Market Update M&Amarlin & Associates Investment Banking and Strategic Advisory to the Technology, Information and Healthcare Industries

August 2016

MARKET UPDATE M&AMARLIN & ASSOCIATES INVESTMENT BANKING AND STRATEGIC ADVISORY TO THE TECHNOLOGY, INFORMATION AND HEALTHCARE INDUSTRIES

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Rational expectations (mostly) continue driving info tech M&A values upward. Our August 2016 Market Update

The report that follows is our latest update on m&a values and trends in the information technology universe. It’s all pointing up…

The US equity markets are now officially in the midst of the second longest continuous rise ever – and they just keep on ticking. It’s been more than 2,700 calendar days since the 2009 bottom - without a 20% pull back. Can it continue? Can we surpass the to 3,452 day bull market that ended with the tech market crash in 2000? Maybe we can – at least in the dozen+ sectors of the information-technology industry that we follow and sometimes lead.

Every week, we talk to the CEOs, Board members, investors and others connected with a wide range of information- technology companies of all sizes, from startups to mega-billion dollar multi-national behemoths – and the funny thing is – most are totally pragmatic. Their businesses may not all be growing at huge rates. But most are solidly growing – and profitable. It’s not 1999, when many savvy investors and owners recognized that the transaction values of many tech-related companies could not be justified by expected future cash flows. Then, it was all about limited supply and irrational demand. But now, most buyers and sellers are coming to agree on values that are rationally based. Yes, there are always those high profile irrational Unicorn values (Theranos?) and a few the over-the top transaction values – often paid by firms that can well afford the risk ($26 billion for LinkedIn? $3.2 billion for Jet.com? Really?) But they are the exceptions. Verizon’s $4.8 billion price for Yahoo! is a better example. It’s a rational price for a perfect strategic fit. As you will see from the report that follows, top line growth, increasing profit and strong market positions are driving rational values in the information technology sector. And so far it shows no sign of abating. We’re keeping a sharp eye on it. Details on sector performance as well as on some of the more notable recent transactions are in the report that follows. A few of those transactions include:

• Verizon (NYSE:VZ) agreed to acquire Yahoo approximately $544mm, (NASDAG:YHOO) for $4.83bn, • Blackboard Inc. (Washington, D.C.) agreed to acquire • Onex Corporation (TSX:OCX) and Baring Private Equity Higher One Holdings for $260mm, Asia agreed to acquire Thomson Reuters’ Intellectual • Nuance Communications (NasdaqGS:NUAN) agreed to Property & Science business for $3.55bn, acquire TouchCommerce for an implied enterprise value • BM&FBovespa (BOVESPA:BVMF3) acquired a 10% stake of $215mm, in Bolsa de Valores de Colombia for MXN 39.8bn • Evolent Health (NYSE:EVH) agreed to acquire Valence (~$2.1bn), Health for approximately $145mm, and • AVG Technologies N.V. (NYSE:AVG) agreed to acquire • Oracle (NYSE:ORCL) agreed to acquire NetSuite AVAST for $1.5bn, (NYSE:N) at a 19.0% premium to the prior day’s trading • MasterCard (NYSE:MA) agreed to acquire 92.4% of price. The transaction valued NetSuite at an implied VocaLink for approximately $920mm (700 mm GBP), enterprise value of $8.7bn or 10.3x LTM revenue. • Thoma Bravo agreed to acquire Imprivata for

P.S. The publication date on my book, The Marine Corps Way to Win on Wall Street is fast approaching. More info on it is HERE and my latest blog post is HERE. Sincerely,

Kenneth B. Marlin | Managing Partner Marlin & Associates | www.marlinllc.com

Marlin & Associates is one of the most active firms advising buyers and sellers of U.S. and international middle-market firms that provide software, data, and related services. The firm is based in New York City, with offices in San Francisco, CA, Washington, D.C., and Toronto, Canada. It has been the recipient of numerous awards including “Boutique Investment Bank of the Year,” “Middle-Market Investment Bank of the Year,” "Middle-Market Financing Agent of the Year – Equity," and “TMT Advisory Bank of the Year.” Marlin & Associates' team of professionals has advised over 200 information- technology transactions. AUGUST 2016

MARLIN & ASSOCIATES MARKET UPDATE

03 Sector Comparison Snapshot

04 Sector Analyses

04 Application Software

05 B2B E-commerce & Marketing Technologies

06 Banking Software & Processors

07 Business Intelligence Software

08 Capital Markets Software & Services

09 Data & Analytics – Financial Services

10 Healthcare Information Software Systems

11 Information & Market Research

12 Insurance Technology

13 Payment Technology

14 Securities Exchanges

15 Security Software

16 Technology-Enabled Financial Institutions

17 Technology-Enabled Healthcare Services

18 Merger-and-Acquisition Activity Trends

Source: Marlin & Associates, Capital IQ and Public sources. All market and operating data is sourced as of 7/29/16. These companies are a sample of firms in the sector as M&A defines it, and do not comprise a comprehensive list of all firms in the sector. M&A calculates mean and median multiples for the sector using data from a set of firms that it believes to be reasonable and which may not be identical to the set reflected above. 02 AUGUST 2016 SECTOR COMPARISON SNAPSHOT: CURRENT REVENUE & EBITDA MULTIPLES Enterprise Value / 2015 Revenue

Securities Exchanges

Data & Analytics - Financial Services

Application Software

B2B E-commerce & Marketing Technologies

Banking Software & Processors

Healthcare Info Software

Security Software

Payment Technology

Business Intelligence Software

Information & Market Research

Tech-enabled Financial Institutions *

Capital Markets Software & Services

Tech-enabled Healthcare Services

Insurance Technology

0x 2x 4x 6x 8x 10x

Enterprise Value / 2015 EBITDA

Healthcare Info Software

Banking Software & Processors

B2B E-commerce & Marketing Technologies

Application Software

Capital Markets Software & Services

Information & Market Research

Tech-enabled Healthcare Services

Securities Exchanges

Data & Analytics - Financial Services

Insurance Technology

Security Software

Business Intelligence Software

Payment Technology

Tech-enabled Financial Institutions *

0x 5x 10x 15x 20x 25x 30x

*Tech-enabled Financial Institutions multiples calculated using Market Cap / Revenue and Market Cap / EBT

Application Software

Public Market Data

5 Year LTM Revenue & EBITDA Multiples 5 Year M&A Application Software Index vs. S&P 500, base = 100

10.0x 40x 280

8.0x 30x 230

6.0x 20x 180 EV / EBITDA EV / Revenue 4.0x 10x 130

2.0x 0x 80 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

EV / LTM Revenue EV / LTM EBITDA M&A Application Software Index S&P 500

Company Market Enterprise EV / Revenue EV / EBIT DA Revenue Growth EBITDA M ar gin (USD millions) Cap Value CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

