EUROPEAN TECHNOLOGY

INDUSTRY UPDATE │ OCTOBER 2015

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0 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

RECENT DEVELOPMENTS CONTENTS COMPANY SPECIFIC NEWS . RECENT DEVELOPMENTS . Dell has agreed to acquire all outstanding shares of EMC, the US-based . PUBLIC MARKET TRADING provider of information storage systems, software, networks and services, . SOFTWARE valuing the business $63.3bn . IT SERVICES . Euskaltel has agreed to acquire R Cable Y Telecomunicaciones Galicia, the . COMMUNICATIONS Spain-based provider of telephony, broadband/Internet, and multi-channel . INTERNET AND DIGITAL MEDIA thematic television solutions, from CVC Capital Partners, valuing the business at €1.2bn TMT GROUP OVERVIEW Carlyle Europe has agreed to acquire a 51% stake in PA Consulting Group, the . Our Technology, Media & UK-based provider of management and IT consulting, technology and Telecom (TMT) Group is innovation services, valuing the business at c.$1.0bn dedicated to providing superior merger & acquisition . Capita has reached an agreement to acquire Xchanging, the UK-based and capital markets advisory provider of outsourcing and back office services for human resources services to market leading management, procurement, accounting and settlement and customer companies. Our extensive administration, valuing the business at £453m industry knowledge and transaction leadership . comScore has signed a definitive agreement to acquire Rentrak, the US-based experience spans the software, provider of content measurement and analytical services to the entertainment digital media, IT services and industry, in a stock for stock merger transaction, valuing the business at $754m communications sectors. Our professionals in London, Boston . Entertainment One has agreed to acquire a 70% stake in Astley Baker Davies, and San Francisco have global the UK-based company engaged in the production and creation of Peppa Pig relationships with leading the pre-school animation series, valuing the business at £200m technology companies and financial investors. Thoughtful . ProSiebenSat.1 Media has agreed to acquire eTRAVELi, the Sweden-based advice, deep experience and online travel agent, from Segulah, valuing the business at €235m technology expertise, creativity and attention to detail from . Ingram Micro has entered into definitive agreement to acquire Docdata our senior technology bankers Nederland and DOCdata International, the provider of eCommerce solutions for have resulted in a track record order fulfilment, returns logistics and online payment service, from DOCDATA, of consistently exceeding our valuing the business at €155m clients' expectations. . PAI Partners has acquired a 40% stake in Grupo Konecta, the Spain-based CONTACTS provider of outsourcing services and solutions, from Banco Santander, for c.€130m EUROPE . Rapid7 has acquired Logentries, the Ireland-based provider of machine data Thierry Monjauze search technology, valuing the business at $68m Managing Director [email protected] . Capita has acquired Electranet, the UK-based company engaged in design, +44 (0) 20 7518 8901 installation and maintenance of IT servers, data centres and wireless networks, from Palatine Private Equity, valuing the business at £37m Jonathan Organ . Zendesk has acquired We Are Cloud, the France-based designer and Vice President developer of a SaaS business intelligence application BIME, from Alven Capital [email protected] Partners +44 (0) 20 7518 8909 . LDC has agreed to acquire PEI Media Group, the UK-based provider of financial UNITED STATES information services to global finance and investment communities active in the Jeff Bistrong alternative asset classes Managing Director [email protected] . SAP has acquired Multiposting, the France-based developer of online software +1 (617) 482-7501 solutions for the human resources industry, from Kernel Investissements

. Marlin Equity Partners has acquired Bluegarden, the Denmark-based holding Michael Wilkins provider of cloud-based payroll and HR administration software Managing Director [email protected] . EQT has agreed to acquire a majority stake in kfzteile24, the Germany-based +1 (415) 288-4260 online retailer of automotive spare parts and accessories Smartbox Experience has acquired Dakota Editions, the France-based gift box Sam Hendler . Managing Director e-retailer and publisher of travel guides and art books [email protected] . Mimecast, the UK-based provider of email management solutions, has +1 (617) 654-2117 announced plans to raise $100m through an IPO

www.harriswilliams.com www.harriswilliams.de PAGE | 1 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

RECENT DEVELOPMENTS

INDUSTRY TRENDS . Spending on Mobile Technologies spend is expected to reach $1.2tn by 2019, representing a CAGR of 5.9% from 2014, according to IDC . eMarketer estimates UK adults' average total daily mobile time will reach 2 hours 24 minutes this year, up 27 minutes from 2014 and representing a 500% increase from 2011 . New data from Juniper Research has found that the digital games industry is expected to generate software revenues of just over $80bn this year, rising to $104bn by the end of 2018, representing a CAGR of 9.1%. The majority of this growth will stem from the contributions made by the PC market, accounting for 42% of games revenues this year . According to research released by Forrester, in 2020 14.6% of Western European advertising spend will come from online display advertising, up from 10.1% in 2015. Online display advertising spend is expected to grow to €17.8bn in 2020, representing a CAGR of 12.1%, with the UK remaining the largest online display market in Western Europe . Consumer spending on communications services is expected to grow at a CAGR of 1.2% through 2019 to reach $1.1tn, according to Gartner . According to research release by Juniper Research, by the end of 2015, the number of mobile banking users globally will exceed 1bn and reach 2bn by 2020 (37% of the global adult population), representing a CAGR of 14.9%

Source: Various industry news outlets PUBLIC MARKET TRADING STATISTICS Stock Performance

LAST 30 DAYS LAST TWELVE MONTHS

10% 30%

8% 25%

6% 20%

4% 3.7% 13.8% 2.5% 15% 13.5% 2.0% 13.1% 2% 1.5% 12.4% 10% 1.0% 9.0% (2.5%) (8.5%) 0% 5%

(2%) 0%

(4%) (5%)

(6%) (10%)

(8%) (15%)

(10%) (20%) 16 Sep 23 Sep 30 Sep 07 Oct 14 Oct Oct 2014 Jan 2015 Apr 2015 Jul 2015 Oct 2015

Communications DJ Stoxx 600 Technology Communications DJ Stoxx 600 Technology Internet and Digital Media IT Services Internet and Digital Media IT Services Software Nasdaq Composite Nasdaq Composite Software

PAGE | 2 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

PUBLIC MARKET TRADING STATISTICS

COMPARABLE TRADING SUMMARY

CY2015E EV / Revenue EV / EBITDA P / E Rev. Growth EBITDA Margin CY2015E CY2016E CY2015E CY2016E CY2015E CY2016E

Software European Large Cap. Software 15.7% 34.1% 5.1x 4.8x 15.2x 13.8x 22.9x 20.7x Application Software 5.1% 25.6% 4.2x 3.8x 17.3x 14.7x 20.2x 19.1x Infrastructure Software 12.3% 29.5% 3.4x 3.0x 11.6x 10.4x 17.4x 17.3x Large Cap. SaaS 29.5% 13.2% 7.8x 6.2x 30.8x 24.7x 38.8x 36.7x Small Cap. SaaS 21.9% 5.1% 4.7x 3.8x 28.2x 28.0x NM 34.9x HCM/WFM 22.7% 6.8% 6.6x 5.3x 28.0x 20.7x 24.9x 24.3x FinTech 13.0% 27.0% 5.1x 4.4x 16.5x 15.6x 24.0x 22.2x Healthcare IT 10.2% 12.5% 3.2x 2.8x 13.7x 12.0x 23.6x 21.5x Data and Data Analytics 12.8% 24.5% 4.9x 4.2x 11.2x 14.7x 18.4x 16.8x Security Software 18.8% 21.5% 5.4x 4.5x 13.8x 13.9x 18.6x 22.5x CAx/PLM 4.5% 27.1% 4.6x 4.4x 18.2x 13.8x 27.2x 22.9x

