HW&Co. Industry Reader Template - Harris Williams

www.harriswilliams.de

Harris Williams & Co. Ltd is a private limited company incorporated under English law having its registered office at 5th Floor, 6 St. Andrew Street, London EC4A 3AE, UK, registered with the Registrar of Companies for England and Wales under company number 7078852. Directors: Mr. Ned Valentine, Mr. Paul Poggi, Mr. Thierry Monjauze and Mr. Aadil Khan, authorised and regulated by the Financial Conduct Authority.

Harris Williams & Co. Ltd Niederlassung Frankfurt (German branch) is registered in the Commercial Register (Handelsregister) of the Local Court (Amtsgericht) of Frankfurt am Main,Germany, under registration number HRB 96687, having its business address at Bockenheimer Landstrasse 33-35, 60325 Frankfurt am Main, Germany. Permanent Representative(Ständiger Vertreter) of the Branch Niederlassung: Mr. Jeffery H. Perkins.

EUROPEAN TECHNOLOGY

0

INDUSTRY UPDATE │ JULY 2016

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RECENT DEVELOPMENTS

1

COMPANY SPECIFIC NEWS

EUROPEAN TECHNOLOGY


CONTENTS

RECENT DEVELOPMENTS

PUBLIC MARKET TRADING

SOFTWARE

IT SERVICES

COMMUNICATIONS

INTERNET AND DIGITAL MEDIA

TMT GROUP OVERVIEW

Our Technology, Media & Telecom (TMT) Group is dedicated to providing superior merger & acquisition and capital markets advisory services to market leading companies. Our extensive industry knowledge and transaction leadership experience spans the software, digital media, IT Services and communications sectors. Our professionals in London, Boston and San Francisco have global relationships with leading technology companies and financial investors. Thoughtful advice, deep experience and technology expertise, creativity and attention to detail from our senior technology bankers have resulted in a track record of consistently exceeding our clients' expectations.

CONTACTS

EUROPE

Thierry MonjauzeManaging [email protected]+44 (0) 20 7518 8901

Jonathan [email protected]+44 (0) 20 7518 8909

UNITED STATES

Jeff BistrongManaging [email protected]+1 (617) 482-7501

Michael WilkinsManaging [email protected]+1 (415) 288-4260

Sam HendlerManaging [email protected]+1 (617) 654-2117

Softbank Group has agreed to acquire ARM Holdings, the UK-based provider ofmicrochips and associated software, valuing the business at c. £24bn

Tencent has agreed to acquire 84.3% stake in Supercell, the Finland-baseddeveloper of mobile games, valuing the business at $10.2bn

KKR has agreed to acquire Epicor Software, the US-based provider of softwareand IT solutions, valuing the business c. $3.3bn

Avast Software has made an offer to acquire AVG Technologies, theNetherlands-based developer of security software applications, valuing thebusiness at $1.4bn

AMC Entertainment has agreed to acquire ODEON & UCI Cinemas, the UK-based operator of cinema theatres, valuing the business at £921m

Astorg has agreed to acquire AutoForm Engineering, the Switzerland-basedprovider of software solutions for the die-making and sheet metal formingindustries, valuing the business at c. CHF 700m

Randstad has made an offer to acquire Ausy, the France-based provider ofconsultancy and engineering services in complex industrial systems, valuing thebusiness at €467m

News Corp has made an offer to acquire Wireless Group, the UK-basedprovider of broadcasting and new media services, valuing the business at£263m

Leyou Technologies has agreed to acquire Splash Damage, the UK-baseddeveloper of computer games, valuing the business at c. $150m

Twitter has acquired Magic Pony Technology, the UK-based provider ofmachine learning and computer vision techniques, valuing the business at c.$150m

Andon Health has agreed to acquire eDevice, the France-based provider ofmedical device connectivity solutions, valuing the business at €94m

Dedalus has agreed to acquire NoemaLife, the Italy-based provider of clinicaland hospital information systems, valuing the business at €82.6m

Capita has acquired Trustmarque Solutions, the UK-based provider of end-to-end IT solutions, valuing the business at £57m

Lyceum Capital has invested £50m in Sabio, the UK-based provider of customerservice technology solutions

Pharmacy2U has merged with Chemist Direct, the UK-based provider of anonline pharmacy, valuing the combined business at c. £40m

Maven Capital and YFM Equity Partners have acquired Indigo Telecom, the UK-based provider of telecom networks, valuing the business at £12m

WestBridge Capital and Octopus Investments have acquired ISG Technology,the UK-based provider of network infrastructure solutions, valuing the business at£11m

Access Technology has acquired Mobizio, the UK-based provider of digitalcare planning solutions

Ardian has agreed to acquire c. 60% of Dedalus, the Italy-based provider ofhealthcare software systems

Ardian has agreed to acquire Envision Pharma, the UK-based provider ofmedical affairs-focused scientific communications and technology solutions

ECI Partners, has acquired IT Lab, the UK-based technology and managedservices provider

Mitratech Holdings has acquired CMO Software, the UK-based provider ofenterprise health, safety, environment, and compliance software

http://www.harriswilliams.com/

mailto:[email protected]





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(30%)

(25%)

(20%)

(15%)

(10%)

(5%)

0%

5%

10%

15%

20%

25%

Jul 2015 Oct 2015 Jan 2016 Apr 2016 Jul 2016

Internet and Digital Media Communications

IT Services Software

Nasdaq Composite DJ Stoxx 600 Technology

According to eMarketer, nearly 80% of retail executives stated that producing live streaming video events helps them create more authentic interaction with audiences, leading advertisers to increase their focus on live streaming and digital video advertising

Forecast worldwide spending on information technology has been revised upwards 0.5% since Q2-16 to $3.4 trillion in 2016, according to Gartner

