October 2018 M&A and Investment Summary Table of Contents 1 Overview of Monthly M&A and Investment Activity 3 2 Monthly M&A and Investment Activity by Industry Segment 9 3 Additional Monthly M&A and Investment Activity Data 41 4 About Petsky Prunier 58 Securities offered through Petsky Prunier Securities, LLC, member of FINRA. This M&A and Investment Summary has been prepared by and is being distributed in the United States by Petsky Prunier, a broker dealer registered with the U.S. SEC and a member of FINRA. 2 | M&A and Investment Summary October 2018 M&A and Investment Summary for All Segments Transaction Distribution ▪ A total of 868 deals were announced in October 2018, of which 419 were worth $37.4 billion in aggregate reported value ▪ Software was the most active segment with 350 deals announced— 194 of these transactions reported $16.1 billion in value ▪ Software was also the most valuable segment, followed by Digital Media/Commerce, with 147 transactions announced – 94 of which valued at $7.6 billion ▪ Strategic buyers announced 409 deals (55 reported $11.4 billion in value) ▪ VC/Growth Capital investors announced 425 transactions (352 reported $17.4 billion in value) ▪ Private Equity investors announced 34 deals during the month (12 reported $8.6 billion in value) October 2018 BUYER/INVESTOR BREAKDOWN Transactions Reported Value Strategic Buyout Venture/Growth Capital # % $MM % # $MM # $MM # $MM Software 350 40% $16,090.5 43% 138 $4,577.4 10 $6,130.0 202 $5,383.2 Digital Media/Commerce 147 17% $7,648.5 20% 48 $651.2 4 $455.5 95 $6,541.8 Marketing Technology 122 14% $6,527.2 17% 44 $2,461.1 3 $37.9 75 $4,028.2 Business Services 111 13% $3,365.4 9% 73 $2,386.1 10 $707.9 28 $271.5 Agency & Marketing Services 61 7% $394.3 1% 57 $250.3 1 $118.0 3 $26.0 Traditional Media 33 4% $1,972.4 5% 24 $521.0 4 $1,060.0 5 $391.4 Digital Advertising 27 3% $1,353.0 4% 15 $535.2 1 $101.0 11 $716.8 Information 17 2% $43.0 0% 10 - 1 - 6 $43.0 Total 868 100% 37,394.3 100% 409 11,382.2 34 8,610.3 425 17,401.9 *Note, transactions valued at $6 billion or more have been excluded from totals to limit comparative distortions. The aggregate total for October does not include IBM’s pending $34 billion acquisition of Red Hat. 3 | M&A and Investment Summary October 2018 M&A and Investment Summary for All Segments Transaction Distribution ▪ Strategic activity was up more than thirty percent compared with the average monthly strategic activity totals of the past twelve months with 409 transactions announced ▪ Significant transactions reported during the month included: • Thoma Bravo’s pending acquisition of cybersecurity provider Imperva in a transaction valued at $2.1 billion • The pending acquisition of email solutions company SendGrid by Twilio for $2 billion • Bain Capital’s $2 billion majority stake of enterprise optimization solution Rocket Software from Court Square Capital Partners • Quad/Graphics’ $1.4 billion acquisition of printing services company LSC Communications • Cognizant’s acquisition of digital engineering and IT consulting company Softvision in a transaction valued at a reported $550 million $120.0 $110.0 $98.1 $100.0 $90.0 Gemalto $80.0 / Thales $74.1 $70.0 $57.9 $61.6 $60.0 $54.4 CA 21st Century Red Hat Flipkart $46.3 Technologies $50.0 Fox Thomson $42.7 / IBM / Disney / Walmart / Broadcom Reuters F&R $36.8 $35.5 Github $37.2 $40.0 / Blackstone $28.6 BMC Software Sedgwick CSRA / Gen. /KKR $30.0 $25.0 Dynamics MuleSoft $20.0 $10.0 583 554 514 615 654 659 668 685 713 726 671 869 $- Nov-17 Dec-17 Jan-18 Feb-18 Mar-18 Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 *Note, transactions valued at $6 billion or more have been excluded from totals to limit comparative distortions. The aggregate total does not include Disney’s pending $69 billion acquisition of 21st Century Fox, Thales’ $6.6 billion acquisition of Gemalto, Blackstone’s $20 billion acquisition of Thomson Reuters’ F&R business, General Dynamics’ $9.6 billion acquisition of CSRA, Salesforce’s $6.5 billion acquisition of MuleSoft, Walmart’s $16 billion majority investment in Flipkart, KKR’s $8.6 billion acquisition of BMC Software, Microsoft’s $7.5 billion TEV acquisition of GitHub, Broadcom’s pending $18.4 billion acquisition of CA Technologies, Carlyle Group’s pending $6.7 billion