IT Services IT Services 4.1% 12.7% 1.0x 1.0x 8.5x 7.5x 17.2x 14.5x Offshore IT Services 13.2% 24.0% 3.3x 2.9x 13.5x 12.0x 19.5x 18.2x Managed Services, Colocation and Hosting 11.6% 29.2% 2.7x 2.4x 9.8x 8.5x 21.3x 18.7x Data Centres 8.3% 52.9% 7.8x 7.0x 14.7x 13.1x 31.1x 33.4x PaaS/IaaS 14.2% 24.5% 3.7x 3.1x 10.3x 8.5x 18.1x 18.9x

Communications Digital Broadband 0.8% 10.5% 1.1x 1.0x 11.8x 8.7x 19.8x 20.3x Diversified Communication Equipment 2.6% 10.7% 1.0x 1.0x 11.3x 8.0x 20.7x 14.3x Mobile Content/Solutions Providers 15.5% 13.6% 1.3x 1.1x 9.9x 6.7x 18.9x 16.7x Mobile Infrastructure Software 0.3% 23.9% 2.5x 2.3x 12.5x 8.0x 20.2x 17.2x

Internet and Digital Media Global Internet Leaders 9.6% 34.4% 5.8x 4.8x 17.1x 14.0x 20.6x 22.5x Chinese Internet Leaders 41.3% 0.6% 5.2x 3.6x 22.4x 12.7x 24.7x 22.1x Online Classifieds 15.6% 32.2% 5.4x 4.6x 16.5x 12.3x 22.2x 20.6x Content Providers/Communities 23.1% 17.5% 4.5x 3.6x 26.9x 17.4x 22.2x 35.7x Ecommerce 15.1% 18.3% 4.0x 3.3x 17.6x 13.6x 23.9x 27.6x Interactive Entertainment 1.2% 27.7% 2.8x 2.6x 10.3x 9.8x 22.8x 19.9x Intermediation and Comparison 24.3% 16.8% 3.1x 2.8x 13.4x 13.6x 24.7x 21.1x Online Gambling 11.1% 24.1% 3.4x 2.9x 14.2x 12.7x 25.1x 22.8x Digital Marketing 21.4% 12.5% 2.7x 2.2x 13.1x 14.3x 20.9x 16.9x Online Travel 10.5% 22.5% 4.3x 3.6x 14.6x 16.1x 24.6x 25.6x Educational Technology (1.4%) 1.6% 2.1x 1.8x 6.2x 12.6x 22.4x 29.6x Internet Services 31.6% 15.6% 3.2x 2.7x 18.9x 14.8x 12.5x 20.8x

PAGE | 3 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

SOFTWARE

LAST 30 DAYS PERFORMANCE

European Large Cap. Software 7.8% 15% Application Software 3.5% Fintech 2.3% Small Cap. SaaS 2.1% CAx/PLM 1.4% 10% Large Cap. SaaS 0.9% Data and Data Analytics 0.8% HCM/WFM (0.5%) Infrastructure Software (2.0%) Security Software (4.1%) 5% Healthcare IT (4.3%)

0%

(5%)

(10%)

(15%) 16 Sep 23 Sep 30 Sep 07 Oct 14 Oct

Application Software CAx/PLM Data and Data Analytics European Large Cap. Software

Fintech HCM/WFM Healthcare IT Infrastructure Software

Large Cap. SaaS Security Software Small Cap. SaaS

LAST TWELVE MONTHS PERFORMANCE

40%

30%

20%

10%

0%

(10%) Small Cap. SaaS 27.9% Fintech 29.3% Data and Data Analytics 25.1% (20%) Large Cap. SaaS 22.3% Security Software 19.0% European Large Cap. Software 14.7% Healthcare IT 9.3% (30%) HCM/WFM 7.9% Application Software 6.8% CAx/PLM 0.4% Infrastructure Software (6.2%) (40%) Oct 2014 Jan 2015 Apr 2015 Jul 2015 Oct 2015

Application Software CAx/PLM Data and Data Analytics European Large Cap. Software Fintech HCM/WFM Healthcare IT Infrastructure Software Large Cap. SaaS Security Software Small Cap. SaaS

PAGE | 4 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

SOFTWARE

Market Enterprise CY2015E EV / Revenue EV / EBITDA P / E Cap ($m) Value ($m) EBITDA Margin Rev. Growth CY2015E CY2016E CY2015E CY2016E CY2015E CY2016E

European Large Cap. Software SAP 76,947 94,416 34.7% 9.7% 4.1x 3.8x 11.7x 11.1x 17.5x 16.0x Dassault Systemes 18,727 18,105 33.5% 15.1% 5.6x 5.1x 16.6x 14.8x 30.7x 27.1x Sage 8,455 9,450 29.9% 5.6% 4.3x 4.1x 14.5x 13.7x 20.5x 19.2x Micro Focus 4,079 5,530 40.9% 56.6% 4.9x 4.5x 11.9x 10.7x 15.3x 13.1x Temenos 2,737 3,402 34.9% 10.1% 6.4x 5.8x 18.3x 15.3x 26.5x 23.0x Aveva 2,090 1,823 30.6% (2.7%) 5.6x 5.3x 18.2x 17.2x 27.1x 25.7x

Mean 34.1% 15.7% 5.1x 4.8x 15.2x 13.8x 22.9x 20.7x Median 34.1% 9.9% 5.2x 4.8x 15.5x 14.2x 23.5x 21.1x Application Software Microsoft 351,431 312,291 26.0% (4.8%) 3.5x 3.4x 13.5x 9.3x 18.6x 16.7x Oracle 153,740 145,461 46.0% (2.9%) 3.9x 3.8x 8.4x 8.1x 14.6x 13.5x SAP 76,947 94,416 34.7% 9.7% 4.1x 3.8x 11.7x 11.1x 17.5x 16.0x Intuit 24,370 23,874 31.7% (3.8%) 5.4x 5.0x 17.1x 13.7x 32.2x 25.0x Constellation Software 9,082 9,028 24.0% 9.8% 4.9x 4.2x 20.5x 17.2x 25.9x 21.5x Sage 8,455 9,450 29.9% 5.6% 4.3x 4.1x 14.5x 13.7x 20.5x 19.2x Tyler Technologies 5,112 5,399 26.8% 17.5% 9.3x 7.5x 34.8x 26.8x NM NM Guidewire Software 3,694 3,148 17.7% 6.1% 8.1x 7.3x 45.7x 40.5x NM NM IFS 882 892 16.9% 10.6% 2.1x 2.0x 12.5x 11.4x 31.2x 24.6x SDL 397 468 9.5% 4.7% 1.1x 1.1x 11.5x 9.5x 19.8x 16.0x Cegid 381 489 25.9% (1.3%) 1.5x 1.5x 5.9x 5.6x 15.8x 14.3x American Software 262 220 18.2% 9.7% 2.0x 1.9x 10.8x 9.9x 25.6x 24.3x

Mean 25.6% 5.1% 4.2x 3.8x 17.3x 14.7x 20.2x 19.1x Median 26.0% 5.8% 4.0x 3.8x 13.0x 11.2x 19.8x 17.9x

Infrastructure Software Hewlett-Packard 44,974 61,630 12.3% (6.8%) 0.6x 0.6x 4.9x 4.9x 8.2x 8.0x VMware 33,394 23,199 36.0% 10.2% 3.5x 3.2x 9.7x 8.9x 17.0x 15.0x Red Hat 13,380 13,284 26.5% 14.5% 6.7x 5.9x 25.4x 21.7x NM 35.9x CA Technologies 12,074 11,220 38.1% (6.8%) 2.8x 2.7x 7.3x 6.9x 11.9x 11.4x Citrix Systems 11,558 12,258 29.5% 3.0% 3.8x 3.6x 12.9x 12.0x 19.8x 18.1x F5 Networks 8,149 7,543 39.8% 9.8% 3.8x 3.5x 9.6x 9.5x 17.5x 15.6x Brocade 4,349 3,784 29.7% 1.8% 1.7x 1.6x 5.6x 5.9x 10.4x 10.2x Netscout Systems 3,643 3,692 26.9% 88.3% 4.4x 2.8x 16.4x 9.8x 20.7x 17.0x Solarwinds 3,062 3,476 47.2% 18.5% 6.9x 5.8x 14.5x 13.0x 23.7x 20.6x Software AG 2,297 2,143 27.6% (5.6%) 2.2x 2.1x 7.8x 7.5x 11.9x 11.3x Pegasystems 1,880 1,724 16.8% 11.7% 2.6x 2.3x 15.3x 13.0x 32.5x 28.3x Progress Software 1,309 1,106 33.3% 24.8% 2.7x 2.6x 8.0x 8.0x 15.3x 15.1x Radware 770 568 19.1% (2.8%) 2.6x 2.5x 13.8x 13.9x 19.4x 18.5x