The global enterprise software market is projected to increase 5.8% to $332 billion in 2016. The dominant region is North America, which accounts for $11.6 billion of the $24 billion increase, according to Information Management

SaaS applications are projected to have a 17.6% CAGR 2013-2018, according to IDC, while on-premise software spending is to decline by -2.8% over the same period

According to Juniper Research, the total value of Bitcoin transactions is expected to exceed $92 billion this year, an increase of approximately 240% from $27 billion in 2015

Europe is emerging as a global leader in national cybersecurity enforcement, implementing binding legal instruments in the area of cybercrime and cybersecurity, and is forecast to spend $35 billion in cybersecurity in this space by 2021, according to ABI Research

INDUSTRY TRENDS AND NEWS

RECENT DEVELOPMENTS

2

EUROPEAN TECHNOLOGY


LAST TWELVE MONTHS

Stock Performance

LAST 30 DAYS

PUBLIC MARKET TRADING STATISTICS

Source: Various industry news outlets

8.5%

8.4%

6.5%

(0.2%)

(6.0%)

(12.3%)

(12%)

(10%)

(8%)

(6%)

(4%)

(2%)

0%

2%

4%

09 Jun 16 Jun 23 Jun 30 Jun 07 Jul

Internet and Digital Media Communications

IT Services Software

Nasdaq Composite DJ Stoxx 600 Technology

1.0%

0.7%

0.6%

(1.0%)

(1.4%)

(2.6%)


http://www.forbes.com/sites/greatspeculations/2016/06/22/heres-why-twitter-is-increasing-its-focus-on-machine-learning/#40d24cc35aff

http://www.information-management.com/news/data-management/data-spending-shows-slight-increase-in-otherwise-flat-forecast-10029296-1.html

http://www.information-management.com/news/data-management/data-spending-shows-slight-increase-in-otherwise-flat-forecast-10029296-1.html

http://venturebeat.com/2016/07/13/saas-and-mobile-apps-huge-gains-are-being-undermined-by-poor-in-app-performance/

http://www.forbes.com/sites/rogeraitken/2016/07/08/trump-brexit-factors-could-triple-bitcoin-transactions-but-wheres-the-price-heading/#427be63846c7

https://www.abiresearch.com/press/europe-emerges-global-leader-cybersecurity-law-enf/

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PUBLIC MARKET TRADING STATISTICS

3

EUROPEAN TECHNOLOGY


COMPARABLE TRADING SUMMARY

Rev. Growth EBITDA Margin CY2016E CY2017E CY2016E CY2017E CY2016E CY2017E

Software

European Large Cap. Software 6.4% 34.3% 5.1x 4.8x 15.2x 13.8x 23.0x 20.8x

Application Software 6.3% 27.8% 4.4x 4.0x 16.4x 14.2x 21.3x 21.4x

Infrastructure Software 6.6% 28.2% 2.8x 2.6x 10.4x 9.5x 18.6x 16.2x

Large Cap. SaaS 27.8% 16.1% 7.1x 5.7x 28.3x 24.5x 29.9x 29.9x

Small Cap. SaaS 14.7% 9.2% 3.8x 3.2x 31.9x 21.2x NA 40.5x

HCM/WFM 23.2% 14.2% 6.1x 4.9x 22.0x 25.1x 23.9x 18.7x

FinTech 16.1% 28.8% 5.4x 4.9x 18.3x 15.8x 26.2x 23.4x

Healthcare IT 15.3% 17.7% 3.2x 2.9x 13.3x 11.9x 23.8x 20.5x

Data and Data Analytics 9.0% 23.2% 4.4x 4.0x 14.3x 12.1x 18.9x 17.1x

Security Software 13.5% 22.1% 4.3x 3.8x 14.7x 12.3x 24.2x 24.9x

CAx/PLM 1.8% 23.8% 5.1x 4.7x 17.7x 16.1x 27.6x 27.1x

IT Services

IT Services 7.6% 13.2% 1.1x 1.1x 8.2x 7.6x 15.7x 14.0x

Offshore IT Services 12.1% 23.5% 2.8x 2.5x 11.6x 10.4x 16.5x 14.6x

Managed Services, Colocation and Hosting 9.5% 28.5% 2.5x 2.3x 8.4x 7.6x 17.3x 18.1x

Data Centres 21.1% 54.2% 9.8x 8.8x 18.1x 16.1x 31.4x 37.0x

PaaS/IaaS 11.8% 25.2% 3.1x 2.7x 14.2x 11.4x 18.6x 20.6x

Communications

Digital Broadband 10.8% 7.0% 0.9x 0.8x 8.5x 8.1x 17.8x 15.7x

Diversified Communication Equipment 2.8% 11.8% 1.0x 1.0x 9.0x 7.7x 17.3x 14.6x

Mobile Content/Solutions Providers 12.3% 14.6% 2.0x 1.8x 14.0x 11.7x 28.5x 23.2x

Mobile Infrastructure Software (0.4%) 25.5% 2.9x 2.8x 10.6x 8.7x 21.1x 15.4x

Internet and Digital Media

Global Internet Leaders 16.2% 35.6% 6.1x 5.1x 18.4x 15.1x 24.0x 19.2x

Chinese Internet Leaders 35.9% 17.5% 5.1x 3.9x 15.5x 15.7x 25.3x 26.5x

Online Classifieds 14.0% 28.5% 5.0x 4.4x 13.5x 13.3x 20.7x 17.7x

Content Providers/Communities 12.5% 15.0% 3.7x 3.2x 20.6x 16.0x 34.7x 31.7x

Ecommerce 16.2% 16.8% 3.7x 3.1x 19.3x 17.3x 26.0x 26.4x

Interactive Entertainment 14.2% 26.6% 3.3x 3.0x 15.3x 11.2x 25.4x 24.6x

Intermediation and Comparison 9.7% 18.7% 2.8x 2.5x 9.5x 12.7x 17.5x 17.9x

Online Gambling 11.4% 29.0% 2.6x 2.4x 9.2x 8.3x 15.9x 14.4x

Digital Marketing 12.8% 12.8% 2.4x 2.1x 20.4x 13.2x 16.8x 12.7x

Online Travel 17.5% 17.2% 3.6x 3.1x 11.4x 13.5x 18.7x 20.7x

Educational Technology (0.7%) 4.3% 2.1x 2.0x 12.1x 8.1x 33.0x 24.7x

Internet Services 25.9% 15.7% 3.9x 3.2x 27.1x 18.7x 14.5x 15.2x

P / EEV / Revenue EV / EBITDACY2016E


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(20%)