Oracle 173,928 162,159 4.3x 4.3x 10.7x 9.6x (3%) 0% 41% 45% SAP 105,115 109,742 4.7x 4.5x 17.2x 12.8x 18% 5% 27% 35% Salesforce 56,180 56,214 8.4x 6.8x na 34.9x 24% 25% 7% 19% Intuit 28,857 28,244 6.3x 5.9x 21.7x 15.9x 6% 8% 29% 37% Workday 16,212 14,646 12.6x 9.4x na na 48% 34% n/a 9% CA Technologies 14,380 13,692 3.4x 3.4x 11.1x 8.5x (7%) 0% 31% 40% Amdocs 8,796 7,671 2.1x 2.0x 11.1x 10.3x 1% 2% 19% 20% NetSuite 8,778 8,652 11.7x 9.0x na na 33% 30% n/a 8% Constellation Softw are 8,606 8,702 4.7x 4.1x 20.4x 16.2x 10% 15% 23% 25% Manhattan Associates 4,193 4,098 7.4x 6.7x 24.2x 19.2x 13% 11% 30% 35% NICE Sy s tems 4,160 3,770 4.1x 3.8x 16.9x 13.4x 6% 8% 24% 28% Softw are AG 3,088 3,015 3.1x 3.0x 10.4x 9.7x 2% 2% 30% 31% Paycom Softw are 2,755 2,709 12.1x 8.4x 64.4x 36.3x 49% 43% 19% 23% Zendesk 2,737 2,483 11.9x 8.2x na na 64% 45% n/a n/a Paylocity 2,385 2,295 12.2x 8.9x na na 47% 37% n/a 11% Trim Mean 20,297 20,280 7.3x 5.9x 16.6x 15.8x 20% 17% 26% 26%

Recent Activity

Date Acquirer(s) / Investor(s) Target / Issuer Description Announced

Oracle (NYSE:ORCL) agreed to acquire NetSuite (NYSE:N) at a 19% premium to the 7/28/16 prior day’s trading price. The transaction valued NetSuite at an implied enterprise value of $8.7bn or 10.3x LTM revenue.

DTI (Atlanta, GA) agreed to acquire Epiq Systems (Nasdaq:EPIQ) at a 14.4% 7/27/16 premium to the prior day’s trading price. The transaction valued Epiq at an implied enterprise value of $1bn or 1.9x LTM revenue and 12.8x LTM EBITDA.

Vena Solutions (Toronto, ON) raised $22.7mm in funding led by new investor Centana Growth Partners. Vena Solutions will use the proceeds to accelerate growth, invest in 7/25/16 general operating capital in product development, partnerships, professional services and sales and marketing.

B2B E-commerce & Marketing Technologies

Public Market Data

5 Year LTM Revenue & EBITDA Multiples[1] 5 Year M&A eCommerce Index[1] vs. S&P 500, base = 100

13.0x 60x 180

11.0x 50x 160

9.0x 40x 140

7.0x 30x 120 EV / EBITDA EV / Revenue 5.0x 20x 100

3.0x 10x 80 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

EV / LTM Revenue EV / LTM EBITDA M&A eCommerce Index S&P 500

Company Market Enterprise EV / Revenue EV / EBIT DA Revenue Growth EBITDA M ar gin (USD millions) Cap Value CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

Mercadolibre 6,760 6,718 10.3x 8.9x 37.6x 37.6x 17% 16% 27% 24% Shopify 2,591 2,401 11.7x 6.9x na na 95% 69% na na HubSpot 1,908 1,801 9.9x 7.0x na na 57% 42% na na Marketo 1,562 1,474 7.0x 5.4x na na 40% 30% na na NeuStar 1,388 2,312 2.2x 1.9x 5.8x 4.2x 9% 17% 38% 45% Focus Technology 1,120 998 13.4x na nm na (3%) na 3% na ChannelAdvisor 401 341 3.4x 3.0x na nm 18% 13% na 2% Mediagrif Interactive 204 216 3.9x 3.6x 11.4x 9.5x 2% 10% 34% 38% QuinStreet 165 125 0.4x 0.4x na 11.3x 3% 17% na 3% Trim Mean 1,310 1,363 6.9x 4.6x 11.4x 10.4x 21% 23% 31% 22% Median 1,388 1,474 7.0x 4.5x 11.4x 10.4x 17% 17% 31% 24%

[1] Shopify (SHOP) added to the index as of IPO 5/21/15

Recent Activity

Date Acquirer(s) / Investor(s) Target / Issuer Description Announced

Nuance Communications (NasdaqGS:NUAN) agreed to acquire TouchCommerce for an implied enterprise value of $215mm. The partnership will allow Nuance to deliver 7/21/16 digital self-service solutions to large enterprise customers looking to increase customer satisfaction and agent efficiency.

Zenreach (San Francisco, CA) raised $30mm in series B funding from The Founders Fund. Zenreach will use the proceeds to grow to over 300 employees, open a new 7/19/16 international office in Dublin, extend its product offering to new verticals, and expand internationally.

Salesforce (NYSE:CRM) agreed to acquire Demandware (NYSE:DWRE) for $2.9bn in cash (a 56% premium to prior day’s trading price). The transaction valued 6/1/16 Demandware at an implied enterprise value of $2.7bn or 10.5x LTM revenue. Demandware provides enterprise-class commerce solutions that enable customers to develop and execute on complex digital commerce strategies.

Banking Software & Processors

Public Market Data

5 Year LTM Revenue & EBITDA Multiples[1] 5 Year M&A Banking Software Index[1] vs. S&P 500, base = 100

5.0x 20x 240

4.0x 16x 180

3.0x 12x 120 EV / EBITDA EV / Revenue

2.0x 8x 60 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

EV / LTM Revenue EV / LTM EBITDA M&A Banking Software Index S&P 500

Company Market Enterprise EV / Revenue EV / EBIT DA Revenue Growth EBITDA M ar gin (USD millions) Cap Value CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

FIS 26,165 36,640 5.6x 3.9x 21.7x 12.5x 3% 44% 26% 31% Fiserv 24,897 29,188 5.6x 5.3x 18.2x 15.1x 4% 6% 31% 35% Jack Henry & Associates 7,066 7,112 5.5x 5.1x 15.6x 14.8x 6% 7% 35% 35% Oracle Financial Services 4,704 4,295 7.1x 6.5x 17.0x 15.2x 5% 9% 42% 43% Temenos 4,445 4,734 8.7x 7.7x 40.0x 20.1x 16% 13% 22% 38% Ellie Mae 2,873 2,784 11.0x 8.1x 57.9x 27.4x 57% 35% 19% 30% ACI Worldw ide 2,288 2,970 2.8x 2.9x 17.0x 11.1x 3% (3%) 17% 26% Q2 Holdings 1,170 1,075 9.9x 7.3x nm nm 38% 36% na na Bottomline Technologies 804 824 2.5x 2.4x 19.2x 11.3x 4% 4% 13% 21% Polaris Consulting & Services 289 234 0.8x nm 6.7x nm 0% na 12% na Sw ord Group 250 208 1.4x 1.2x 9.3x 7.5x 18% 17% 15% 15% Microgen 161 160 3.8x 3.1x 15.1x 12.4x 7% 24% 25% 25% Gresham Computing 79 72 3.7x 3.2x 27.3x 14.4x 16% 15% 14% 22% Trim Mean 4,450 4,871 5.1x 4.7x 20.1x 14.1x 11% 16% 21% 29% Median 2,288 2,784 5.5x 4.5x 17.6x 14.4x 6% 14% 20% 30%

[1] Q2 Holdings (QTWO) added to the index as of IPO 3/20/14

Recent Activity

Date Acquirer(s) / Investor(s) Target / Issuer Description Announced

Deposit Solutions (Hamburg, Germany) raised €15mm in an equity funding round including participation from existing investors Peter Thiel, FinLab, and e.ventures; and 7/20/16 existing investors Greycroft Partners and Valar Ventures. The transaction was completed at a post-money valuation of €110mm.