Mean 29.5% 12.3% 3.4x 3.0x 11.6x 10.4x 17.4x 17.3x Median 29.5% 9.8% 2.8x 2.7x 9.7x 9.5x 17.2x 15.6x Large Cap. SaaS Salesforce 47,488 50,398 18.4% 23.3% 7.6x 6.3x 41.3x 29.8x NM NM Workday 13,933 12,982 6.0% 47.5% 11.2x 8.2x NM NM NM NM NetSuite 6,862 6,856 6.9% 34.3% 9.2x 7.1x NM NM NM NM The Ultimate Software Group 5,246 5,159 23.9% 21.9% 8.4x 6.9x 35.0x 27.7x NM NM Athenahealth 5,220 5,575 18.2% 23.1% 6.1x 5.0x 33.2x 27.2x NM NM Guidewire Software 3,694 3,148 17.7% 6.1% 8.1x 7.3x 45.7x 40.5x NM NM Veeva Systems 3,202 2,821 28.0% 28.9% 7.0x 5.5x 25.1x 19.0x NM 43.0x Medidata Solutions 2,437 2,093 23.2% 19.9% 5.2x 4.3x 22.3x 17.4x NM 34.1x Fleetmatics 1,922 1,897 31.6% 22.3% 6.7x 5.5x 21.2x 17.1x 38.8x 31.4x Cornerstone OnDemand 1,906 1,917 0.0% 31.5% 5.6x 4.4x NM NM NM NM LogMeIn 1,640 1,431 24.0% 20.8% 5.4x 4.5x 22.4x 18.8x NM 38.3x Paylocity 1,508 1,547 3.7% 39.1% 8.9x 6.9x NM NM NM NM Cvent 1,383 1,154 10.5% 31.0% 6.2x 5.1x NM 41.6x NM NM

Mean 13.2% 29.5% 7.8x 6.2x 30.8x 24.7x 38.8x 36.7x Median 18.0% 26.1% 7.9x 6.1x 29.1x 23.1x 38.8x 36.2x

(1) COX Automotive has entered into an agreement to acquire Dealertrack Technologies

PAGE | 5 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

SOFTWARE

Market Enterprise CY2015E EV / Revenue EV / EBITDA P / E Cap ($m) Value ($m) EBITDA Margin Rev. Growth CY2015E CY2016E CY2015E CY2016E CY2015E CY2016E

Small Cap. SaaS SPS Commerce 1,136 1,104 13.8% 24.4% 7.0x 5.9x NM 39.4x NM NM Callidus 961 861 11.5% 25.3% 5.1x 4.4x 44.5x 30.9x NM NM Benefitfocus 881 825 (20.6%) 29.8% 4.7x 3.8x NM NM NM NM Textura 667 665 11.1% 42.3% 7.5x 5.4x NM 28.8x NM NM JIVE 355 249 0.5% 9.0% 1.3x 1.2x NM 28.5x NM NM SciQuest 286 160 17.7% 1.9% 1.5x 1.4x 8.6x 7.4x NM 31.9x Channel Advisors 251 179 (8.0%) 14.3% 1.8x 1.6x NM NM NM NM Marin Software 128 91 (11.3%) 7.6% 0.9x 0.8x NM NM NM NM

Mean 5.1% 21.9% 4.7x 3.8x 28.2x 28.0x NM 34.9x Median 11.1% 25.3% 5.1x 4.4x 30.0x 28.7x NM 36.2x

HCM/WFM Workday 13,933 12,982 6.0% 47.5% 11.2x 8.2x NM NM NM NM The Ultimate Software Group 5,246 5,159 23.9% 21.9% 8.4x 6.9x 35.0x 27.7x NM NM Cornerstone OnDemand 1,906 1,917 0.0% 31.5% 5.6x 4.4x NM NM NM NM Paylocity 1,508 1,547 3.7% 39.1% 8.9x 6.9x NM NM NM NM Benefitfocus 881 825 (20.6%) 29.8% 4.7x 3.8x NM NM NM NM ATOSS Software 216 196 26.1% 9.6% 3.9x 3.5x 14.8x 13.4x 24.9x 22.7x Halogen 145 113 (9.2%) 16.8% 1.7x 1.4x NM NM NM NM Invision Software 108 116 24.7% (14.4%) 8.4x 7.4x 34.1x 21.1x NM 25.9x

Mean 6.8% 22.7% 6.6x 5.3x 28.0x 20.7x 24.9x 24.3x Median 4.9% 25.9% 7.0x 5.6x 34.1x 21.1x 24.9x 24.3x

Healthcare IT McKesson 44,675 49,782 2.7% 10.8% 0.3x 0.2x 9.8x 8.9x 15.4x 13.6x Cerner 20,949 22,332 32.3% 34.1% 4.9x 4.3x 15.3x 12.8x 30.5x 25.6x Sysmex 11,245 10,933 25.9% 19.4% 5.3x 4.6x 20.3x 17.5x NM 34.9x Allscripts Healthcare Solutions 2,458 3,000 17.2% 0.5% 2.1x 2.0x 12.4x 10.5x 27.7x 22.2x CompuGroup 1,639 1,917 22.0% 0.0% 3.0x 2.9x 13.8x 12.3x 18.6x 16.0x EMIS 987 1,014 30.8% 16.2% 4.1x 3.8x 13.3x 12.3x 23.1x 20.8x Cegedim 554 746 19.1% (46.2%) 1.3x 1.2x 6.7x 6.2x NM 13.8x Computer Programs & Systems 489 454 20.8% (10.0%) 2.4x 2.3x 11.5x 9.9x 20.1x 17.8x Sectra Aktiebolag 485 420 18.9% 7.1% 3.4x 3.0x 17.8x 14.5x 25.9x 25.1x Castlight Health 434 265 (83.8%) 71.3% 3.5x 2.3x NM NM NM NM Craneware 276 246 31.6% 8.5% 5.1x 4.6x 16.2x 15.1x 27.1x 25.5x

Mean 12.5% 10.2% 3.2x 2.8x 13.7x 12.0x 23.6x 21.5x Median 20.8% 8.5% 3.4x 2.9x 13.6x 12.3x 24.5x 21.5x

Security Software Palo Alto Networks 15,370 13,667 18.4% 53.4% 12.3x 9.1x NM 36.5x NM NM Check Point 14,403 12,979 56.7% 9.2% 8.0x 7.4x 14.1x 13.0x 19.5x 17.5x Symantec 13,543 12,197 32.8% (7.9%) 2.0x 1.9x 6.0x 5.5x 11.7x 10.4x Verisign 7,866 8,410 67.0% 4.3% 8.0x 7.6x 11.9x 11.1x 24.5x 21.8x Fortinet 7,721 6,293 16.5% 33.2% 6.2x 5.1x 37.8x 29.1x NM NM Gemalto 5,729 6,663 17.7% 19.7% 1.8x 1.7x 10.4x 9.1x 16.3x 13.5x FireEye 5,202 4,084 (26.4%) 51.1% 6.4x 4.6x NM NM NM NM Trend Micro 4,778 3,989 34.1% 10.1% 3.8x 3.7x 11.2x 10.6x 26.3x 24.9x Proofpoint 2,446 2,156 0.9% 34.2% 8.4x 6.6x NM NM NM NM Imperva 2,156 1,677 (3.3%) 33.6% 7.7x 6.3x NM NM NM NM Barracuda Networks 1,351 774 23.7% 16.5% 2.5x 2.2x 10.6x 8.2x NM 43.0x AVG Technologies 1,178 1,332 36.9% 17.0% 3.1x 2.7x 8.4x 7.2x 12.0x 10.2x Qualys 1,015 947 28.8% 24.5% 5.7x 4.6x 19.9x 15.7x NM 45.7x Vasco Data Security 714 557 24.1% 23.9% 2.3x 2.4x 9.7x 11.3x 15.0x 17.5x F-Secure 410 365 18.7% (10.9%) 2.2x 2.0x 11.7x 9.9x 23.8x 20.4x Intercede 80 90 (3.4%) (11.4%) 5.4x 4.1x NM NA NM NM