(15%)

(10%)

(5%)

0%

5%


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

SOFTWARE

4

EUROPEAN TECHNOLOGY


LAST 30 DAYS PERFORMANCE

LAST TWELVE MONTHS PERFORMANCE

(40%)

(30%)

(20%)

(10%)

0%

10%

20%

30%


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

Fintech 4.2%

HCM/WFM 3.3%

Security Software 2.0%

Application Software 1.9%

Healthcare IT 1.4%

Data and Data Analytics 0.7%

Large Cap. SaaS 0.2%

Small Cap. SaaS (1.0%)

European Large Cap. Software (4.0%)

CAx/PLM (4.4%)

Infrastructure Software (4.5%)

Fintech 19.6%

Application Software 11.5%

Large Cap. SaaS 11.0%

Small Cap. SaaS 10.5%

HCM/WFM 9.7%

European Large Cap. Software 7.2%

Data and Data Analytics 4.5%

CAx/PLM 0.9%

Infrastructure Software (1.4%)

Healthcare IT (9.6%)

Security Software (16.4%)


PAGE |


SOFTWARE

5

EUROPEAN TECHNOLOGY


(1) Silverlake Partners and AltaOne Capital have signed an agreement to acquire a 38% stake in, and launch a tender

offer to acquire, Cegid; share price as at 15 April 2016

(1)

Market Enterprise CY2016E

Cap ($m) Value ($m) EBITDA Margin Rev. Growth CY2016E CY2017E CY2016E CY2017E CY2016E CY2017E

European Large Cap. Software

SAP 96,362 97,914 32.8% 7.4% 4.0x 3.8x 12.3x 11.5x 17.8x 16.6x

Dassault Systemes 19,961 18,165 33.2% 8.9% 5.4x 5.0x 16.3x 14.7x 28.7x 25.9x

Sage 9,179 9,591 28.8% (3.5%) 4.6x 4.3x 16.0x 14.6x 23.3x 21.0x

Micro Focus 5,086 6,489 45.2% 20.9% 4.9x 4.7x 10.8x 10.0x 13.9x 12.7x

Temenos 3,619 3,912 38.4% 12.5% 6.4x 5.8x 16.7x 14.9x 26.2x 22.6x

Aveva 1,568 1,415 27.3% (8.1%) 5.1x 5.0x 18.9x 17.1x 27.9x 25.9x

Mean 34.3% 6.4% 5.1x 4.8x 15.2x 13.8x 23.0x 20.8x

Median 33.0% 8.1% 5.0x 4.8x 16.1x 14.6x 24.7x 21.8x

Application Software

Microsoft 418,255 365,724 37.2% 1.3% 3.9x 3.7x 10.5x 9.8x 19.1x 17.4x

Oracle 170,763 166,544 45.9% 0.4% 4.4x 4.3x 9.6x 9.2x 15.3x 14.2x

SAP 96,362 97,914 32.8% 7.4% 4.0x 3.8x 12.3x 11.5x 17.8x 16.6x

Intuit 29,768 29,635 37.6% 10.6% 6.1x 5.6x 16.3x 14.2x 29.4x 25.1x

Sage 9,179 9,591 28.8% (3.5%) 4.6x 4.3x 16.0x 14.6x 23.3x 21.0x

Constellation Software 8,269 8,374 25.3% 13.3% 4.0x 3.5x 15.9x 13.9x 21.3x 17.8x

Tyler Technologies 6,067 6,563 28.6% 29.8% 8.6x 7.6x 30.0x 24.0x NM 43.4x

Guidewire Software 4,626 4,033 20.6% 11.7% 9.1x 8.0x 44.2x 35.9x NM NM

Cegid 554 684 27.8% 11.5% 2.0x 1.9x 7.2x 6.7x 17.3x 15.5x

SDL 415 399 12.4% (16.9%) 1.2x 1.2x 9.8x 8.1x 17.2x 13.7x

American Software 316 248 16.5% 6.1% 2.1x 2.1x 12.9x 13.0x 31.0x 29.3x

Mean 27.8% 6.3% 4.4x 4.0x 16.4x 14.2x 21.3x 21.4x

Median 28.2% 6.8% 4.0x 3.8x 12.6x 12.3x 19.1x 17.6x

Infrastructure Software

Hewlett-Packard Enterpise Co. 32,719 42,069 15.6% (1.7%) 0.8x 0.8x 5.3x 5.2x 10.4x 9.7x

