Fintech Monthly Market Update JULY 2021 EDITION Leading Independent Advisory Firm Houlihan Lokey is the trusted advisor to more top decision-makers than any other independent global investment bank. Corporate Finance Financial Restructuring Financial and Valuation Advisory 2020 M&A Advisory Rankings 2020 Global Distressed Debt & Bankruptcy 2001 to 2020 Global M&A Fairness All U.S. Transactions Restructuring Rankings Advisory Rankings Advisor Deals Advisor Deals Advisor Deals 1,500+ 1 Houlihan Lokey 210 1 Houlihan Lokey 106 1 Houlihan Lokey 956 2 JP Morgan 876 Employees 2 Goldman Sachs & Co 172 2 PJT Partners Inc 63 3 JP Morgan 132 3 Lazard 50 3 Duff & Phelps 802 4 Evercore Partners 126 4 Rothschild & Co 46 4 Morgan Stanley 599 23 5 Morgan Stanley 123 5 Moelis & Co 39 5 BofA Securities Inc 542 Refinitiv (formerly known as Thomson Reuters). Announced Locations Source: Refinitiv (formerly known as Thomson Reuters) Source: Refinitiv (formerly known as Thomson Reuters) or completed transactions. No. 1 U.S. M&A Advisor No. 1 Global Restructuring Advisor No. 1 Global M&A Fairness Opinion Advisor Over the Past 20 Years ~25% Top 5 Global M&A Advisor 1,400+ Transactions Completed Valued Employee-Owned at More Than $3.0 Trillion Collectively 1,000+ Annual Valuation Engagements Leading Capital Markets Advisor >$6 Billion Market Cap North America Europe and Middle East Asia-Pacific Atlanta Miami Amsterdam Madrid Beijing Sydney >$1 Billion Boston Minneapolis Dubai Milan Hong Kong Tokyo Annual Revenue Chicago New York Frankfurt Paris Singapore Dallas San Francisco London No Houston Washington, D.C. Debt Los Angeles 2 Global, Market-Leading Fintech Practice There is significant momentum in fintech following a dedicated team build-out across our industry-leading FIG and Data & Analytics groups, supported 75+ Global 50+ further by the extensive dedicated fintech/FIG single specialized completed or announced resources and relationships of bankers based in London, fintech practice fintech M&A and private New York, Los Angeles, across the world placement transactions Houlihan Lokey’s broader Miami, and San Francisco since the start of 2019 global platform. Financial Institutions Technology, Media, and Telecom 2018 to 2020 M&A Advisory Rankings U.S. Technology, Media, Entertainment & Telecom Transactions Under $5 Billion Advisor Deals 1 Houlihan Lokey 133 2 Goldman Sachs & Co 123 Product Capabilities 3 Raymond James Financial Inc 110 3 Morgan Stanley 110 Sellside and Private Equity Financial Board and Fairness Opinions 5 JP Morgan 108 Buyside M&A and Debt Capital Restructuring and Special Committee and Valuation Source: Refinitiv (formerly known as Thomson Reuters) Advisory Markets Special Situations Advisory Services 3 Integrated Team Built to Advise Modern Fintech Platforms Fintech Leadership Team Mark Fisher Tim Shortland Rob Freiman Kegan Greene Chris Pedone Managing Director Managing Director Director Director Director [email protected] [email protected] [email protected] [email protected] [email protected] Additional Senior Industry Bankers and Team Members Andrew Adams Tara Carter Lawrence Guthrie Jeffrey Levine Michael McMahon Arik Rashkes Brent Ferrin Craig Muir James Page Managing Director Managing Director Managing Director Managing Director Managing Director Managing Director Managing Director Managing Director Managing Director Head of Data and Analytics Data and Analytics Specialty Finance Global Head of FIG Head of Asset Management Head of Insurance Specialty Finance Data and Analytics Mortgage Christian Kent Paul Tracey Anna Cotterell Gagan Sawhney Craig Tessimond Eric Weber Juan Guzman Rob Losquadro Evan Schutz Managing Director Managing Director Senior Vice President Managing Director Managing Director Managing Director Director Director Director FIG/Fintech Insurance Data and Analytics Broker-Dealer Insurance Asset Management Insurance Mortgage Data and Analytics Alex Fauron Antoine Marie Elliot Reader Aaron Solomon Joe Watson Matt Capozzi Dakota Frank Andrew Larrabee Jack Denzer Vice President Vice President Vice President Senior Vice President Senior Vice President Vice President Associate Associate Financial Analyst Fintech Fintech FIG/Fintech FIG/Fintech Data and Analytics FIG/Fintech Fintech FIG/Fintech FIG/Fintech 4 How We Look at the Fintech Opportunity Asset/ Banking/ Capital Corporate/ Data and Insurance Payments Real Estate/ Wealth Lending Markets Diversified Analytics Mortgage BUSINESS MODELS CONVERGING Alternative Financial Services • BPO • Data and Analytics • Software/SaaS • Tech-Enabled Services • Transaction Processing Note: Logos shown for each category are illustrative. 