DocuTech Corporation (Idaho Falls, ID) raised an undisclosed amount of funding from Serent Capital. DocuTech helps financial institutions create secure and compliant 7/7/16 documents that integrate with loan and bank databases. Serent executives cited DocuTech’s strong leadership and product mix as key factors in their investment.

Better Mortgage (Milpitas, CA) raised $30mm in a Series A funding round that included Goldman Sachs, Pine Brook Partners, KCK Group, and IA Ventures. Better 6/13/16 KCK Group Mortgage plans to use the funding to continue technology development and expand its Better.com platform to 15 additional states by the end of 2016.

Business Intelligence Software

Public Market Data

5 Year LTM Revenue & EBITDA Multiples[1] 5 Year M&A BI Index[1] vs. S&P 500, base = 100

10.0x 64x 190

56x 8.0x 160 48x

40x 6.0x 130 32x EV / EBITDA

EV / Revenue 24x 4.0x 100 16x

2.0x 8x 70 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

EV / LTM Revenue EV / LTM EBITDA M&A BI Index S&P 500

Company Market Enterprise EV / Revenue EV / EBIT DA Revenue Growth EBITDA M ar gin (USD millions) Cap Value CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

Splunk 8,298 7,275 10.9x 8.1x na nm 48% 34% na 9% Open Text 7,435 8,286 4.5x 4.2x 15.7x 12.1x (2%) 7% 29% 35% Tableau Softw are 4,224 3,390 5.2x 4.1x na 53.9x 58% 28% na 8% Qlik Technologies 2,866 2,484 4.1x 3.5x nm 29.5x 10% 17% 1% 12% Verint Systems 2,196 2,576 2.3x 2.3x 18.5x 9.1x 0% (1%) 12% 25% Microstrategy 2,015 1,465 2.8x 2.9x 9.9x 11.2x (9%) (4%) 28% 26% Talend 713 715 9.4x na na na 21% na na na Hortonw orks 660 535 4.4x 2.8x na na 165% 57% na na Trim Mean 3,242 2,984 5.1x 3.5x 15.7x 17.6x 23% 17% 20% 18% Median 2,531 2,530 4.5x 3.5x 15.7x 12.1x 16% 17% 20% 18%

[1] Tableau Software (DATA) added to the index as of IPO 5/17/13, Hortonworks (HDP) added to the index as of IPO 12/12/14

Recent Activity

Date Acquirer(s) / Investor(s) Target / Issuer Description Announced

Talend (Nasdaq: TLND) raised $94.5mm on its IPO implying a valuation of 8.8x LTM revenue. France-based Talend sells software that helps organizations organize their 7/29/16 IPO existing databases and information resources. It has more than 1,300 customers, including Air France, Citi, and General Electric.

Salesforce.com (NYSE:CRM) acquired EdgeSpring, an enterprise business intelligence and analytics startup, for an undisclosed sum. EdgeSpring had just come 6/7/16 out of stealth the prior month, raising $11mm in Series A funding from Kleiner Perkins Caufield & Byers and Lightspeed Ventures.

Maana (Palo Alto, CA) raised $26mm in a Series B round led by Aramco Energy Ventures. Maana offers an advanced analytics platform that operationalizes big data 5/3/16 insights into line-of-business applications. Existing investors GE Ventures, Chevron Technology Ventures, Intel Capital, and Frost Data Capital also participated in this round which brings the total funding to date to more than $40mm.

Capital Markets Software & Services

Public Market Data

5 Year LTM Revenue & EBITDA Multiples 5 Year M&A Capital Markets Index vs. S&P 500, base = 100

5.5x 22x 220

5.0x 20x 200

4.5x 180 18x 4.0x 160 16x 3.5x 140 14x EV / EBITDA

EV / Revenue 3.0x 120

2.5x 12x 100

2.0x 10x 80 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

EV / LTM Revenue EV / LTM EBITDA M&A Capital Markets Index S&P 500

Company Market Enterprise EV / Revenue EV / EBIT DA Revenue Growth EBITDA M ar gin (USD millions) Cap Value CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

Broadridge 8,237 8,531 3.0x 2.4x 14.4x 12.7x 7% 26% 21% 19% SS&C Technologies 6,602 9,108 9.1x 6.1x 27.6x 14.5x 30% 50% 33% 42% IHS Mar kit 6,466 7,145 6.4x 2.6x 18.2x 7.4x 5% 147% 35% 35% DST 4,144 4,480 2.2x 2.6x 11.1x 11.6x (1%) (15%) 20% 23% Computershare 3,785 5,088 2.6x 2.5x 8.5x 9.7x (3%) 3% 31% 26% SimCor p 2,106 2,040 6.6x 6.3x 24.8x 26.5x 15% 4% 26% 24% Envestnet 1,628 1,881 4.5x 3.2x 37.2x 18.5x 21% 38% 12% 17% IRESS 1,392 1,533 5.6x 5.0x 22.4x 16.3x 10% 11% 25% 31% Fidessa group 1,222 1,135 2.9x 2.6x 17.1x 9.9x 7% 11% 17% 27% First Derivatives 609 629 4.4x 3.7x 33.5x 18.7x 39% 19% 13% 20% Linedata Services 331 352 1.8x 1.8x 7.3x 6.7x 9% 2% 25% 27% Cinnober 112 102 2.9x 2.5x 45.1x 43.7x 10% 17% 6% 6% StatPro Group 84 97 2.4x 2.1x 18.7x 15.4x (6%) 14% 13% 14% Brady 74 65 1.8x 1.6x nm 11.1x (12%) 11% 0% 15% Lombard Risk Management 29 24 0.8x 0.6x 19.4x na 6% 25% 4% na Trim Mean 2,197 2,544 3.6x 3.0x 21.1x 14.4x 9% 18% 19% 23% Median 1,392 1,533 2.9x 2.6x 19.0x 13.6x 7% 14% 20% 23%

Recent Activity

Date Acquirer(s) / Investor(s) Target / Issuer Description Announced

KCG (NYSE:KCG) agreed to acquire Neonet for an undisclosed sum. Stockholm- based Neonet provides algorithmic trading, smart order routing and sales trading in 7/27/16 European equities. The acquisition comes as KCG seeks to expand its presence in Europe.

Unnamed investor, John OpenDoor Trading (Jersey City, NJ) raised $10mm in a funding round from an Brynjolfsson and unnamed investor, John Brynjolfsson, and municipal broker-dealer Hartfield, Titus & 7/13/16 Donnelly. The capital is expected to be used to further develop the platform which is due to be launched in the autumn.

TIAA (New York, NY) acquired MyVest for an undisclosed sum. MyVest provides customized wealth management services for financial institutions and will operate as a 6/30/16 subsidiary of TIAA that focuses on emerging technologies. TIAA has collaborated with MyVest since 2009 to help provide customized discretionary investment and tax management services for individuals.