VMware 25,944 19,195 35.2% 3.7% 2.8x 2.7x 7.9x 7.8x 14.8x 13.9x

CA Technologies 14,418 13,926 37.6% (0.4%) 3.4x 3.4x 9.1x 9.0x 13.6x 13.2x

Red Hat 13,385 12,946 26.7% 17.2% 5.5x 4.8x 20.6x 18.0x 34.1x 29.2x

Citrix Systems 13,024 13,259 38.3% 2.5% 4.0x 3.8x 10.3x 9.6x 16.9x 15.6x

F5 Networks 7,891 7,213 38.3% 4.5% 3.6x 3.3x 9.3x 8.6x 16.1x 14.5x

Brocade 4,555 3,356 25.8% 2.8% 1.4x 1.3x 5.6x 5.3x 10.5x 9.7x

Software AG 2,722 2,584 31.6% 3.1% 2.6x 2.6x 8.4x 8.1x 13.6x 12.9x

Netscout Systems 2,240 1,919 29.6% 33.1% 1.6x 1.5x 5.5x 4.6x 12.6x 11.2x

Pegasystems 2,160 2,039 14.6% 17.0% 2.6x 2.3x 17.4x 14.6x 29.6x 24.8x

Progress Software 1,438 1,404 34.5% 0.6% 3.4x 3.3x 9.8x 10.0x 18.3x NA

Radware 552 356 10.8% (3.7%) 1.7x 1.6x 15.8x 12.8x 32.9x 23.9x

Mean 28.2% 6.6% 2.8x 2.6x 10.4x 9.5x 18.6x 16.2x

Median 30.6% 2.9% 2.7x 2.6x 9.2x 8.8x 15.4x 13.9x

Large Cap. SaaS

Salesforce 55,508 56,304 20.7% 24.2% 6.9x 5.7x 33.5x 27.3x NM NM

Workday 15,855 14,090 8.4% 34.6% 9.3x 7.1x NM NM NM NM

NetSuite 6,771 6,642 8.5% 30.4% 6.9x 5.4x NM NM NM NM

The Ultimate Software Group 6,340 6,464 24.9% 26.1% 8.3x 6.8x 33.4x 26.9x NM NM

Athenahealth 5,500 5,666 21.2% 20.8% 5.1x 4.2x 23.9x 19.5x NM NM

Veeva Systems 5,000 4,948 27.7% 27.2% 9.7x 8.0x 35.1x 26.8x NM NM

Guidewire Software 4,626 4,033 20.6% 11.7% 9.1x 8.0x 44.2x 35.9x NM NM

Medidata Solutions 2,796 2,680 23.1% 17.4% 5.8x 4.9x 25.2x 20.1x NM 39.4x

Paylocity 2,284 2,302 4.2% 36.3% 8.9x 7.1x NM NM NM NM

Cornerstone OnDemand 2,237 2,185 6.9% 27.1% 5.1x 4.1x NM 37.9x NM NM

Xero 1,784 1,648 (15.5%) 63.4% 7.9x 5.6x NM NM NM NM

Fleetmatics 1,781 1,644 33.5% 20.6% 4.8x 4.1x 14.3x 11.7x 25.9x 21.5x

LogMeIn 1,593 1,428 25.3% 22.0% 4.3x 3.7x 17.0x 14.7x 33.9x 28.9x

Mean 16.1% 27.8% 7.1x 5.7x 28.3x 24.5x 29.9x 29.9x

Median 20.7% 26.1% 6.9x 5.6x 29.3x 26.8x 29.9x 28.9x

EV / Revenue EV / EBITDA P / E


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SOFTWARE

6

EUROPEAN TECHNOLOGY




Small Cap. SaaS

Cvent 1,453 1,269 12.5% 22.7% 5.5x 4.5x 44.0x 32.5x NM NM

Benefitfocus 1,248 1,243 (4.4%) 26.9% 5.3x 4.3x NM NM NM NM

Callidus 1,179 1,074 11.4% 20.5% 5.1x 4.3x 45.3x 33.1x NM NM

SPS Commerce 1,046 934 13.5% 21.7% 4.8x 4.1x 35.8x 26.8x NM NM

SciQuest 492 360 21.0% 4.3% 3.3x 3.0x 15.5x 13.4x NM 45.7x

Channel Advisors 389 327 2.4% 12.9% 2.9x 2.5x NM NM NM NM

JIVE 294 184 6.7% 0.5% 0.9x 1.0x 13.9x 12.2x NM NM

Marin Software 92 57 1.4% (2.2%) 0.5x 0.5x 38.9x 11.3x NM NM

Mean 9.2% 14.7% 3.8x 3.2x 31.9x 21.2x NA 40.5x

Median 11.4% 20.5% 4.8x 4.1x 35.8x 18.9x NA 40.5x

HCM/WFM

Workday 15,855 14,090 8.4% 34.6% 9.3x 7.1x NM NM NM NM

The Ultimate Software Group 6,340 6,464 24.9% 26.1% 8.3x 6.8x 33.4x 26.9x NM NM

Paylocity 2,284 2,302 11.9% 36.3% 8.9x 7.1x NM NM NM NM

Cornerstone OnDemand 2,237 2,185 6.9% 27.1% 5.1x 4.1x NM 37.9x NM NM

Benefitfocus 1,248 1,243 (4.4%) 26.9% 5.3x 4.3x NM NM NM NM

ATOSS Software 260 234 27.0% 14.2% 4.2x 3.7x 15.5x 13.9x 27.3x 24.4x

Halogen 143 109 2.5% 11.5% 1.5x 1.3x NM 35.7x NM NM

Invision Software 95 93 36.0% 9.1% 6.2x 5.1x 17.1x 11.0x 20.5x 12.9x

Mean 14.2% 23.2% 6.1x 4.9x 22.0x 25.1x 23.9x 18.7x

Median 10.2% 26.5% 5.7x 4.7x 17.1x 26.9x 23.9x 18.7x

Healthcare IT

McKesson 44,116 51,141 2.7% 7.6% 0.3x 0.2x 9.5x 9.2x 14.7x 13.6x

Cerner 20,535 21,102 34.0% 11.5% 4.3x 3.9x 12.6x 11.0x 25.8x 22.5x

Sysmex 14,654 14,096 27.6% 25.9% 5.5x 5.0x 19.9x 18.2x 38.6x 34.5x

Allscripts Healthcare Solutions 2,641 3,204 18.3% 13.0% 2.0x 1.9x 11.2x 9.7x 24.2x 20.5x