Mean 21.5% 18.8% 5.4x 4.5x 13.8x 13.9x 18.6x 22.5x Median 21.2% 18.3% 5.5x 4.4x 11.2x 10.9x 17.9x 18.9x

PAGE | 6 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

SOFTWARE

Market Enterprise CY2015E EV / Revenue EV / EBITDA P / E Cap ($m) Value ($m) EBITDA Margin Rev. Growth CY2015E CY2016E CY2015E CY2016E CY2015E CY2016E

Fintech Intuit 24,370 23,874 31.7% (3.8%) 5.4x 5.0x 17.1x 13.7x 32.2x 25.0x Fiserv 20,591 25,036 33.5% 5.1% 4.7x 4.5x 14.1x 13.0x 23.8x 21.1x Fidelity Information Services 19,210 24,224 30.3% 1.2% 3.7x 2.9x 12.3x 9.7x 21.0x 18.0x Paychex 16,869 17,323 42.4% 8.7% 6.1x 5.7x 14.4x 13.5x 25.6x 23.4x SS&C Technologies 6,970 6,684 42.5% 36.5% 6.4x 4.5x 15.0x 10.6x 27.4x 22.1x MSCI 6,651 6,765 42.4% 7.5% 6.3x 5.8x 14.8x 13.3x 27.2x 23.0x Jack Henry 5,610 5,751 34.8% 3.2% 4.4x 4.2x 12.8x 11.8x 27.2x 24.8x Guidewire 3,694 3,148 17.7% 6.1% 8.1x 7.3x 45.7x 40.5x NM NM Temenos 2,737 3,402 34.9% 10.1% 6.4x 5.8x 18.3x 15.3x 26.5x 23.0x Fair Isaac 2,566 3,292 24.9% 6.3% 3.9x 3.6x 15.6x 13.1x 17.6x 14.3x SimCorp 2,117 1,976 28.5% 10.1% 6.2x 5.7x 21.7x 19.4x 31.4x 27.1x Ellie Mae 2,063 1,886 25.7% 52.6% 7.9x 6.4x 30.7x 23.9x NM 41.4x Paycom 2,028 2,333 21.5% 44.2% 11.0x 8.5x NM 40.9x NM NM Envestnet 1,163 1,021 17.9% 18.7% 2.5x 2.0x 13.8x 9.9x 30.5x 22.8x Fidessa 1,052 999 19.4% 3.6% 2.2x 2.2x 11.5x 11.2x 24.2x 22.8x Iress 1,024 1,159 30.5% (5.9%) 4.5x 4.1x 14.9x 13.1x 22.1x 19.1x Bottomline Technologies 983 989 21.5% 5.1% 2.9x 2.6x 13.6x 11.8x 18.5x NM Ebix 931 1,012 36.1% 25.4% 3.9x 3.7x 10.8x 10.3x 12.6x 12.2x Q2 Holdings 890 810 (7.6%) 36.7% 7.5x 5.7x NM NM NM NM Linedata 228 274 25.0% 1.8% 1.4x 1.4x 5.6x 5.6x 11.7x 11.3x StatPro 74 76 13.6% (0.7%) 1.6x 1.5x 11.6x 10.3x 28.5x 25.1x

Mean 27.0% 13.0% 5.1x 4.4x 16.5x 15.6x 24.0x 22.2x Median 28.5% 6.3% 4.7x 4.5x 14.4x 13.1x 25.6x 22.8x Data and Data Analytics Nielsen 17,151 24,402 30.1% (1.4%) 3.9x 3.8x 13.1x 12.2x 17.9x 15.9x Experian 15,403 19,452 34.9% (2.1%) 4.1x 4.0x 11.8x 11.7x 18.4x 17.6x Verisk 12,431 16,486 47.4% 21.5% 7.8x 6.8x 16.5x 14.4x 26.5x 23.8x Equifax 11,523 13,754 34.9% 9.4% 5.2x 4.8x 14.8x 13.4x 23.6x 21.1x Splunk 7,350 6,206 6.0% 43.5% 9.8x 7.5x NM NM NM NM Tableau Software 5,961 5,144 12.1% 60.4% 8.2x 6.0x NM 45.4x NM NM Microstrategy 2,332 1,808 29.1% (9.6%) 3.3x 3.1x 11.5x 10.3x 22.2x 19.4x Convergys 2,240 2,551 12.8% 5.0% 0.9x 0.8x 6.7x 6.1x 14.4x 13.1x Neustar 1,481 1,857 45.4% 8.1% 1.8x 1.9x 3.9x 4.1x 6.1x 6.8x PROS 680 648 (8.0%) (7.2%) 3.7x 3.7x NM NM NM NM

Mean 24.5% 12.8% 4.9x 4.2x 11.2x 14.7x 18.4x 16.8x Median 29.6% 6.5% 4.0x 3.9x 11.8x 11.9x 18.4x 17.6x CAx/PLM Dassault Systems 18,727 18,105 33.5% 15.1% 5.6x 5.1x 16.6x 14.8x 30.7x 27.1x Autodesk 10,625 10,716 13.2% (0.5%) 4.3x 4.9x 32.7x NM NM NM Ansys 8,108 7,295 52.0% 2.5% 7.6x 7.0x 14.6x 13.4x 26.3x 23.8x PTC 3,712 4,289 27.8% (8.8%) 3.5x 3.0x 12.5x 9.6x 15.6x 14.7x Aveva (1) 2,090 1,823 30.6% (2.7%) 5.6x 5.3x 18.2x 17.2x 27.1x 25.7x Nemetschek 1,388 1,595 24.7% 21.8% 5.0x 4.5x 20.1x 17.6x 34.1x 29.4x Mensch und Maschine 130 174 7.6% 4.2% 1.0x 0.9x 12.9x 10.4x 29.2x 16.6x

Mean 27.1% 4.5% 4.6x 4.4x 18.2x 13.8x 27.2x 22.9x Median 27.8% 2.5% 5.0x 4.9x 16.6x 14.1x 28.2x 24.8x

(1) Schneider Electric has entered into an agreement to acquire a majority stake in Aveva

PAGE | 7 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

IT SERVICES

LAST 30 DAYS PERFORMANCE

Data Centres 6.8% PaaS/IaaS 4.2% 10% IT Services 3.5% Offshore IT Services 2.7% Managed Services, Colocation and Hosting (1.4%) 8%

6%

4%

2%

0%

(2%)

(4%)

(6%)

(8%)

(10%) 16 Sep 23 Sep 30 Sep 07 Oct 14 Oct Data Centres IT Services Managed Services, Colocation and Hosting Offshore IT Services PaaS/IaaS

LAST TWELVE MONTHS PERFORMANCE

50%

Offshore IT Services 23.4% Data Centres 19.0% 40% IT Services 17.8% PaaS/IaaS 2.7% Managed Services, Colocation and Hosting (6.9%)

30%

20%

10%

0%

(10%)

(20%) Oct 2014 Jan 2015 Apr 2015 Jul 2015 Oct 2015

Data Centres IT Services Managed Services, Colocation and Hosting Offshore IT Services PaaS/IaaS