Data & Analytics – Financial Services

Public Market Data

5 Year LTM Revenue & EBITDA Multiples 5 Year M&A Data & Analytics Financials Index vs. S&P 500, base = 100

8.0x 18x 280

7.0x 240 16x

6.0x 200 14x 5.0x 160 EV / EBITDA EV / Revenue 12x 4.0x 120

3.0x 10x 80 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

EV / LTM Revenue EV / LTM EBITDA M&A D&A Financial Index S&P 500

Company Market Enterprise EV / Revenue EV / EBIT DA Revenue Growth EBITDA M ar gin (USD millions) Cap Value CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

S&P Global 32,591 35,772 6.7x 6.4x 16.2x 14.7x 5% 5% 42% 44% Thomson Reuters 32,047 40,649 3.3x 3.6x 15.7x 12.9x (3%) (8%) 21% 28% Moody's 20,757 22,365 6.4x 6.3x 14.1x 14.2x 5% 2% 46% 45% Experian 18,072 21,161 4.5x 4.6x 12.0x 13.3x (3%) (2%) 38% 35% Equifax 16,041 18,932 7.1x 6.0x 20.7x 17.1x 9% 18% 34% 35% Verisk Analytics 14,602 16,660 8.1x 8.3x 17.6x 16.3x 18% (3%) 46% 51% MSCI 8,336 9,512 8.8x 8.3x 19.7x 17.1x 8% 7% 45% 48% FactSet Research Systems 7,083 7,172 6.9x 6.2x 19.3x 17.5x 10% 12% 36% 36% CoStar Group 6,746 6,617 9.3x 7.9x nm 26.6x 24% 18% 13% 30% Dun & Bradstreet 4,731 6,100 3.7x 3.5x 14.2x 12.2x 3% 5% 26% 29% FICO 4,092 4,575 5.4x 5.2x 23.5x 21.1x 7% 4% 23% 25% Morningstar 3,662 3,491 4.4x 4.4x 13.7x 13.6x 4% 1% 32% 32% CoreLogic 3,624 5,104 3.3x 2.7x 15.8x 10.4x 9% 25% 21% 26% Trim Mean 12,379 13,997 6.0x 5.7x 16.7x 15.5x 7% 6% 33% 35% Median 8,336 9,512 6.4x 6.0x 16.0x 14.7x 7% 5% 34% 35%

Recent Activity

Date Acquirer(s) / Investor(s) Target / Issuer Description Announced

Moody’s (NYSE:MCO) acquired the remaining 49% stake in Korea Investors Service 7/18/16 from NICE Infra for KRW 54bn (~$47.5mm), implying an enterprise value of $97mm. Korea Investors Service is a leading provider of domestic credit ratings in Korea.

Markets Media (New York, NY) agreed to acquire Traders Magazine from SourceMedia for an undisclosed sum. Traders Magazine provides a digital information 7/5/16 and news service targeted towards institutional markets. The combined entity will have a reported audience of 135,000, comprised of 120,000 digital readers and 15,000 print readers. Hale Global (Cambridge, MA), a private equity firm, agreed to acquire Market News International (“MNI”) from Deutsche Boerse for an undisclosed sum. MNI is a leading 7/5/16 provider of macroeconomic and markets intelligence for global fixed income and FX market professionals. In 2015, MNI contributed less than 1% to Deutsche Boerse Group’s net revenue.

Healthcare Information Software Systems

Public Market Data

5 Year LTM Revenue & EBITDA Multiples[1] 5 Year M&A HISS Index[1] vs. S&P 500, base = 100

7.0x 35x 200

6.0x 30x

150 5.0x 25x

4.0x 20x 100 EV / EBITDA EV / Revenue 3.0x 15x

2.0x 10x 50 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

EV / LTM Revenue EV / LTM EBITDA M&A HISS Index S&P 500

Company Market Enterprise EV / Revenue EV / EBIT DA Revenue Growth EBITDA M ar gin (USD millions) Cap Value CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

Cerner 21,464 21,418 4.9x 4.3x 17.8x 13.2x 31% 13% 28% 33% Veeva Systems 5,535 5,078 12.4x 9.8x 57.3x 36.6x 31% 26% 22% 27% athenahealth 5,018 5,179 5.6x 4.7x nm 22.0x 23% 19% 7% 21% Medidata 3,009 2,947 7.5x 6.4x nm 28.0x 17% 18% 10% 23% Inovalon 2,843 2,374 5.4x 5.0x 16.9x 17.5x 21% 8% 32% 29% Allscripts 2,638 4,120 3.0x 2.6x 36.6x 13.9x 1% 13% 8% 19% CompuGroup Medical 2,162 2,522 4.1x 4.0x 24.5x 17.5x 5% 4% 17% 23% HealthEquity 1,753 1,620 12.8x 9.2x 46.6x 27.2x 44% 39% 27% 34% The Advisory Board 1,694 2,245 2.9x 2.7x 21.9x 11.7x 34% 7% 13% 23% Benefitfocus 1,267 1,274 6.9x 5.4x nm na 35% 27% na na NantHeatlh 1,219 1,102 18.9x 7.1x nm na 72% 165% na na na Quality Systems 751 813 1.6x 1.6x 14.3x 8.9x 3% 2% 12% 18% Computer Programs & Systems 530 681 3.7x 2.5x 20.5x 15.0x (11%) 50% 18% 17% Imprivata 484 437 3.7x 3.2x nm na 23% 16% na na Trim Mean 2,368 2,496 6.1x 4.8x 26.4x 18.4x 22% 20% 17% 24% [1Median] Benefitfocus added to the index as 1,958of IPO 9/18/13,2,309 Veeva added5.2x on 10/16/13,4.5x and Imprivata21.9x added17.5x on 6/24/1423% 17% 17% 23%

Recent Activity

Date Acquirer(s) / Investor(s) Target / Issuer Description Announced Cambia Health Solutions (Portland, OR) made an undisclosed strategic investment in MDSave. Founded in 2011, MDSave is the first online healthcare marketplace that 7/23/16 brings together patients and providers. The company leverages technology to simplify the billing process through negotiated rates, bundled pricing and up front payments. Before Cambia, MDSave had raised over $15mm, largely from MTS Health Investors. TELUS Health (Montreal, Canada), a subsidiary of TELUS (TSX:T), agreed to acquire the Canadian business of Nightingale Informatix, for approximately $11.3mm. The 7/14/16 acquisition includes Nightingale’s electronic medical record (EMR) software solutions and related assets that are currently used by 4,000 physicians in Canada. Nightingale sold its practice management business to Pulse Systems in October 2015.

Thoma Bravo agreed to acquire Imprivata for approximately $544mm, representing $19.25 in cash per share of Imprivata common stock (33% premium to prior closing 7/13/16 price). Imprivata provides information technology security and identity solutions to the healthcare industry. Imprivata went public in June 2014 with shares priced at $15.00.