CompuGroup 2,249 2,456 22.9% 7.8% 3.8x 3.5x 16.8x 14.6x 24.0x 20.1x

EMIS 775 789 32.0% (4.3%) 3.6x 3.4x 11.2x 10.5x 19.1x 17.7x

Computer Programs & Systems 558 671 25.7% 63.1% 2.3x 2.1x 8.8x 7.5x 12.6x 11.1x

Sectra 544 532 20.6% 9.0% 4.0x 3.7x 19.3x 17.3x 34.6x 30.6x

Castlight Health 413 290 (38.3%) 33.5% 2.9x 2.3x NM NM NM NM

Cegedim 404 642 17.9% (13.1%) 1.3x 1.3x 7.5x 7.0x 17.6x 10.7x

Craneware 309 267 31.3% 14.2% 5.0x 4.4x 15.8x 14.2x 26.3x 23.4x

Mean 17.7% 15.3% 3.2x 2.9x 13.3x 11.9x 23.8x 20.5x

Median 22.9% 11.5% 3.6x 3.4x 11.9x 10.7x 24.1x 20.3x

Security Software

Check Point 13,967 13,045 54.6% 7.2% 7.5x 7.0x 13.7x 12.7x 17.9x 16.4x

Symantec 12,938 10,265 29.2% (17.7%) 2.9x 2.9x 9.9x 8.1x 19.6x 16.0x

Palo Alto Networks 11,370 10,628 21.4% 40.6% 6.8x 5.2x 31.8x 22.3x NM 41.5x

Verisign 9,219 11,152 66.7% 7.4% 9.8x 9.5x 14.7x 14.2x 24.3x 22.5x

Fortinet 5,814 4,864 18.1% 25.9% 3.8x 3.2x 21.1x 16.9x NM 38.8x

Gemalto 5,583 5,879 18.8% 4.8% 1.7x 1.6x 8.8x 7.8x 14.0x 12.3x

Trend Micro 4,892 3,696 28.6% 25.5% 2.8x 2.6x 9.9x 8.7x 25.7x 23.0x

Proofpoint 2,808 2,722 4.5% 33.0% 7.7x 5.9x NM NM NM NM

FireEye 2,780 2,447 (10.4%) 27.4% 3.1x 2.5x NM NM NM NM

Imperva 1,535 1,256 0.8% 18.9% 4.5x 3.7x NM NM NM NM

Qualys 1,097 983 32.4% 20.2% 5.0x 4.2x 15.4x 12.6x 40.0x 33.3x

Barracuda Networks 1,020 872 18.0% 9.0% 2.6x 2.4x 14.2x 12.9x 36.2x 31.5x

AVG Technologies 954 1,075 36.0% 2.8% 2.4x 2.3x 6.8x 6.4x 12.9x 12.0x

Vasco Data Security 664 532 NA (12.3%) 2.5x 2.2x NA NA NM 26.6x

F-Secure 482 366 15.5% 8.1% 2.1x 2.0x 13.6x 11.3x 27.3x 24.6x

Intercede 67 59 (2.2%) 15.7% 3.3x 2.6x NM NA NM NM

Mean 22.1% 13.5% 4.3x 3.7x 14.5x 12.1x 24.2x 24.9x

Median 18.8% 12.3% 3.2x 2.8x 13.7x 12.6x 24.3x 23.8x

P / EEV / Revenue EV / EBITDA

(1) AVAST Software has agreed to AVG Technologies; share price as at 6 July 2016

(1)


PAGE |


SOFTWARE

7

EUROPEAN TECHNOLOGY




Fintech

Intuit 29,768 29,635 37.6% 10.6% 6.1x 5.6x 16.3x 14.2x 29.4x 25.1x

Fidelity Information Services 25,121 35,854 30.5% 41.8% 3.8x 3.6x 12.5x 11.5x 20.3x 17.6x