PAGE | 8 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

IT SERVICES

0 Market Enterprise CY2015E EV / Revenue EV / EBITDA P / E Cap ($m) Value ($m) EBITDA Margin Rev. Growth CY2015E CY2016E CY2015E CY2016E CY2015E CY2016E

IT Services Accenture 60,752 60,371 16.6% 2.4% 1.9x 1.8x 11.7x 11.0x 21.1x 19.2x KDDI 56,792 64,886 30.3% 1.8% 1.7x 1.7x 5.6x 5.4x 13.4x 12.4x Capgemini 15,384 13,561 11.7% 7.6% 1.0x 0.9x 8.5x 7.2x 17.8x 14.7x NTT Group 14,140 15,629 16.4% 8.1% 1.2x 1.2x 7.3x 6.9x 35.9x 25.7x Capita 12,171 15,550 15.1% 10.8% 2.1x 1.9x 13.7x 12.8x 17.3x 16.1x CGI 11,046 12,729 18.3% (12.5%) 1.6x 1.6x 8.7x 8.3x 15.0x 13.6x Fujitsu 9,779 15,835 7.1% 0.3% 0.4x 0.4x 5.6x 5.1x 10.0x 9.0x Computer Sciences 8,481 9,342 17.1% (11.4%) 0.8x 0.8x 4.8x 4.6x 13.4x 12.5x NEC 8,067 11,312 7.3% (0.5%) 0.5x 0.4x 6.2x 6.0x 19.7x 12.5x Atos Origin 7,943 8,055 11.2% 13.5% 0.7x 0.6x 5.8x 5.4x 12.5x 11.1x Sopra 2,188 2,892 7.9% 49.1% 0.7x 0.7x 9.0x 7.7x 15.6x 12.3x Bechtle 1,853 1,827 5.3% 4.6% 0.6x 0.5x 10.6x 9.7x 18.7x 16.7x Tieto 1,831 1,884 13.6% (9.5%) 1.1x 1.1x 8.3x 7.6x 19.1x 14.6x Indra Sistemas 1,701 2,629 5.2% (6.1%) 0.8x 0.8x 15.4x 8.9x NM 16.1x GFI Informatique 362 480 7.5% 2.9% 0.5x 0.5x 6.4x 6.0x 11.9x 11.4x

Mean 12.7% 4.1% 1.0x 1.0x 8.5x 7.5x 17.2x 14.5x Median 11.7% 2.4% 0.8x 0.8x 8.3x 7.2x 16.4x 13.6x Offshore IT Services Tata 76,407 71,746 28.7% 18.3% 4.4x 3.9x 15.5x 13.7x 22.8x 20.2x Infosys 39,408 33,953 26.8% 8.8% 3.7x 3.4x 13.9x 12.2x 21.0x 19.4x Cognizant 37,358 36,963 20.2% 21.7% 3.0x 2.6x 14.7x 12.8x 21.4x 18.8x Wipro 22,375 18,872 22.4% 4.9% 2.4x 2.2x 10.9x 10.0x 15.7x 15.6x HCL 20,300 16,559 21.8% 12.1% 2.7x 2.4x 12.4x 10.9x 16.8x 17.2x

Mean 24.0% 13.2% 3.3x 2.9x 13.5x 12.0x 19.5x 18.2x Median 22.4% 12.1% 3.0x 2.6x 13.9x 12.2x 21.0x 18.8x Managed Services, Colocation and Hosting Level 3 15,489 26,663 31.7% 21.5% 3.2x 3.0x 10.2x 9.3x 29.1x 20.0x United Internet 10,357 12,163 20.9% 15.7% 2.8x 2.7x 13.6x 12.1x 24.5x 19.8x Rackspace 3,891 3,519 32.9% 10.8% 1.8x 1.6x 5.4x 4.7x 31.1x 25.6x Interxion 1,873 2,453 43.8% 6.2% 5.5x 5.0x 12.6x 11.2x NM 34.9x Endurance 1,705 2,967 36.2% 19.7% 4.0x 3.5x 10.9x 9.2x 11.5x 9.5x GoDaddy 1,672 2,777 20.4% 15.5% 1.7x 1.5x 8.5x 7.1x 22.8x 19.2x Windstream 723 11,487 31.1% (2.6%) 2.0x 2.0x 6.5x 7.0x NM NM iomart 420 495 43.4% 15.2% 4.3x 3.9x 10.0x 9.1x 20.2x 17.6x Redcentric 397 441 23.1% 24.3% 2.7x 2.4x 11.6x 10.3x 22.1x 17.4x Internap 366 700 24.8% (3.5%) 2.2x 2.1x 8.7x 7.6x NM NM Proact 119 132 NA 11.3% 0.4x 0.4x NA NA 12.1x 10.3x Melbourne IT 118 133 12.6% 5.6% 1.2x 1.1x 9.5x 6.4x 18.5x 12.5x

Mean 29.2% 11.6% 2.7x 2.4x 9.8x 8.5x 21.3x 18.7x Median 31.1% 13.2% 2.4x 2.2x 10.0x 9.1x 22.1x 18.4x Data Centres (1) Equinix 15,908 20,020 46.8% 10.6% 7.4x 6.6x 15.9x 14.0x NM 28.3x Digital Realty Trust 8,691 15,542 57.8% 4.1% 9.2x 8.4x 15.9x 14.4x 39.0x 49.8x (1) Telecity 3,399 3,902 46.6% 2.3% 7.0x 6.4x 15.1x 13.5x 28.4x 24.5x DuPont Fabros 1,675 3,738 62.5% 5.9% 8.5x 7.9x 13.6x 12.5x 25.8x 22.1x Coresite 1,340 2,142 50.9% 18.6% 6.7x 5.8x 13.1x 11.2x NM 42.3x

Mean 52.9% 8.3% 7.8x 7.0x 14.7x 13.1x 31.1x 33.4x Median 50.9% 5.9% 7.4x 6.6x 15.1x 13.5x 28.4x 28.3x PaaS/IaaS EMC 45,770 53,749 25.1% 2.6% 2.1x 2.0x 8.5x 7.8x 14.6x 13.1x Akamai 12,600 12,523 40.3% 13.3% 5.7x 4.9x 14.0x 12.1x 29.2x 24.7x ServiceNow 11,373 11,272 14.0% 47.1% 11.3x 8.3x NM NM NM NM Netapp 8,720 6,529 18.2% (7.9%) 1.1x 1.1x 6.2x 5.0x 15.4x 12.4x Commvault Systems 1,572 1,212 11.6% (5.8%) 2.1x 2.0x 18.1x 12.5x NM 34.6x Synchronoss 1,515 1,563 34.7% 27.1% 2.7x 2.3x 7.8x 6.5x 15.9x 13.6x Progress Software 1,309 1,106 33.3% 24.8% 2.7x 2.6x 8.0x 8.0x 15.3x 15.1x Carbonite 312 237 18.7% 12.6% 1.7x 1.6x 9.2x 7.6x NM NM

Mean 24.5% 14.2% 3.7x 3.1x 10.3x 8.5x 18.1x 18.9x Median 21.9% 12.9% 2.4x 2.2x 8.5x 7.8x 15.4x 14.4x

(1) Equinix has entered into an agreement to acquire Telecity

PAGE | 9 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

COMMUNICATIONS

LAST 30 DAYS PERFORMANCE

10%

5%

0%

(5%)

(10%)

Mobile Content / Solutions Providers 4.5% Mobile Infrastructure Software 4.4% (15%) Diversified Communication Equipment 3.0% Digital Broadband (4.0%)

(20%) 16 Sep 23 Sep 30 Sep 07 Oct 14 Oct

Digital Broadband Diversified Communication Equipment Mobile Content / Solutions Providers Mobile Infrastructure Software

LAST TWELVE MONTHS PERFORMANCE

40%

30%

20%

10%

0%

(10%)

(20%)

(30%)

(40%) Digital Broadband 24.9% Diversified Communication Equipment (3.2%) Mobile Infrastructure Software (12.5%) (50%) Mobile Content / Solutions Providers (43.3%)