5 Recent Houlihan Lokey Transaction Spotlight Transaction Pending An affiliate of a portfolio company of has been acquired by has acquired has agreed to be acquired by has signed a £100m capital raise has been acquired by with has been acquired by $70,000,000 a portfolio company of Acquisition Financing Transaction Senior Secured Credit Facility: Revolver & Term Loan Sellside Advisor Exclusive Placement Agent Sellside Advisor Sellside Advisor Sellside Advisor Sellside Advisor August July June June June June Deal Date 2021 2021 2021 2021 2021 2021 £100 million Not disclosed $70 million Not disclosed Not disclosed Not disclosed Deal Value ($140 million) Portfolio monitoring, Data-driven audit Cloud-based and Vertically integrated Pet wellness Data-driven risk fee validation, fund software and digital insurance payments company software and management and administration, and document processing solutions across for merchants insurance plan telematics insurance data management for automation for the life, general health, operating the U.K.’s administration technology for Target private markets mortgage industry and commercial largest independent for veterinarians commercial fleet Description asset managers insurance segments omnichannel gateway owners Geography Exclusive Sellside Advisor Sellside Advisor Sellside Advisor Sellside Advisor Sellside Advisor Placement Agent Houlihan Lokey Role Lokey Note: Deal dates listed are based on transaction announcement. 6 Proven Fintech Track Record With Exceptional Momentum Transaction Pending An affiliate of & has been acquired by have partnered to combine a portfolio company of has been acquired by has acquired has agreed to be acquired by & has signed a £100m capital raise with to form a new financial data intelligence business has been acquired by $70,000,000 a portfolio company of Sellside Advisor Buyside & Financing Advisor Acquisition Financing Aug. 2021 July 2021 June 2021 June 2021 June 2021 June 2021 May 2021 May 2021 Senior Secured Credit Facility: Revolver & Term Loan Transaction Pending Transaction Pending Sellside Advisor Exclusive Placement Agent Sellside Advisor Sellside Advisor Sellside Advisor a division of including has agreed to acquire has agreed to be acquired by has received a minority investment has been acquired by has been acquired by from has received a $260m structured investment from a portfolio company of a portfolio company of has been acquired by has been acquired by Macquarie Nordic Capital Sellside Advisor Buyside Advisor Sellside Advisor Sellside Advisor Financial Advisor and Placement Agent Sellside Advisor Sellside Advisor Financial Advisor May 2021 Mar. 2021 Mar. 2021 Feb. 2021 Feb. 2021 Dec. 2020 Dec. 2020 Dec. 2020 Protection America Inc. has been acquired by has acquired has participated in the has sold its minority stake in has received an investment by Minneapolis Grain Exchange has been acquired by has been recapitalized by has been acquired by a portfolio company of a portfolio company of to Series B financing round Sellside Advisor Sellside Advisor Sellside Advisor Sellside Advisor Buyside Advisor Sellside Advisor Placement Agent Financial Advisor Dec. 2020 Nov. 2020 Nov. 2020 Nov. 2020 Oct. 2020 Oct. 2020 Oct. 2020 Aug. 2020 Unit4 VerzuimSignaal B.V. a subsidiary of has been acquired by has agreed to merge with PropTech the venture capital arm of a portfolio company of Acquisition Corporation via SPAC has acquired an investment in Series A has acquired a majority stake in combination Senior Secured Notes a portfolio company of Growth Capital Growth Equity has been acquired by Portag3 Ventures II LP $400,000,000 $50,000,000 $40,000,000 Preferred Equity Sellside Advisor Advisor to Special Committee Financial Advisor Exclusive Financial Advisor & Placement Agent Financial Advisor Exclusive Placement Agent Placement Agent* Sellside Advisor June 2020 May 2020 Mar. 2020 Mar. 2020 Mar. 2020 Feb. 2020 Dec. 2019 Nov. 2019 Note: List of transactions shown is illustrative, not exhaustive. Deal dates listed are based on transaction announcement. *Denotes transaction executed by firms acquired by Houlihan Lokey. 7 Proven Fintech Track Record With Exceptional Momentum (cont.) Funds managed by have entered into an agreement to combine a portfolio company of has completed a recapitalization has been acquired by with has been acquired by has acquired has been acquired by has been acquired by and has been acquired by the parent company of Fairness Opinion Sellside Advisor* Sellside Advisor Buyside Advisor Fairness Opinions Sellside Advisor Sellside Advisor Sellside Advisor Sept. 2019 Sept. 2019 Sept. 2019 Sept. 2019 June 2019 May 2019 Apr. 2019 Mar. 2019 LenderLive Network a portfolio company of a portfolio company of has received an investment from a portfolio company of has sold a division of Lowell has sold its payments has acquired a majority interest in business unit in the Nordics