Fiserv 24,499 29,212 34.2% 6.2% 5.2x 5.0x 15.3x 14.1x 24.9x 22.1x

Paychex 21,988 21,764 42.7% 8.0% 7.0x 6.6x 16.5x 15.4x 28.5x 26.3x

MSCI 7,819 9,237 47.7% 7.0% 8.0x 7.4x 16.8x 15.2x 28.1x 23.6x

Jack Henry 6,957 7,028 34.7% 7.1% 5.1x 4.8x 14.6x NA 29.6x 27.3x

SS&C Technologies 6,122 8,843 39.9% 42.4% 5.9x 5.4x 14.7x 12.7x 19.0x 15.7x

Guidewire 4,626 4,033 20.6% 11.7% 9.1x 8.0x 44.2x 35.9x NM NM

Fair Isaac 3,674 4,327 29.6% 4.3% 4.9x 4.6x 16.6x 14.7x 36.5x 29.6x

Temenos 3,619 3,912 38.4% 12.5% 6.4x 5.8x 16.7x 14.9x 26.2x 22.6x

Ellie Mae 2,878 2,915 29.0% 30.0% 8.8x 7.2x 30.5x 21.1x NM 36.9x

Paycom 2,786 2,667 23.2% 43.3% 8.3x 6.4x 35.7x 27.2x NM NM

SimCorp 2,033 1,925 23.5% 7.7% 5.9x 5.5x 25.2x 23.1x 35.6x 32.1x

Ebix 1,763 1,949 39.7% 9.4% 6.7x 6.1x 16.9x 15.4x 20.2x 19.2x

Envestnet 1,551 1,802 17.5% 38.2% 3.1x 2.6x 17.7x 13.1x 35.6x 25.1x

Iress 1,370 1,478 31.2% 16.5% 4.8x 4.4x 15.5x 14.0x 23.3x 20.5x

Fidessa 1,156 1,043 25.7% (5.6%) 2.5x 2.4x 9.9x 9.4x 27.4x 25.9x

Q2 Holdings 1,102 989 (2.6%) 35.6% 6.7x 5.2x NM NM NM NM

Bottomline Technologies 904 862 20.6% 4.9% 2.4x 2.2x 11.9x 10.0x 16.0x 14.6x

Linedata 324 349 26.5% 4.0% 1.8x 1.7x 6.8x 6.5x 14.3x 13.5x

StatPro 75 77 13.8% 1.9% 1.7x 1.6x 12.3x 10.9x 30.3x 24.2x

Mean 28.8% 16.1% 5.4x 4.9x 18.3x 15.8x 26.2x 23.4x

Median 29.6% 9.4% 5.9x 5.2x 16.4x 14.2x 27.4x 23.9x

Data and Data Analytics

Nielsen 19,455 27,116 30.7% 3.6% 4.2x 4.0x 13.8x 12.9x 18.8x 17.0x

Experian 18,524 21,617 34.3% 1.8% 4.6x 4.4x 13.5x 12.7x 20.9x 19.4x

Equifax 15,873 19,100 34.9% 17.0% 6.1x 5.6x 17.6x 15.6x 25.6x 22.9x

Verisk 14,207 17,292 50.9% (2.7%) 8.6x 8.1x 16.9x 15.9x 27.3x 24.6x

Splunk 7,840 6,736 8.2% 35.0% 7.7x 6.0x NM NM NM NM

Tableau Software 3,953 3,114 11.5% 29.6% 3.7x 2.9x 32.1x 21.1x NM NM

Convergys 2,514 2,854 13.2% (0.6%) 1.0x 0.9x 7.4x 7.1x 13.8x 12.9x

Microstrategy 2,075 1,548 32.4% (0.8%) 2.9x 2.8x 9.1x 7.7x 21.0x 18.6x

Neustar 1,316 2,329 45.6% 16.9% 1.9x 1.9x 4.2x 4.1x 4.7x 4.6x

PROS 544 535 (29.7%) (10.2%) 3.5x 3.4x NM NM NM NM

Mean 23.2% 9.0% 4.4x 4.0x 14.3x 12.1x 18.9x 17.1x

Median 31.6% 2.7% 4.0x 3.7x 13.6x 12.8x 20.9x 18.6x

CAx/PLM

Dassault Systems 19,961 18,165 33.2% 8.9% 5.4x 5.0x 16.3x 14.7x 28.7x 25.9x

Autodesk 12,891 12,097 (2.6%) (18.8%) 5.9x 5.4x NM NM NM NM

Ansys 8,087 7,410 51.0% 5.9% 7.4x 6.9x 14.6x 13.6x 25.8x 23.7x

PTC 4,444 4,911 23.0% (5.7%) 4.2x 4.2x 18.4x 18.6x 26.7x 29.3x

Nemetschek 2,135 2,113 25.5% 17.3% 5.8x 5.1x 22.8x 19.8x NM 35.7x

Aveva 1,568 1,415 27.3% (8.1%) 5.1x 5.0x 18.9x 17.1x 27.9x 25.9x

Mensch und Maschine 264 285 9.4% 13.0% 1.4x 1.3x 15.4x 12.9x 29.0x 22.3x

Mean 23.8% 1.8% 5.1x 4.7x 17.7x 16.1x 27.6x 27.1x

Median 25.5% 5.9% 5.4x 5.0x 17.3x 15.9x 27.9x 25.9x

EV / Revenue EV / EBITDA P / E


PAGE |


(30%)

(20%)

(10%)

0%

10%

20%

30%

40%

50%

60%

70%


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

(15%)

(10%)

(5%)

0%

5%

10%


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

IT SERVICES

8

EUROPEAN TECHNOLOGY




Data Centres 55.3%

IT Services 17.1%

Offshore IT Services (2.6%)

PaaS/IaaS (2.8%)

Managed Services, Colocation and Hosting (8.5%)

Data Centres 7.5%

IT Services 0.4%

PaaS/IaaS (2.1%)

Managed Services, Colocation and Hosting (2.9%)

Offshore IT Services (3.3%)


PAGE |


IT SERVICES

9

EUROPEAN TECHNOLOGY


(1) Dell has entered into an agreement to acquire EMC; share price as at 9 October 2015

(1)