(60%) Oct 2014 Jan 2015 Apr 2015 Jul 2015 Oct 2015

Digital Broadband Diversified Communication Equipment Mobile Content / Solutions Providers Mobile Infrastructure Software

PAGE | 10 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

COMMUNICATIONS

Market Enterprise CY2015E EV / Revenue EV / EBITDA P / E Cap ($m) Value ($m) EBITDA Margin Rev. Growth CY2015E CY2016E CY2015E CY2016E CY2015E CY2016E

Digital Broadband TomTom 2,375 2,333 12.6% 0.1% 2.0x 1.9x 16.2x 12.0x NM 25.4x Technicolor 2,335 3,037 16.4% 0.2% 0.8x 0.6x 4.6x 4.5x 9.1x 10.5x Logitech 2,134 1,839 8.4% (2.5%) 0.9x 0.9x 10.5x 9.6x 31.7x 18.0x Pace 1,735 1,820 11.1% (4.1%) 0.7x 0.7x 6.5x 6.2x 9.4x 8.9x Kudelski 721 1,027 13.6% 7.0% 1.0x 1.0x 7.7x 7.9x 15.8x 14.3x Parrot 569 500 5.8% 13.7% 1.5x 1.4x 25.7x 14.8x NM 46.1x Extreme Networks 331 348 5.9% (8.4%) 0.7x 0.7x 11.2x 5.7x 33.1x 19.1x Mean 10.5% 0.8% 1.1x 1.0x 11.8x 8.7x 19.8x 20.3x Median 11.1% 0.1% 0.9x 0.9x 10.5x 7.9x 15.8x 18.0x Diversified Communication Equipment LM Ericsson Telephone 31,187 29,868 12.7% 3.0% 1.0x 1.0x 7.7x 6.6x 15.9x 13.2x Alcatel-Lucent 9,963 11,220 11.4% 1.8% 0.7x 0.7x 6.1x 5.5x 18.6x 12.8x CIENA 2,788 3,458 13.8% 10.2% 1.4x 1.2x 9.8x 8.3x 16.1x 13.2x ADTRAN 735 627 4.8% (4.6%) 1.0x 1.0x 21.7x 11.7x 32.0x 17.9x Mean 10.7% 2.6% 1.0x 1.0x 11.3x 8.0x 20.7x 14.3x Median 12.1% 2.4% 1.0x 1.0x 8.8x 7.4x 17.4x 13.2x Mobile Infrastructure Software QUALCOMM 83,619 81,696 36.8% (11.7%) 3.4x 3.4x 9.4x 8.7x 13.5x 11.9x Amdocs 8,815 7,541 20.3% 2.5% 2.0x 1.9x 10.1x 9.3x 17.2x 15.8x VeriSign 7,866 8,410 67.0% 4.3% 8.0x 7.6x 11.9x 11.1x 24.5x 21.8x Synchronoss Technologies 1,515 1,563 34.7% 27.1% 2.7x 2.3x 7.8x 6.5x 15.9x 13.6x Redknee Solutions 307 322 15.0% (15.3%) 1.4x 1.2x 9.6x 5.7x 35.5x 13.2x Sonus Networks 295 221 5.3% (16.8%) 0.9x 0.8x 17.0x 5.1x NM 18.7x TeleCommunication Systems 205 315 9.9% 6.3% 0.8x 0.7x 8.2x 7.1x 14.4x 11.4x Smith Micro Software 42 27 2.7% 6.1% 0.7x 0.6x 26.2x 10.5x NM 31.5x

Mean 23.9% 0.3% 2.5x 2.3x 12.5x 8.0x 20.2x 17.2x Median 17.7% 3.4% 1.7x 1.6x 9.8x 7.9x 16.5x 14.7x Mobile Content / Solutions Providers Opera Software 799 897 17.1% 20.3% 1.5x 1.2x 8.7x 6.5x 18.9x 13.7x GameLoft (1) 320 348 10.2% 10.6% 1.1x 1.0x 11.2x 6.8x NM 19.7x Mean 13.6% 15.5% 1.3x 1.1x 9.9x 6.7x 18.9x 16.7x Median 13.6% 15.5% 1.3x 1.1x 9.9x 6.7x 18.9x 16.7x

(1) Vivendi has entered into discussions to merge with Gameloft

PAGE | 11 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

INTERNET AND DIGITAL MEDIA

LAST 30 DAYS PERFORMANCE

Educational Technology 12.8% Intermediation and Comparison 11.6% 20% Online Gambling 7.5% Interactive Entertainment 5.5% Chinese Internet Leaders 4.5% Internet Services 2.8% 15% Ecommerce 2.1% Online Travel 1.6% Online Classifieds 1.0% 10% Content Providers / Communities 0.0% Global Internet Leaders (0.3%) Digital Marketing (3.0%) 5%

0%

(5%)

(10%)

(15%)

(20%) 16 Sep 23 Sep 30 Sep 07 Oct 14 Oct

Chinese Internet Leaders Content Providers / Communities Digital Marketing Ecommerce Global Internet Leaders Interactive Entertainment Intermediation and Comparison Online Travel (1) Online Classifieds Online Gambling Internet Services Educational Technology

LAST TWELVE MONTHS PERFORMANCE

Interactive Entertainment 86.2% Online Gambling 68.2% 100% Educational Technology 67.6% Online Travel 26.6% Ecommerce 13.2% Global Internet Leaders 9.4% 80% Chinese Internet Leaders 6.6% Digital Marketing 1.8% Intermediation and Comparison 0.9% Online Classifieds (13.2%) 60% Internet Services (21.5%) Content Providers / Communities (23.3%)

40%

20%

0%

(20%)

(40%) Oct 2014 Jan 2015 Apr 2015 Jul 2015 Oct 2015

Chinese Internet Leaders Content Providers / Communities Digital Marketing eCommerce Global Internet Leaders Interactive Entertainment Intermediation and Comparison Online Classifieds (1) Online Travel Online Gambling Internet Services Educational Technology

(1) Education Technology index has been normalised to reflect Graham Holdings’ spin-off of its cable segment

PAGE | 12 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

INTERNET AND DIGITAL MEDIA

Market Enterprise CY2015E EV / Revenue EV / EBITDA P / E Cap ($m) Value ($m) EBITDA Margin Rev. Growth CY2015E CY2016E CY2015E CY2016E CY2015E CY2016E

Global Internet Leaders Apple 654,159 648,052 34.8% 22.0% 2.8x 2.6x 7.9x 7.7x 11.9x 11.0x Google 429,153 398,004 40.8% 10.1% 5.4x 4.7x 13.3x 11.3x 23.5x 20.1x Microsoft 351,431 312,291 26.0% (4.8%) 3.5x 3.4x 13.5x 9.3x 18.6x 16.7x Facebook 261,384 251,071 61.6% 38.8% 14.6x 10.8x 23.7x 17.6x NM 34.4x Amazon 245,197 258,774 9.7% 18.5% 2.4x 2.0x 25.1x 18.4x NM NM Alibaba 148,836 161,892 51.3% 23.5% 11.2x 8.7x 21.8x 17.5x 27.6x 22.4x Baidu 47,162 45,218 21.9% 34.1% 4.3x 3.2x 19.4x 15.1x 24.5x 19.3x eBay 30,858 26,299 39.7% (52.0%) 3.1x 2.9x 7.7x 7.2x 13.5x 12.5x Yahoo! 27,423 25,657 23.9% (4.8%) 6.1x 6.2x 25.7x 25.8x NM 46.2x Yandex 3,406 4,084 34.1% 10.6% 4.5x 3.8x 13.1x 10.5x 24.7x 19.6x

