IBM 150.0 79.8 802.0 1.9x 0.2x Jobs2Web, Inc.(4 ) HR Software SuccessFactors, Inc. 110.0 9.9 - 11.1x NM InfoVista SA Infrastructure Software Thoma Bravo, Inc. 106.4 64.3 57.9 1.7x 1.8x BiBarrie & HibbtHibbert Cdit/RikCredit/Risk SftSoftware Md'Moody's Corpora tion 77. 6 22. 7 - 343.4x NM Out-of-Home & Specialty Media oOh!media Group Limited Traditional Outdoor Champ Private Equity 166.0 114.4 21.7 1.5x 7.6x Marketing Services MC2 Ltd. Offline Lead Generation Kenkou Holdings, Inc . 5.4 1.3 - 4.3x NM IPOs After Final Pricing* Target Subsegment Buyer/Investor Ent. Value Rev EBITDA EV/REV EV/EBITDA Digital Media/Commerce Nexon Co Gaming IPO $6,666.7 $1,076.6 615.0 6.2x 10.8x Zynga Gaming IPO 6,532.5 1,024.6 198.7 6.4x 32.9x Jive Software Social Technology IPO 579.7 69.4 (34.0) 8.4x NM (1) fab.com sold a 20 percent stake to Andreessen Horowitz for $40mm (2) Expected 2011 revenue per Forbes (3) 2010 revenue and EBIDTA per Irish Times (4) 2010 revenu per Star Tribune * IPO multiples based on TTM financials and pro forma balance sheets as of 9/30/11 per Registration Filings M&A & INVESTMENT SUMMARY DECEMBER 2011 4 IPO PIPELINE ($ in Millions) Securities in Registration (as of 12/30/2011) Aggregate LTM Date Company Name Segment Offering Value Rev Adj. EBITDA Dec-11 Cantor Entertainment Technology, Inc. Digital Media/Commerce $100.0 $4.4 NM Nov-11 ExactTarget, Inc. Marketing Technology 100.0 187.0 NM Nov-11 Syy,nacor, Inc. Marketingggy Technology 75.0 80.3 4.6 Nov-11 Yelp, Inc. Digital Media/Commerce 100.0 73.7 NM Oct-11 Lashou Digital Media/Commerce 100.0 7.0 NM Sep-11 Guidewire Software, Inc. Software & Information 100.0 172.5 19.1 Aug-11 MobiTV, Inc. Marketing Technology 75.0 72.3 NM Aug-11 Bazaarvoice, Inc. Marketing Technology 86.3 73.6 NM Aug-11 Brightcove Software & Information 50.0 48.6 NM Aug-11 Eloqua Corporation Marketing Technology 100.0 59.5 NM Aug-11 TIM W.E . SGPS Digital Advertising 181.3 246.6 20. 2 Jul-11 Loyalty Alliance Enterprise Corp. Marketing Services 75.5 23.9 9.7 Jul-11 Demandware Marketing Technology 100.0 45.9 1.3 Jul-11 Greenway Medical Software & Information 100.0 89.9 4.9 Jun-11 Cafepress Digital Media/Commerce 80. 0 160.8 13. 5 Apr-11 WageWorks, Inc. Software & Information 52.0 84.6 27.5 Mar-11 Newgistics Marketing Services 86.3 182.8 18.9 Nov-10 Kayak.com Vertical Search 50.0 199.6 38.7 Feb- 10 Reply. com Digital Advertising 60. 0 38. 3 818.1 M&A & INVESTMENT SUMMARY DECEMBER 2011 5 IPO PIPELINE ($ in Millions) IPO Performance (as of 12/30/2011) Initial Offering Final Price Stock Price at Close Stock Price on Date Ticker Company Name Country Price Range Per Share on 1st Trading Day Dec 30, 2011 Dec-11 JIVE Jive Software United States $8.00-$10.00 $12.00 15.05, up 25% $16.00 Dec-11 3659 Nexon Japan 15.40-17.96 16.68 16.30. down 2% 14.37 Dec-11 ZNGA Zynga United States 8.50-10.00 10.00 9.50, down 5% 9.41 Nov-11 ANGI Angie's List, Inc. United States 11.00-13.00 13.00 16.26, up 25% 16.10 Nov-11 GRPN Groupon United States 16.00-18.00 20.00 26.11, up 31% 20.63 Aug-11 TUDO Tudou Holdings Limited China 28.00-30.00 29.00 25.56, down 11.9% 10.98 Jul-11 Z Zillow, Inc. United States 12.00-14.00 20.00 35.77, up 79% 22.48 Jun-11 RATE Bankrate, Inc. United States 14.00-16.00 15.00 16.44, up 9.6% 21.50 Jun-11 AWAY HomeAway United States 25.00 - 27.00 27.00 40.21, up 49% 23.25 Jun-11 P Pandora United States 10.00 - 12.00 17.42 17.42, down 13% 10.01 Jun-11 TAOM Taomee Holdings Ltd. China 9.00 - 11.00 9.00 8.23, down 8% 4.62 May-11 LNKD LinkedIn Corp. United States 42.00 - 45.00 45.00 94.25, up 109% 63.01 May-11 FENG Phoenix New Media United States 12.00 - 14.00 14.00 18.01, up 29% 5.63 May-11 RENN RenRen Inc. United States 12.00 - 14.00 25.00 38.84, up 55% 3.55 May-11 DATE Jiayuan.com International China 10.00 - 12.00 11.00 10.52, down 4% 5.84 May-11 NQ NetQin Mobile India 9.50 - 11.50 11.50 9.32, down 19% 5.27 May-11 ACTV The Active Network United States 16.00 - 18.00 15.00 15.9, up 6% 13.60 May-11 YNDX Yandex China 9.50 - 11.50 11.50 9.30, down 19% 19.70 Apr-11 MKTG Responsys United Kingdom 8.50 - 10.00 12.00 15.40, up 28% 8.89 Mar-11 QIHU Qihoo 360 Technology United States 10.50 - 12.50 14.50 34.00, up 134% 15.69 Mar-11 SREV ServiceSource International China 7.50 - 9.00 10.00 12.18, up 22% 15.69 Mar-11 CSOD Cornerstone OnDemand China 9.00 - 11.00 13.00 19.07, up 47% 18.24 Feb-11 EPOC Epocrates, Inc.
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