IT Services

KDDI 81,066 88,372 31.5% 19.2% 2.0x 1.9x 6.3x 6.1x 15.1x 14.0x

Accenture 72,526 74,743 16.7% 6.4% 2.2x 2.1x 13.3x 12.4x 21.2x 19.4x

Capgemini 14,676 17,147 13.3% 9.0% 1.2x 1.2x 9.1x 8.6x 15.1x 13.7x

NTT Group 13,657 16,018 16.3% 19.2% 1.0x 1.0x 6.2x 6.1x 23.0x 21.7x

CGI 13,332 15,225 18.5% 10.7% 1.8x 1.8x 9.9x 9.6x 16.1x 15.0x

Atos Origin 8,606 8,010 11.8% 11.1% 0.6x 0.6x 5.3x 4.9x 10.9x 10.1x

Capita 8,469 11,463 15.9% (8.3%) 1.8x 1.7x 11.1x 10.6x 13.0x 12.5x

Fujitsu 7,576 10,198 6.3% 13.2% 0.2x 0.2x 3.6x 3.3x 9.0x 7.6x

CSC 6,847 8,356 17.1% (8.1%) 1.1x 1.0x 6.4x 6.0x 17.8x 15.1x

NEC 6,777 9,851 6.0% 15.8% 0.4x 0.4x 6.0x 5.7x 11.2x 10.4x

Bechtle 2,296 2,174 5.6% 11.0% 0.6x 0.6x 11.5x 10.4x 20.2x 18.3x

Tieto 2,103 2,075 13.4% 5.1% 1.2x 1.2x 9.3x 8.8x 15.9x 15.0x

Sopra 2,041 2,587 9.0% 6.9% 0.6x 0.6x 6.9x 6.1x 11.1x 9.6x

Indra Sistemas 1,759 2,710 8.6% (3.3%) 0.9x 0.9x 10.4x 8.5x 18.6x 12.3x

GFI Informatique 598 634 7.8% 5.5% 0.6x 0.6x 8.0x 7.5x 16.8x 15.0x

Mean 13.2% 7.6% 1.1x 1.1x 8.2x 7.6x 15.7x 14.0x

Median 13.3% 9.0% 1.0x 1.0x 8.0x 7.5x 15.9x 14.0x

Offshore IT Services

Tata 72,224 67,938 28.0% 11.6% 3.8x 3.4x 13.7x 12.4x 18.6x 15.6x

Infosys 40,223 34,872 27.5% 12.7% 3.4x 3.0x 12.2x 10.8x 18.2x 16.3x

Cognizant 35,359 32,274 19.9% 10.9% 2.3x 2.1x 11.8x 10.4x 17.3x 15.4x

Wipro 20,955 19,209 21.3% 8.7% 2.3x 2.1x 11.0x 9.9x 15.1x 13.8x

HCL 15,114 13,584 20.7% 16.5% 2.0x 1.8x 9.5x 8.5x 13.0x 11.7x

Mean 23.5% 12.1% 2.8x 2.5x 11.6x 10.4x 16.5x 14.6x

Median 21.3% 11.6% 2.3x 2.1x 11.8x 10.4x 17.3x 15.4x

Managed Services, Colocation and Hosting

Level 3 19,464 29,405 34.3% 1.8% 3.5x 3.4x 10.2x 9.6x 31.3x 25.4x

United Internet 8,746 10,757 21.3% 10.6% 2.4x 2.3x 11.3x 10.2x 17.3x 15.3x

Rackspace 2,885 3,129 34.1% 5.6% 1.5x 1.4x 4.3x 4.1x 21.3x 20.4x

Interxion 2,669 3,348 45.1% 11.5% 7.2x 6.4x 15.9x 14.0x NM 47.0x

GoDaddy 2,524 2,929 22.3% 14.4% 1.6x 1.4x 7.1x 6.0x NM NM

Endurance 1,272 3,180 33.8% 57.6% 2.7x 2.4x 8.0x 7.0x 5.5x 5.8x

Windstream 920 11,367 34.5% (5.0%) 2.1x 2.1x 6.0x 6.1x NM NM

iomart 375 416 42.9% 1.8% 3.8x 3.5x 8.8x 8.2x 15.8x 14.2x

Redcentric 317 368 23.9% (0.5%) 2.4x 2.2x 10.0x 9.1x 15.0x 13.3x

Melbourne IT 135 140 16.0% 22.6% 1.0x 0.9x 6.5x 5.1x 19.8x 10.4x

Internap 134 487 26.9% (2.6%) 1.6x 1.5x 5.8x 5.5x NM NM

Proact 127 141 6.5% (3.3%) 0.4x 0.4x 6.8x 6.2x 12.6x 10.9x

Mean 28.5% 9.5% 2.5x 2.3x 8.4x 7.6x 17.3x 18.1x

Median 30.4% 3.7% 2.2x 2.2x 7.6x 6.6x 16.6x 14.2x

Data Centres

Equinix 26,883 32,913 45.9% 32.3% 9.1x 8.1x 19.9x 17.2x NM NM

Digital Realty Trust 17,467 23,598 56.9% 18.2% 11.3x 10.4x 19.9x 18.2x NM NM

DuPont Fabros 3,606 5,155 62.1% 14.9% 9.9x 9.0x 16.0x 14.4x 31.4x 26.9x

Coresite 2,701 3,459 51.9% 19.1% 8.7x 7.6x 16.8x 14.4x NM 47.1x

Mean 54.2% 21.1% 9.8x 8.8x 18.1x 16.1x 31.4x 37.0x

Median 54.4% 18.7% 9.5x 8.5x 18.3x 15.8x 31.4x 37.0x

PaaS/IaaS

EMC 53,623 52,532 27.7% (0.5%) 2.1x 2.1x 7.7x 7.5x 15.5x 14.8x

ServiceNow 11,481 11,001 18.1% 36.2% 8.0x 6.2x 44.4x 28.2x NM NM

Akamai 9,861 9,756 40.5% 7.6% 4.1x 3.7x 10.2x 9.1x 20.9x 18.4x

Netapp 7,047 4,504 18.9% (5.9%) 0.8x 0.9x 4.4x 4.3x 11.4x 10.7x

Commvault Systems 1,969 1,679 12.7% 4.3% 2.7x 2.5x 21.2x 17.6x NM 41.0x

Synchronoss 1,607 1,731 34.0% 16.3% 2.6x 2.2x 7.6x 6.3x 14.7x 12.1x

Progress Software 1,438 1,404 34.5% 0.6% 3.4x 3.3x 9.8x 10.0x 18.3x NA

Carbonite 269 228 15.3% 35.8% 1.2x 1.2x 8.0x 8.6x 30.8x 26.7x

Mean 25.2% 11.8% 3.1x 2.7x 14.2x 11.4x 18.6x 20.6x

Median 23.3% 5.9% 2.6x 2.4x 8.9x 8.8x 16.9x 16.6x

P / EEV / EBITDAEV / Revenue


PAGE |


(40%)

(30%)

(20%)

(10%)

0%

10%

20%

30%


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

COMMUNICATIONS

10

EUROPEAN TECHNOLOGY




Mobile Content / Solutions Providers 16.2%

Digital Broadband (3.0%)

Mobile Infrastructure Software (9.6%)

Diversified Communication Equipment (17.1%)