Mean 34.4% 9.6% 5.8x 4.8x 17.1x 14.0x 20.6x 22.5x Median 34.5% 14.6% 4.4x 3.6x 16.5x 13.2x 23.5x 19.6x Ecommerce Amazon 245,197 258,774 9.7% 18.5% 2.4x 2.0x 25.1x 18.4x NM NM Alibaba 148,836 161,892 51.3% 23.5% 11.2x 8.7x 21.8x 17.5x 27.6x 22.4x Naspers 50,613 61,594 9.4% 0.1% 9.8x 8.4x NM NM NM 33.2x Netflix 43,555 46,562 7.2% 23.3% 6.9x 5.3x NM NM NM NM JD.com 35,886 31,680 0.3% 53.6% 1.1x 0.8x NM NM NM NM eBay 30,858 26,299 39.7% (52.0%) 3.1x 2.9x 7.7x 7.2x 13.5x 12.5x IAC 5,935 6,477 14.9% 4.5% 2.0x 1.8x 13.5x 9.9x 22.7x 17.1x JUST EAT 4,072 3,936 23.4% 54.0% 10.8x 8.1x 46.0x 28.7x NM 44.4x Mercadolibre 4,058 3,963 28.3% 16.8% 6.2x 5.3x 22.0x 18.2x NM 28.7x Mail.ru 3,663 4,277 47.3% 16.2% 6.9x 6.1x 14.6x 12.5x 23.0x 18.7x Asos 3,389 3,674 5.9% 17.6% 2.0x 1.6x 33.1x 25.9x NM 49.6x Ocado 2,859 3,188 7.4% 15.3% 1.9x 1.6x 25.2x 21.0x NM NM Cimpress 2,409 3,201 14.5% 14.6% 2.0x 1.8x 13.8x 11.9x 22.9x 22.7x Groupon 2,349 1,299 9.1% 0.1% 0.4x 0.4x 4.5x 3.9x 26.8x 19.5x zulily 2,181 NM 4.9% 11.4% NA NA NA NA NM 43.5x GrubHub 2,106 2,257 30.5% 45.1% 6.2x 4.8x 20.3x 15.3x NM 36.7x Shutterfly 1,320 1,601 18.2% 15.5% 1.5x 1.4x 8.3x 7.0x NM NM Shutterstock 1,089 910 19.6% 29.7% 2.1x 1.8x 10.9x 8.8x 27.8x 21.8x Coupons.com 733 460 13.1% 15.8% 1.8x 1.4x 13.5x 7.7x NM 25.5x RetailMeNot 447 288 25.5% (10.2%) 1.2x 1.2x 4.8x 4.5x 15.2x 15.5x Overstock 434 318 NA NA NA NA NA NA NA NA Blue Nile 388 321 4.7% 3.1% 0.6x 0.6x 13.8x 12.7x 35.2x 30.1x Mean 18.3% 15.1% 4.0x 3.3x 17.6x 13.6x 23.9x 27.6x Median 14.5% 15.8% 2.1x 1.8x 13.8x 12.5x 23.0x 24.1x Online Travel The Priceline Group 63,517 68,686 39.5% 10.1% 7.4x 6.3x 18.8x 15.6x 23.0x 19.0x Amadeus 18,552 21,271 37.6% 5.8% 4.9x 4.6x 13.0x 12.1x 22.4x 21.1x Expedia 17,039 17,006 18.0% 15.4% 2.6x 2.0x 14.2x 10.7x 26.7x 19.5x Tripadvisor 10,039 12,529 31.7% 23.9% 8.1x 6.7x 25.7x 20.3x NM 32.1x Ctrip 9,305 10,512 8.4% 44.6% 6.1x 4.5x NM 33.0x NM 36.2x Sabre Corporation 7,648 10,421 31.7% 6.1% 3.5x 3.1x 11.1x 9.7x 26.1x 20.9x Travelport 1,648 4,048 24.0% 2.9% 1.8x 1.7x 7.6x 7.0x NM 20.9x MakeMyTrip 563 568 6.5% (5.1%) 3.7x 3.1x NM 25.5x NM NM Travelzoo 122 82 5.2% (9.1%) 0.6x 0.6x 12.0x 10.6x NM 35.4x

Mean 22.5% 10.5% 4.3x 3.6x 14.6x 16.1x 24.6x 25.6x Median 24.0% 6.1% 3.7x 3.1x 13.0x 12.1x 24.6x 21.0x

PAGE | 13 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

INTERNET AND DIGITAL MEDIA

Market Enterprise CY2015E EV / Revenue EV / EBITDA P / E Cap ($m) Value ($m) EBITDA Margin Rev. Growth CY2015E CY2016E CY2015E CY2016E CY2015E CY2016E

Digital Marketing HomeAway 2,580 2,146 24.3% 12.2% 4.3x 3.7x 17.6x 14.4x NM NM Criteo 2,477 2,184 25.4% 50.9% 4.0x 3.1x 15.8x 11.0x 32.1x 22.5x Cvent 1,383 1,154 10.5% 31.0% 6.2x 5.1x NM 41.6x NM NM Marketo 1,258 1,245 (10.3%) 41.6% 5.9x 4.5x NM NM NM NM Callidus Software 961 861 11.5% 25.3% 5.1x 4.4x 44.5x 30.9x NM NM Constant Contact 794 614 19.9% 12.2% 1.7x 1.4x 8.3x 6.6x 18.8x 14.5x The Rubicon Project 620 573 15.1% 101.5% 2.3x 1.7x 15.4x 11.0x 33.3x 30.3x Bazaarvoice 377 308 (2.5%) 7.8% 1.5x 1.4x NM 43.0x NM NM TechTarget 286 265 22.9% 13.2% 2.2x 2.0x 9.8x 7.9x 22.6x 17.6x Harte-Hanks 220 291 8.6% (11.1%) 0.6x 0.6x 6.8x 5.2x 15.5x 12.2x Marchex 173 66 9.5% (18.8%) 0.5x 0.5x 4.8x 5.3x 23.8x 29.8x Dotdigital 161 149 28.4% 29.4% 3.9x 2.9x 13.9x 8.1x 23.3x 14.3x Matomy Media 153 172 9.7% 12.7% 0.6x 0.6x 6.6x 4.8x 9.2x 6.8x InternetQ 135 141 15.6% 19.9% 0.7x 0.6x 4.7x 3.7x 12.5x 7.8x 1000mercis 132 130 21.9% 7.4% 2.1x 1.9x 9.6x 7.2x 17.9x 12.9x Marin Software 128 91 (11.3%) 7.6% 0.9x 0.8x NM NM NM NM Mean 12.5% 21.4% 2.7x 2.2x 13.1x 14.3x 20.9x 16.9x Median 13.3% 12.9% 2.2x 1.8x 9.7x 8.0x 20.7x 14.4x

Content Providers / Communities LinkedIn 25,275 23,522 22.8% 34.8% 8.0x 6.1x 34.9x 23.6x NM NM Twitter 17,104 17,906 24.1% 62.1% 8.0x 5.5x 33.2x 20.2x NM 48.1x Pandora Media 4,428 3,852 6.9% 28.7% 3.3x 2.7x 47.2x 23.3x NM 46.5x GoPro 4,293 3,215 19.7% 41.5% 1.7x 1.4x 8.6x 7.2x 16.5x 14.3x JustEat 4,072 3,936 23.4% 54.0% 10.8x 8.1x 46.0x 28.7x NM 44.4x WebMD Health 1,430 1,770 29.8% 8.8% 2.8x 2.6x 9.4x 8.4x 27.8x 25.3x XING 1,131 1,041 30.7% 17.0% 7.4x 6.3x 24.2x 18.9x NM 38.3x XO Group 368 288 18.1% (1.6%) 2.1x 1.9x 11.5x 9.3x NM 32.7x Brightcove 164 151 4.2% 7.1% 1.1x 1.0x 27.1x 16.6x NM NM Demand Media 84 44 (4.5%) (21.7%) 0.3x 0.3x NM NM NM NM

Mean 17.5% 23.1% 4.5x 3.6x 26.9x 17.4x 22.2x 35.7x Median 21.2% 22.8% 3.0x 2.6x 27.1x 18.9x 22.2x 38.3x