Information & Market Research

Public Market Data

5 Year LTM Revenue & EBITDA Multiples 5 Year M&A Info & Mkt Research Index vs. S&P 500, base = 100

4.0x 20x 180

18x 160 3.5x

16x 140 3.0x 14x 120 EV / EBITDA EV / Revenue 2.5x 12x 100

2.0x 10x 80 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

EV / LTM Revenue EV / LTM EBITDA M&A Info & Mkt Research Index S&P 500

Company Market Enterprise EV / Revenue EV / EBIT DA Revenue Growth EBITDA M ar gin (USD millions) Cap Value CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

Reed Elsevier (RELX Group) 38,642 43,585 5.5x 4.9x 18.4x 13.8x 3% 12% 30% 35% Nielsen 19,563 27,436 4.4x 4.3x 18.3x 13.9x (2%) 3% 24% 31% Wolters Kluw er 12,497 14,564 3.1x 3.0x 11.7x 11.6x 15% 2% 26% 26% Pearson 9,528 10,109 1.7x 1.7x 10.8x 10.2x (2%) (0%) 16% 17% Gartner 8,367 8,870 4.1x 3.6x 25.1x 18.9x 7% 13% 16% 19% Informa 6,180 7,587 4.7x 4.3x 15.3x 13.3x 7% 9% 31% 32% UBM 3,956 4,018 3.9x 3.7x 15.2x 13.1x 40% 6% 26% 28% Euromoney Institutional Investor 1,706 1,657 3.1x 3.2x 7.6x 11.9x (1%) (2%) 41% 27% comScore 1,023 909 2.5x 1.8x 24.5x 7.4x 12% 41% 10% 24% Forrester Research 743 623 2.0x 1.9x 19.3x 16.3x 1% 5% 10% 12% Trim Mean 7,853 9,394 3.5x 3.2x 16.7x 13.0x 5% 6% 22% 26% Median 7,274 8,228 3.5x 3.4x 16.8x 13.2x 5% 5% 25% 26% Max imum 38,642 43,585 5.5x 4.9x 25.1x 18.9x 40% 41% 41% 35%

Recent Activity

Date Acquirer(s) / Investor(s) Target / Issuer Description Announced

Verisk Analytics (NasdaqGS:VRSK) agreed to acquire Greentech Media for an undisclosed sum. Greentech Media, which provides customers with data in solar 7/19/16 power, energy storage and smart grids, will become part of the Wood Mackenzie unit, which Verisk Analytics acquired in March 2015 for $2.8bn.

Onex Corporation (TSX:OCX) and Baring Private Equity Asia agreed to acquire Thomson Reuters’ Intellectual Property & Science business for $3.55bn in cash. 7/11/16 The business provides intellectual property and scientific information and decision Intellectual Property & support tools and includes Web of Science, Thomson CompuMark, Thomson Science Business Innovation, MarkMonitor, Thomson Reuters Cortellis and Thomson IP Manager. WPP (LSE:WPP) acquired Conexance for an undisclosed sum. Conexance is a French provider of data on consumer behavior that uses a database of information 7/7/16 from households and more than 500 contributing retailers to identify consumer behavior and attributes that are designed to be predictors of future purchases. The company had sales of €5.9mm ($6.5 mm) in 2015 and about 40 employees.

Insurance Technology

Public Market Data

5 Year LTM Revenue & EBITDA Multiples[1] 5 Year M&A Insurance Tech Index[1] vs. S&P 500, base = 100

4.0x 25x 230

200 3.0x 20x

170 2.0x 15x 140 EV / EBITDA EV / Revenue 1.0x 10x 110

0.0x 5x 80 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

EV / LTM Revenue EV / LTM EBITDA M&A Insurance Tech Index S&P 500

Company Market Enterprise EV / Revenue EV / EBIT DA Revenue Growth EBITDA M ar gin (USD millions) Cap Value CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

Guidew ire Softw are 4,444 3,865 9.8x 8.9x nm 46.2x 7% 9% 5% 19% Ebix 1,776 1,932 7.3x 6.9x 19.8x 17.6x 24% 6% 37% 39% CorVel 893 857 1.7x nm 13.4x nm 1% na 13% na Sapiens 636 548 3.0x 2.6x 19.2x 16.1x 18% 13% 15% 16% msg life 105 78 0.6x 0.6x 8.0x 6.3x 6% 1% 8% 10% Connecture 56 104 1.1x 1.0x 18.1x 8.5x 13% 9% 6% 12% Trim Mean 853 860 3.3x 3.5x 16.9x 14.1x 11% 8% 10% 16% Median 764 703 2.3x 2.6x 18.1x 16.1x 10% 9% 10% 16%

[1] Connecture added to the index as of IPO 12/12/14

Recent Activity

Date Acquirer(s) / Investor(s) Target / Issuer Description Announced

LexisNexis Risk Solutions (Alpharetta, GA), part of RELX Group (LSE:REL), acquired Insurance Initiatives Ltd. (IIL) for an undisclosed sum. IIL provides a data distribution 7/20/16 platform for Property & Casualty insurers in the UK, to help process and deliver information at the “point-of-quote”.

Solera (Westlake, TX) agreed to acquire Enservio from Bain Capital Ventures, Matrix Partners, and others. Enservio is the largest US-based provider of SaaS software to 7/19/16 the property contents insurance sector. This is Solera’s first acquisition since being taken private by Vista Equity Partners in a deal announced in September 2015.

EXL (Nasdaq:EXLS) acquired LISS Systems for an undisclosed sum. LISS provides 7/6/16 the insurance industry with digital customer acquisition and policy administration solutions.

Payment Technology

Public Market Data

5 Year LTM Revenue & EBITDA Multiples[1] 5 Year M&A Payment Tech Index[1] vs. S&P 500, base = 100

4.5x 18x 250

4.0x 16x 225

200 3.5x 14x 175 3.0x 12x 150 2.5x 10x EV / EBITDA

EV / Revenue 125

2.0x 8x 100

1.5x 6x 75 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

EV / LTM Revenue EV / LTM EBITDA M&A Payment Tech Index S&P 500

Company Market Enterprise EV / Revenue EV / EBIT DA Revenue Growth EBITDA M ar gin (USD millions) Cap Value CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

Pay Pal 45,247 40,290 4.4x 3.7x 20.7x 14.6x 15% 17% 21% 26% FleetCor Technologies 14,341 16,589 9.7x 9.2x 19.6x 17.2x 42% 6% 50% 53% Vantiv 10,804 13,952 8.4x 7.4x 19.6x 15.5x 19% 12% 43% 48% Global Payments 10,523 14,503 5.1x 5.4x 23.6x 16.8x 6% (5%) 22% 32% Western Union 9,860 11,907 2.2x 2.2x 8.6x 8.9x (2%) (1%) 25% 24% Total System Services 9,400 12,490 4.5x 3.0x 18.7x 12.4x 14% 52% 24% 24% Wirecard 5,753 4,970 5.6x 4.4x 20.6x 14.7x 28% 25% 27% 30% Euronet Worldw ide 4,101 4,047 2.3x 2.1x 14.7x 11.5x 6% 11% 16% 18% WEX 3,640 4,593 5.4x 4.6x 15.4x 12.6x 27% 16% 35% 37% Blackhaw k Netw ork Holdings 1,953 2,222 1.2x 1.1x 13.8x 10.6x 25% 11% 9% 11% EV ERTEC 1,290 1,902 5.1x 4.9x 12.8x 10.2x 3% 3% 40% 48% PayPoint 865 759 2.7x 2.8x 10.8x 10.1x (1%) (3%) 26% 28% Cass Information Systems 587 313 2.6x nm 8.9x nm 2% na 29% na SafeCharge 467 352 3.5x 3.1x 12.4x 9.5x 30% 15% 29% 32% Moneygram International 459 1,434 1.0x 0.9x 8.7x 5.3x (1%) 7% 12% 17%

Trim Mean 5,660 6,901 4.1x 3.7x 15.1x 12.3x 13% 10% 27% 30% Median 4,101 4,593 4.4x 3.4x 14.7x 11.9x 14% 11% 26% 29%

[1] SafeCharge (SCH) added to the index as of IPO 4/1/14. PayPal (PYPL) added to the index as of IPO 7/20/15

Recent Activity

Date Acquirer(s) / Investor(s) Target / Issuer Description Announced

MasterCard Incorporated (NYSE:MA) agreed to acquire 92.4% of VocaLink for 7/25/16 approx. $920mm (700 mm GBP). VocaLink is a global payments partner to banks, corporates and governments that designs, builds and operates world-class payment systems.