acquisition of Sedgwick Management Services, and IBM’s pending $34 billion acquisition of Red Hat. 4 | M&A and Investment Summary October 2018 Selected Transactions with Valuation Information Disclosed ($ in Millions) Selected Transactions With Multiples Information Target Subsegment Buyer/Investor Ent. Value TTM Rev TTM EBITDA EV/REV EV/EBITDA Agency & Marketing Services Communisis plc DM Agency Output Services Group, Inc. $ 225.0 $ 516.0 $ 33.5 0.4x 6.7x Vobling AB Digital Agency Bublar Group AB 5.6 2.7 - 2.1x NA Business Services LSC Communications, Inc. Printing Services Quad/Graphics, Inc. 1,312.4 3,800.0 291.0 0.3x 4.5x Cambium Learning Group, Inc. Corporate Training Veritas Capital 707.9 159.5 39.9 4.4x 17.7x The Learning House, Inc. Corporate Training John Wiley & Sons, Inc. 200.0 60.0 7.0 3.3x 28.6x FusionStorm, Inc. IT Consulting/Systems Integration ComputaCenter plc 90.0 595.5 - 0.2x NA Inzpire Group Limited Corporate Training QinetiQ Group Plc 36.0 17.9 - 2.0x NA Digital Advertising QuoteWizard.com LLC Comparison Shopping LendingTree LLC 370.2 151.2 - 2.4x NA Triton Digital, Inc. Ad Networks/Exchanges The E.W. Scripps Company 150.0 40.5 16.7 3.7x 9.0x NA Digital Media/Commerce Vionic Group LLC e-commerce Caleres, Inc. 360.0 180.0 - 2.0x NA CRM Students Limited e-commerce Corestate Capital 19.5 17.5 2.7 1.1x 7.3x Marketing Technology SendGrid, Inc. Email/Messaging Software Twilio, Inc. 1,832.0 128.3 - 14.3x NA Mitek Systems Inc. Mobile Technology ASG Technologies 420.0 55.4 - 7.6x NA Rentlytics, Inc. Analytics & Targeting RealPage, Inc. 57.0 9.0 - 6.3x NA ResponseSource Ltd. Media Management System Access Intelligence Plc 7.3 4.2 - 1.7x NA Software Hortonworks, Inc. Big Data Technology Cloudera, Inc. 2,025.3 309.4 - 6.5x NA Imperva, Inc. Security Software Thoma Bravo, Inc. 1,731.6 344.0 - 5.0x NA Transnorm Beteilgungen GmbH ERP Software Honeywell International, Inc. 495.2 154.6 - 3.2x NA JetPay Corporation HR Software NCR Corporation 184.0 69.4 6.6 2.7x 28.1x Symbility Solutions, Inc. Credit/Risk Software CoreLogic, Inc. 99.0 32.9 2.9 3.0x 34.1x ZenMate GmbH Security Software Kape Technologies plc 5.6 2.5 - 2.2x NA Traditional Media The National Exhibition Centre Limited B-to-B Media The Blackstone Group L.P. 1,060.0 207.0 69.9 5.1x 15.2x 5 | M&A and Investment Summary October 2018 Securities in Registration Filings in 2018 ($ in Millions) Aggregate LTM Date Company Name Country Segment Offering Value Rev EBITDA Oct-18 360 Finance Inc China Software $ 200.0 NA NA Oct-18 Caliburn International Corp United States Business Services 100.0 NA NA Oct-18 Qualtrics International Inc United States Marketing Technology 200.0 NA NA Oct-18 Tencent Music Entertainment Group China Traditional Media 1,000.0 2,167.0 441.7 Sep-18 Valtech SE United Kingdom Agency & Marketing Services 100.0 298.0 21.0 Aug-18 Weidai Ltd. China Digital Media/Commerce 100.0 558.2 111.2 Jul-18 Pintec Technology Holdings Limited China Software 70.0 784.5 10.3 May-18 Advantage Solutions Inc. United States Agency & Marketing Services 100.0 2,150.4 405.1 Apr-18 HeadHunter Group PLC Russia Software 250.0 75.7 31.6 6 | M&A and Investment Summary October 2018 LTM IPO Performance Initial Offering Final Price Stock Price at Close Stock Price on % Change from Date Ticker PPLLC Segment Company Name Country Price Range Per Share on 1st Trading Day Oct 31, 2018 1st Trading Day Oct-18 STNE Marketing Technology StoneCo Ltd. Brazil $21.00-$23.00 24.00 $31.35, up 30.6% 28.69 (8.5%) Oct-18 SWI Digital Media/Commerce SolarWinds Corporation United States 15.00-16.00 15.00 15.03, up 0.0% 14.59 (2.9%) Oct-18 PLAN Digital Media/Commerce Anaplan, Inc. United States 13.00-15.00 17.00 24.30, up 42.9% 23.00 (5.3%) Oct-18 ESTC Marketing Technology Elastic N.V. United States 33.00-35.00 36.00 70.00, up 94.4% 68.00 (2.9%) Sep-18 UPWK Marketing Technology Upwork Inc. United States 12.00-14.00 15.00 21.18, up 41.2% 19.20 (9.3%) Sep-18 CTK Marketing Technology CooTek (Cayman) Inc. China 12.00-14.00 12.00 $9.44, down 21.3% 6.80 (28.0%) Sep-18 EB Marketing Technology Eventbrite, Inc. United States 19.00-21.00 23.00 36.5, up 58.7% 28.30 (22.5%) Sep-18 FTCH Digital Media/Commerce Farfetch Limited United Kingdom 17.00-19.00 20.00 28.45, up 42.3% 20.54 (27.8%) Sep-18 NYSE: LAIX Digital Media/Commerce LAIX Inc.