Intermediation and Comparison Zillow 4,968 5,353 12.9% 104.7% 8.1x 6.4x NM 30.6x NM NM Moneysupermarket 2,780 2,639 39.8% 11.8% 6.1x 5.7x 15.4x 14.5x 22.7x 21.4x Bankrate 1,037 1,308 27.8% (3.0%) 2.5x 2.4x 8.9x 8.6x 16.9x 16.0x Gruppo MutuiOnline 345 384 17.0% 65.2% 3.0x 2.8x 17.4x 14.9x 16.9x 16.4x Angie's List 292 331 8.2% 12.0% 0.9x 0.9x 11.5x 7.9x 38.8x 19.6x eHealth 245 179 4.5% 1.0% 1.0x 0.9x 22.2x 12.7x 32.7x 31.2x Liquidity Services 226 147 7.7% (21.5%) 0.4x 0.3x 5.1x 5.9x 20.1x 22.0x

Mean 16.8% 24.3% 3.1x 2.8x 13.4x 13.6x 24.7x 21.1x Median 12.9% 11.8% 2.5x 2.4x 13.5x 12.7x 21.4x 20.5x Online Classifieds Rightmove 5,544 5,145 74.3% 16.1% 17.5x 15.8x 23.5x 21.1x 30.4x 26.7x SEEK 2,906 4,083 39.4% 2.2% 6.1x 5.3x 15.4x 13.7x 23.3x 20.8x SouFun 2,327 2,972 10.1% 26.2% 3.4x 2.6x 33.8x 19.6x NM 22.4x Yelp 1,668 1,286 13.8% 45.1% 2.4x 1.8x 17.1x 11.1x NM 33.4x 51job 1,565 1,235 32.4% 7.5% 3.8x 3.2x 11.6x 9.0x 18.0x 15.5x Zoopla 1,340 1,330 42.2% 38.1% 7.2x 4.9x 17.0x 12.4x 25.7x 18.8x Monster 589 824 16.4% (6.1%) 1.1x 1.1x 6.9x 5.5x 17.3x 11.3x Dice 402 492 29.2% (4.7%) 2.0x 1.9x 6.7x 6.4x 18.7x 15.8x

Mean 32.2% 15.6% 5.4x 4.6x 16.5x 12.3x 22.2x 20.6x Median 30.8% 11.8% 3.6x 2.9x 16.2x 11.7x 21.0x 19.8x

PAGE | 14 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

INTERNET AND DIGITAL MEDIA

Market Enterprise CY2015E EV / Revenue EV / EBITDA P / E Cap ($m) Value ($m) EBITDA Margin Rev. Growth CY2015E CY2016E CY2015E CY2016E CY2015E CY2016E

Internet Services LendingClub 4,975 NM 12.7% 91.7% NA NA NA NA NM NM HomeAway 2,580 2,146 24.3% 12.2% 4.3x 3.7x 17.6x 14.4x NM NM Web.com 1,087 1,589 27.5% (1.8%) 2.9x 2.7x 10.4x 9.5x 9.3x 8.3x Xoom (1) 979 794 10.5% 21.2% 4.2x 3.4x 39.6x 23.3x NM 41.4x LifeLock 823 570 12.3% 21.9% 1.0x 0.9x 8.0x 5.8x 15.7x 12.6x Wix.com 720 703 5.9% 44.6% 3.5x 2.6x NM 21.1x NM NM

Mean 15.6% 31.6% 3.2x 2.7x 18.9x 14.8x 12.5x 20.8x Median 12.5% 21.5% 3.5x 2.7x 14.0x 14.4x 12.5x 12.6x Educational Technology Graham 3,372 2,909 12.1% (23.4%) 1.1x 1.1x 8.8x 8.0x 22.4x 17.8x 2U 1,580 990 (6.0%) 35.1% 6.7x 5.2x NM NM NM NM Chegg 651 550 1.1% 0.2% 1.8x 1.9x NM 22.5x NM 36.2x K12 504 328 10.3% (2.2%) 0.4x 0.4x 3.5x 3.4x 22.4x 34.8x Cambium Learning Group 218 341 NA NA NA NA NA NA NA NA Rosetta Stone 145 123 (9.2%) (16.8%) 0.6x 0.6x NM 16.7x NM NM

Mean 1.6% (1.4%) 2.1x 1.8x 6.2x 12.6x 22.4x 29.6x Median 1.1% (2.2%) 1.1x 1.1x 6.2x 12.4x 22.4x 34.8x Chinese Internet Leaders Tencent 157,289 171,703 44.5% 22.6% 11.1x 8.5x 24.9x 19.9x 34.9x 26.4x Baidu 47,162 45,218 21.9% 34.1% 4.3x 3.2x 19.4x 15.1x 24.5x 19.3x Netease 14,787 13,575 33.2% 63.7% 4.5x 3.6x 13.4x 11.0x 17.1x 14.4x 58.com 5,738 6,582 (46.3%) 159.2% 9.7x 5.9x NM NM NM NM Autohome 3,238 3,144 39.2% 64.4% 5.8x 4.4x 14.8x 12.0x 22.5x 17.7x Youku Tudou 3,128 2,906 (15.3%) 54.0% 2.9x 2.1x NM NM NM NM Weibo Corporation 2,364 2,374 13.6% 43.0% 5.0x 3.7x 36.7x 17.5x NM 24.6x SouFun 2,327 2,972 10.1% 26.2% 3.4x 2.6x 33.8x 19.6x NM 22.4x Sina 2,199 1,703 7.0% 13.7% 2.0x 1.7x 28.2x 10.7x NM 27.7x Sohu 1,604 1,536 9.6% 18.1% 0.8x 0.7x 8.1x 4.6x NM NM Renren 1,034 912 (110.1%) (22.4%) 12.9x 6.3x NM NM NM NM Dangdang 479 265 (0.7%) 19.4% 0.2x 0.1x NM 4.5x NM 24.1x

Mean 0.6% 41.3% 5.2x 3.6x 22.4x 12.7x 24.7x 22.1x Median 9.9% 30.2% 4.4x 3.4x 22.2x 12.0x 23.5x 23.3x Online Gambling Betfair 4,450 4,288 23.2% 16.5% 5.4x 4.9x 23.2x 21.0x 38.5x 33.5x Playtech 4,161 3,414 39.7% 35.2% 4.6x 3.3x 11.7x 8.3x 16.3x 12.4x (2) bwin.party digital entertainment 1,335 1,264 16.7% (4.1%) 1.9x 1.9x 11.4x 11.6x 25.5x 26.9x 888 916 784 16.8% (3.0%) 1.8x 1.7x 10.5x 9.8x 20.0x 18.5x

Mean 24.1% 11.1% 3.4x 2.9x 14.2x 12.7x 25.1x 22.8x Median 20.0% 6.7% 3.3x 2.6x 11.5x 10.7x 22.8x 22.7x Interactive Entertainment Activision 23,372 23,628 34.4% (3.6%) 5.1x 4.7x 14.7x 12.8x 24.7x 21.2x Electronic Arts 21,663 19,754 30.0% 5.6% 4.5x 4.2x 14.9x 13.3x 26.0x 21.8x Take-Two Interactive Software 2,567 1,920 14.9% 18.6% 1.2x 1.2x 8.2x 6.7x 22.1x 20.8x Ubisoft Entertainment 2,289 2,473 57.7% (24.9%) 1.8x 1.2x 3.2x 2.8x 18.7x 15.8x Zynga 2,163 1,224 1.6% 10.4% 1.6x 1.5x NM 13.5x NM NM

Mean 27.7% 1.2% 2.8x 2.6x 10.3x 9.8x 22.8x 19.9x Median 30.0% 5.6% 1.8x 1.5x 11.5x 12.8x 23.4x 21.0x

(1) Xoom has entered into an agreement to be acquired by Paypal (2) bwin.party digital entertainment is in takeover talks to be acquired by GCV Holding PAGE | 15 EUROPEAN TECHNOLOGY INDUSTRY UPDATE │ OCTOBER 2015

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HARRIS WILLIAMS & CO.

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