Blackboard Inc. (Washington, D.C.) agreed to acquire Higher One Holdings for $260mm, valuing the company at an implied 1.7x LTM revenue. Higher One provides 6/30/16 technology-based payment processing and refund disbursement services to higher education institutions and their students in the United States.

Wirecard AG (XTRA:WDI) agreed to acquire Citi’s Institutional Prepaid Card Services. 6/29/16 Citi Prepaid Card Services have launched over 2,500 client programs, associated with top companies and brands across the world, primarily in North America. Prepaid Card Services

Securities Exchanges

Public Market Data

5 Year LTM Revenue & EBITDA Multiples 5 Year M&A Sec Exchanges Index vs. S&P 500, base = 100

20.0x 18x 200

16.0x 15x 170

12.0x 12x 140 EV / EBITDA EV / Revenue 8.0x 9x 110

4.0x 6x 80 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

EV / LTM Revenue EV / LTM EBITDA M&A Sec Exchanges Index S&P 500

Company Market Enterprise EV / Revenue EV / EBIT DA Revenue Growth EBITDA M ar gin (USD millions) Cap Value CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

CME Group 34,629 35,619 10.7x 10.0x 16.0x 14.4x 7% 7% 67% 69% IntercontinentalExchange (ICE) 31,704 38,043 11.4x 8.4x 17.9x 13.6x 8% 36% 64% 62% Hong Kong Exchange 29,947 28,619 17.3x 19.1x 24.2x 27.4x 31% (10%) 71% 70% Deutsche Börse Group 15,683 16,995 5.5x 6.1x 13.5x 11.2x 16% (10%) 41% 54% London Stock Exchange (LSE) 12,944 14,445 6.7x 7.2x 18.1x 14.4x 28% (8%) 37% 50% The Nasdaq OMX Group 11,902 15,034 7.9x 6.6x 13.7x 13.0x 13% 21% 58% 50% BM&F Bovespa 10,528 9,503 14.0x 13.0x 21.4x 19.5x 9% 7% 65% 67% Australian Exchange (ASX) 7,267 6,479 12.0x 11.5x 15.0x 15.0x 9% 4% 80% 77% Singapore Exchange (SGX) 6,030 5,377 8.7x 8.9x 16.1x 15.6x 18% (3%) 54% 57% CBOE 5,596 5,557 8.8x 8.5x 15.2x 15.3x 3% 3% 58% 56% TMX Group 2,419 3,066 5.3x 5.5x 10.5x 11.5x (4%) (4%) 50% 48% Trim Mean 14,622 15,292 9.5x 8.9x 16.3x 14.7x 12% 2% 59% 59% Median 11,902 14,445 8.8x 8.5x 16.0x 14.4x 9% 3% 58% 57%

Recent Activity

Date Acquirer(s) / Investor(s) Target / Issuer Description Announced

BM&FBovespa (BOVESPA:BVMF3) acquired a 10% stake in Bolsa de Valores de 7/7/16 Colombia for MXN 39.8bn (~$2.1bn). BM&FBovespa will remain on the lookout for other acquisition opportunities that would allow it to expand its core business.

Artisan Partners (Milwaukee, WI) acquired a 3.03% stake in Deutsche Boerse AG for 6/22/16 an undisclosed sum. Deutsche Börse is in the midst of combining with London Stock Exchange, whose shareholders will vote on the proposed $30bn merger next month.

Erste Bank (WBAG:EBS) acquired a 2.3% stake in the Budapest Stock Exchange from the local arm of ING Bank for an undisclosed sum. Erste's move came amidst 4/13/16 the Hungarian government’s plans to buy a 15% stake in Erste's Hungarian unit; the government regards state ownership a key to bank-sector and economic stability.

Security Software

Public Market Data

5 Year LTM Revenue & EBITDA Multiples 5 Year M&A Security Index vs. S&P 500, base = 100

9.0x 50x 260

8.0x 45x 220 40x 7.0x 35x 180 6.0x 30x 140 5.0x EV / EBITDA

EV / Revenue 25x 100 4.0x 20x

3.0x 15x 60 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

EV / LTM Revenue EV / LTM EBITDA M&A Security Index S&P 500

Company Market Enterprise EV / Revenue EV / EBIT DA Revenue Growth EBITDA M ar gin (USD millions) Cap Value CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

Check Point Softw are 13,440 12,113 7.4x 7.4x 14.9x 14.9x 9% 9% 50% 50% Symantec 12,667 9,753 1.6x 2.5x 5.0x 7.6x 32% (37%) 32% 33% Palo Alto Netw orks 11,492 10,907 9.5x 6.9x na 31.7x 56% 38% na 22% F5 Netw orks 8,298 7,487 3.8x 3.7x 12.6x 9.6x 9% 4% 31% 39% Fortinet 5,969 4,985 4.9x 3.9x nm 21.5x 31% 27% 6% 18% Proofpoint 3,157 3,101 11.7x 8.5x na nm 36% 37% na 7% Fir eEy e 2,823 2,628 4.2x 3.3x na na 46% 27% na na CyberArk 2,018 1,781 11.1x 8.4x 50.8x 37.2x 56% 31% 22% 23% Imperva 1,516 1,260 5.4x 4.5x na na 43% 19% na na AVG Technologies 1,273 1,395 3.3x 3.2x 10.7x 8.5x 14% 3% 30% 37% Barracuda Netw orks 1,167 1,005 3.3x 2.9x nm 16.2x 16% 11% 1% 18% VASCO Data Security 665 529 2.2x 2.5x 9.7x 15.9x 20% (13%) 23% 16% mimec as t 636 533 3.9x 3.3x 38.8x nm na 20% 10% 3% Axw ay Softw are 570 563 1.8x 1.6x 10.6x 10.0x 9% 9% 17% 16% Radw are 541 319 1.5x 1.5x 10.4x 16.0x (2%) (5%) 14% 10% Absolute Softw are 244 212 2.3x 2.4x 12.6x 20.5x (1%) (3%) 18% 12% Zix 220 200 3.6x 3.3x 19.8x 12.4x 9% 10% 18% 27%

Trim Mean 3,536 3,097 4.6x 4.0x 15.6x 16.1x 23% 12% 20% 21% Median 1,516 1,395 n 3.8x 3.3x 12.6x 15.9x 18% 10% 18% 18%

Recent Activity

Date Announced Acquirer(s) / Investor(s) Target / Issuer Description

StackPath (Boston, Massachusetts) raised $180mm in a Series A funding round led by ABRY Partners. The company emerged from stealth announcing four significant 7/25/16 acquisitions (MaxCDN, Fireblade, Cloak and Staminus) to launch a security-as-a- service platform.

AVG Technologies N.V. (NYSE:AVG) agreed to acquire AVAST for $1.5bn, valuing the company at an implied 3.4x LTM revenue and 11.3x LTM EBITDA. The 7/7/16 combination of the two antivirus software firms will give Avast access to 250mm PC and Mac users, and 160mm mobile users.

Darktrace (Cambridge, UK) raised $65mm in a VC round led by KKR. Darktrace helps enterprises identify new, emerging threats within computer networks in real-time. 7/6/16 Founded in 2013, Darktrace has grown rapidly to 300 employees and has achieved over 600% revenue growth in its latest financial year.

Technology-Enabled Financial Institutions

Public Market Data

5 Year LTM Revenue & EBT Multiples 5 Year M&A Fintech Sector Index vs. S&P 500, base = 100

5.0x 22x 220

4.0x 18x 180

3.0x 14x 140 EV / EBITDA EV / Revenue 2.0x 10x 100

1.0x 6x 60 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

Market Cap / LTM Revenue Market Cap / LTM EBT M&A Tech-enabled Fin Institutions Index S&P 500

Company Market Market Cap / Revenue Market Cap / EBT Revenue Growth EBT Margin (USD millions) Cap CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

Charles Schw ab 37,884 6.0x 5.1x 17.2x nm 10% 5% 35% 35% TD Ameritrade 16,121 5.0x 4.8x 12.6x 10.4x 11% 1% 41% 40% E*TRA DE 6,972 3.8x 3.7x 11.6x nm 12% 4% 29% 33% MarketAxess 6,102 20.1x 16.5x 41.3x 29.7x 10% 16% 45% 49% IG Group 4,368 7.5x 6.8x 18.4x 14.5x 2% 4% 47% 41% BGC Partners 3,878 1.5x 1.4x nm 8.0x 3% 43% na na ICA P 3,838 nm 2.4x nm 11.6x (10%) na 13% na Interactive Brokers Group 2,316 1.7x 1.5x 3.9x 2.2x 5% 13% 42% 43% LendingClub 1,813 4.2x 3.7x nm 32.6x 115% 104% na na Tullett Prebon 1,121 1.1x 1.0x 9.0x 5.7x (13%) 13% 13% 12% Monex Group 714 1.4x 1.5x 10.1x nm (15%) 16% 12% 14% Investment Technology Group 554 0.9x 1.2x 4.6x nm 6% 14% 12% 19% FXCM 488 2.3x 2.3x 11.7x 10.2x (4%) (37%) 6% 19% On Deck Capital 366 2.0x 1.3x nm nm 141% 99% na na BinckBank 350 1.6x 2.1x 8.0x nm (6%) 1% 19% 20% GAIN Capital 329 0.8x 0.8x 8.0x 3.6x 34% 17% 15% 10% Trim Mean 3,500 3.0x 2.8x 11.1x 11.7x 12% 19% 25% 28% Median 2,064 2.0x 2.2x 10.9x 10.3x 5% 13% 19% 27%

Recent Activity

Date Acquirer(s) / Investor(s) Target / Issuer Description Announced KCG (NYSE:KCG) agreed to acquire Neonet for an undisclosed sum. Stockholm- based Neonet provides algorithmic trading, smart order routing and sales trading in 7/27/16 European equities. The acquisition comes as KCG seeks to expand its presence in Europe.

ETrade Financial (NASDAQ:ETFC) agreed to acquire Aperture New Holdings, parent company of OptionsHouse for $725mm. OptionsHouse is an online stock and option 7/25/16 brokerage based in Chicago, Illinois. The deal is expected to boost ETrade’s derivatives capabilities, and will be accretive to earnings by 2018.

Societe Generale Group (ENXTPA:GLE) acquired a stake in the share capital of 7/22/16 TagPay, a French FinTech specialised in mobile digital banking. TagPay enables mobile security, payments, and other key banking needs.

Technology-Enabled Healthcare Services

Public Market Data

5 Year LTM Revenue & EBITDA Multiples[1] 5 Year M&A Tech-Enabled HCS Sector Index[1] vs. S&P 500, base = 100

5.0x 20x 180

4.0x 16x 140

3.0x

12x 100 EV / EBITDA EV / Revenue 2.0x

1.0x 8x 60 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16 Aug-11 Aug-12 Aug-13 Aug-14 Aug-15 Aug-16

EV / LTM Revenue EV / LTM EBITDA M&A Tech-Enabled HCS Index S&P 500

Company Market Enterprise EV / Revenue EV / EBIT DA Revenue Growth EBITDA M ar gin (USD millions) Cap Value CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E CY2015A CY2016E

McKesson 44,360 49,393 0.3x 0.2x 11.5x 9.6x 10% 6% 2% 3% WebMD 3,169 3,194 5.0x 4.5x 21.8x 14.0x 10% 11% 23% 32% Cotiviti 2,177 3,190 5.9x 5.3x 15.9x 14.1x 23% 11% 37% 38% Press Ganey 2,134 2,270 7.1x 6.2x nm 16.0x 13% 15% 9% 39% HMS Holdings 1,680 1,690 3.6x 3.4x 18.7x 13.8x 7% 5% 19% 25% Evolent Health 1,415 1,512 15.6x 6.6x nm n/a na 137% na n/a Emis 839 855 4.2x 3.9x 16.1x 12.6x 13% 7% 26% 31% HealthStream 777 638 3.1x 2.8x 25.2x 17.7x 22% 9% 12% 16% MINDBODY 698 625 6.2x 4.5x nm n/a 45% 36% na n/a Teladoc 675 594 7.7x 4.9x nm n/a 78% 58% na n/a Healthw ays 608 836 1.1x 1.3x 25.3x 9.8x 4% (15%) 4% 13% Vocera Communication 394 276 2.6x 2.3x nm n/a 9% 15% na 2% Castlight Health 372 246 3.3x 2.4x nm n/a 65% 34% na n/a Everyday Health 272 358 1.5x 1.4x 14.8x 7.9x 26% 11% 10% 18% Accretive Health 198 139 1.2x 0.7x nm n/a (44%) 79% na n/a Cranew are 171 126 2.7x 2.4x 8.9x 7.5x 8% 15% 30% 31%

Trim Mean 1,343 1,397 3.9x 3.3x 17.7x 12.2x 19% 22% 19% 24% Median 777 836 3.4x 3.1x 16.1x 13.2x 13% 13% 19% 28%

Recent Activity

Date Acquirer(s) / Investor(s) Target / Issuer Description Announced Royal Philips (NYSE:PHG) agreed to acquire Wellcentive for an undisclosed sum. Wellcentive provides population health management solutions in the U.S. and will 7/20/16 complement Philips existing telehealth, home monitoring, personal emergency response and health services capabilities. Wellcentive was backed by Noro-Moseley Partners, Summit Partners and Harbert Venture Partners. Evolent Health (NYSE:EVH) agreed to acquire Valence Health for approximately $145mm. The purchase price consists of 5.84mm shares of Evolent Class A common 7/13/16 stock, $35mm in cash and an earn out up to $50mm. Founded in 1996, Valence, provides value-based administration, population health and advisory services. Valence was backed by North Bridge Growth Equity, GE Ventures and others. Teledoc (NYSE:TDOC) received a $25mm term loan and entered into a $25mm revolving line of credit with Silicon Valley Bank. Teledoc, with over 6,000 clients, is the 7/11/16 first and largest telehealth platform in the U.S. Before going public in July 2015, Teledoc was backed by Trident Capital, Cardinal Partners, HLM Venture Partners, New Capital, KPCB and others.

MERGER AND ACQUISITION TRANSACTIONS

Software and Services Transaction Activity 400 25.0

350 20.0 300

250 15.0

200

10.0 150 Aggregate ($bn)Value

Number of Transactions 100 5.0 50

0 0.0 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2014 2015 2016 Number of Transactions Aggregate Value

Software and Services Transaction Multiples

18x 3.5x

16x 3x

14x 2.5x 12x

10x 2x

8x 1.5x EV / EBITDA EV / Revenue EV 6x 1x 4x

0.5x 2x

0x 0x Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2014 2015 2016

EV / EBITDA EV / Revenue

CLIENTS CHOOSE M&A TO ADVISE THEM ON THEIR IMPORTANT STRATEGIC MOVES

We chose the Marlin team because they best understood our business and its fit in the overall market. Their consultative, strategic, hands-on approach guided us through a complex process and helped us avoid mistakes we undoubtedly would have made without their guidance and experience.”

Perry Harris President, Varden Technologies

San Mateo, CA Brentwood, TN New York, NY Boston, MA Campbell, CA

received a strategic has been acquired by has been acquired by has been acquired by investment from received an investment from

a portfolio company of Palo Alto, CA Windsor, CT Tokyo, Japan Marlin & Associates acted as Marlin & Associates acted as Marlin & Associates acted as exclusive Marlin & Associates acted as exclusive Marlin & Associates acted as exclusive exclusive strategic and financial strategic and financial advisor to strategic and financial advisor strategic and financial advisor strategic and financial advisor advisor to Xignite. Agilum Healthcare Intelligence. to Alacra, Inc. to Trunomi. to Varden Technologies Inc.

New York, NY

has invested in

Dublin, Ireland

Marlin & Associates acted as strategic and financial advisor to Aquiline Capital Partners.

Note: Not a complete list 19 AUGUST 2016

PEER AND INDUSTRY GROUP RECOGNITION

“We are always grateful to be recognized for our hard work, but we are more pleased that we are able to help our clients achieve the results that they seek.”

Ken Marlin Founder and Managing Partner

Boutique Investment Banking Firm of the Year (2014, 2015, 2016) - The M&A Advisor

M&A Award USA TMT Advisory Firm of the Year (2012, 2015) – Acquisition International

The M&A Advisor and The M&A Forum have recognized Marlin & Associates for excellence in multiple deal categories including:

• Boutique Investment Banking Firm of the Year (2014, 2015, 2016)* • Middle Market International Professional Services (B-to-B) Deal of the Year (2013) TMT Advisory Firm of the Year (2015) • Financial Services Deal of the Year (2013, 2012 and 2011) • Information Technology Deal of the Year (2011) Boutique Investment • Middle Market Deal of the Year <$25M (2011) Banking Firm of the • Corporate and Strategic Acquisition of the Year (2011) Year • Middle Market Financial Services Deal of the Year (2011 and 2010) (2015) • Middle Market Information Technology Deal of the Year (2011 and 2010) • Middle Market International Financial Services Deal of the Year (2013 and 2010) – ACQ5 • Middle Market International Information Technology Deal of the Year (2010) (Acquisition Finance • Middle Market Financial Services Turnaround Deal of the Year (2009) Magazine) • Middle Market Information Technology Turnaround Deal of the Year (2009) • Middle Market International Deal of the Year(2008) • Middle Market Financial Services Deal of the Year (2008) • Middle Market Technology Deal of the Year (2008) • Middle Market Investment Banking Firm of the Year (2008 and 2007)* • Middle Market International/Cross Border Deal of the Year (2007, Below $100M) • Middle Market Financial Services Deal of the Year (2007, Below $100M) • Middle Market Financing Agent of the Year – Equity (2007)* • Middle Market Computer and Information Technology Deal of the Year (2007) • Middle Market Financing Deal of the Year - Equity (2007) • Middle Market Financing - Financial Services Deal of the Year (2007)

The Global M&A Network has recognized Marlin & Associates for excellence in multiple deal categories through its M&A Atlas Awards:

• Financial Technology Deal of the Year (2012, 2011) • North America Small Mid Markets Corporate Deal of the Year (2013) • Corporate M&A Deal of the Year (2010) • Technologies Deal of the Year (2010) * Firm-wide Awards AUGUST 2016 MARLIN AND ASSOCIATES: WHO WE ARE

OUR SENIOR TEAM BRINGS EXTENSIVE DEPTH, BREADTH AND INDUSTRY EXPERTISE TO OUR CLIENTS

Founder and Managing Partner of M&A Chief Operating Officer of M&A • Twice named to II’s Tech 50 • 20+ years of M&A experience advising • Member Market Data Hall of Fame technology and PE firms, globally • MD Veronis Suhler Stevenson • VP Business Development at FactSet • CEO of Telesphere Corporation • M&A attorney of Skadden, Arps, Slate, • CEO of Telekurs (NA) Meagher and Flom • EVP Bridge Information systems • CFO of JCF Group • SVP at Dun & Bradstreet • MBA from Columbia Business School • BA from the University of California (Irvine) • J.D. from Fordham Law School • MBA from UCLA, post-MBA from New Ken Marlin • CFA Charterholder York University Jason Panzer

• 18+ years of investment banking and • 20+ years of investment banking private equity experience experience • Named twice to Dealer’s Digest and • Experience working with both large recently M&A Advisor’s “40-Under-40” corporations and entrepreneurial • Founded Marlin & Associates with Ken technology-based companies Marlin • Formerly at Robertson Stephens and • Formerly at Veronis Suhler Stevenson, PaineWebber (UBS) Morgan Stanley, and American • BS, Finance from Pennsylvania State International Group University • BS from Binghamton University Michael Maxworthy Paul Friday

Paul Friday

• 12+ years of M&A experience • 15+ years of corporate finance • VP of Business Development at SunGard experience • Founder of software company sold to • Thought leader in Fintech SunGard • 8+ years in investment banking at UBS • Started career designing trading software and Deutsche Bank for TD Bank • BS from Union College • BaSC, Engineering from University of • MBA from University of Virginia’s Darden Toronto School of Business • Named to Deal’s Digest “40-Under-40” Tom Selby Jonathan Kaufman

• 10+ years on Wall Street • 25+ years of investment banking/ • Winner of M&A Advisor’s 2016 Emerging strategic consulting Leaders Award • Co-founder of MarketResearch.com • Previously with Scotia Capital and J.P. • Advisor at Dun & Bradstreet, R.R. Morgan • Donnelly & Sons, and BDM • BS from Villanova University • Executive positions in Washington • CFA Charterholder • Post’s Legislate subsidiary and Thomson Finacials’ legal research business • National Defense Education Fellow at New York University’s Graduate Jeffrey Trongone School of Public Administration George Beckerman

Note: Not a complete list 21 New York | San Francisco | Washington, D.C. | Toronto