(14%)

(12%)

(10%)

(8%)

(6%)

(4%)

(2%)

0%

2%

4%


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

Mobile Infrastructure Software (1.1%)

Diversified Communication Equipment (1.2%)

Mobile Content / Solutions Providers (5.0%)

Digital Broadband (6.5%)


PAGE |


COMMUNICATIONS

11

EUROPEAN TECHNOLOGY




Digital Broadband

Logitech 2,848 2,208 10.3% 0.0% 1.1x 1.1x 10.5x 9.8x 16.7x 15.8x

Technicolor 2,640 3,307 11.6% 46.7% 0.6x 0.6x 4.9x 5.1x 11.7x 12.1x

TomTom 1,720 1,697 12.9% 5.8% 1.5x 1.4x 11.4x 9.9x 31.2x 23.8x

Kudelski 1,098 1,308 12.9% 10.7% 1.3x 1.2x 9.7x 9.1x 17.5x 15.9x

Parrot 410 46 (16.3%) 1.9% 0.1x 0.1x NM NM NM NM

Extreme Networks 377 345 10.9% (0.7%) 0.6x 0.6x 5.9x 6.4x 11.9x 11.0x

Mean 7.0% 10.8% 0.9x 0.8x 8.5x 8.1x 17.8x 15.7x

Median 11.2% 3.9% 0.9x 0.8x 9.7x 9.1x 16.7x 15.8x

Diversified Communication Equipment

LM Ericsson Telephone 25,903 21,234 12.6% (6.0%) 0.8x 0.8x 6.1x 5.3x 14.0x 11.9x

Alcatel-Lucent 13,631 10,421 11.9% 6.1% 0.6x 0.6x 5.3x 4.3x NA NA

CIENA 2,755 3,191 13.7% 7.0% 1.2x 1.1x 8.8x 7.6x 13.8x 11.3x

ADTRAN 967 874 9.0% 4.0% 1.4x 1.3x 15.6x 13.7x 24.1x 20.6x

Mean 11.8% 2.8% 1.0x 1.0x 9.0x 7.7x 17.3x 14.6x

Median 12.3% 5.1% 1.0x 0.9x 7.5x 6.4x 14.0x 11.9x

Mobile Infrastructure Software

QUALCOMM 80,232 77,353 38.1% (7.2%) 3.4x 3.3x 8.9x 8.2x 12.9x 11.5x

VeriSign 9,219 11,152 66.7% 7.4% 9.8x 9.5x 14.7x 14.2x 24.3x 22.5x

Amdocs 8,706 7,683 19.3% 2.8% 2.0x 2.0x 10.6x 10.3x 16.0x 15.0x

Synchronoss Technologies 1,607 1,731 34.0% 16.3% 2.6x 2.2x 7.6x 6.3x 14.7x 12.1x

Sonus Networks 445 346 10.7% 5.0% 1.3x 1.2x 12.4x NA 27.9x 24.7x

Redknee Solutions 156 173 9.9% (12.4%) 0.9x 0.8x 9.4x 4.6x 31.0x 6.7x

Smith Micro Software 31 17 0.0% (14.5%) 0.5x 0.5x NM NA NM NM

Mean 25.5% (0.4%) 2.9x 2.8x 10.6x 8.7x 21.1x 15.4x

Median 19.3% 2.8% 2.0x 2.0x 10.0x 8.2x 20.2x 13.6x

Mobile Content / Solutions Providers

Opera Software 1,057 1,226 15.4% 17.7% 1.7x 1.5x 11.1x 8.5x 28.5x 16.6x

GameLoft 744 703 13.9% 6.8% 2.4x 2.2x 17.0x 14.8x NM 29.8x

Mean 14.6% 12.3% 2.0x 1.8x 14.0x 11.7x 28.5x 23.2x

Median 14.6% 12.3% 2.0x 1.8x 14.0x 11.7x 28.5x 23.2x

EV / EBITDA P / EEV / Revenue


PAGE |


(60%)

(40%)

(20%)

0%

20%

40%

60%


Global Internet Leaders eCommerce Online Travel Digital Marketing

Content Providers / Communities Intermediation and Comparison Online Classifieds Interactive Entertainment

Online Gambling Chinese Internet Leaders Internet Services Educational Technology


12

EUROPEAN TECHNOLOGY




(20%)

(15%)

(10%)

(5%)

0%

5%

10%

15%

20%

25%

30%


Global Internet Leaders eCommerce Online Travel Digital Marketing

Content Providers / Communities Intermediation and Comparison Online Classifieds Interactive Entertainment

Online Gambling Chinese Internet Leaders Internet Services Educational Technology

Content Providers / Communities 13.3%

Educational Technology 4.3%

Chinese Internet Leaders 4.1%

eCommerce 3.4%

Interactive Entertainment 3.0%

Internet Services 2.8%

Online Gambling (0.0%)

Global Internet Leaders (0.1%)

Online Travel (0.4%)

Digital Marketing (1.9%)

Online Classifieds (7.0%)

Intermediation and Comparison (8.6%)

Online Gambling 44.1%

Ecommerce 21.1%

Interactive Entertainment 19.3%

Chinese Internet Leaders 13.8%

Online Travel 9.2%

Global Internet Leaders 2.5%

Digital Marketing (1.3%)

Intermediation and Comparison (2.5%)

Online Classifieds (9.3%)

Educational Technology (17.8%)

Content Providers / Communities (27.5%)

Internet Services (40.4%)


PAGE |



13

EUROPEAN TECHNOLOGY


(1)



Global Internet Leaders

Apple 533,611 564,382 32.8% (4.7%) 2.6x 2.5x 7.9x 7.7x 11.6x 10.8x

Google 498,832 442,196 49.4% 16.9% 6.2x 5.4x 12.6x 10.8x 21.9x 18.4x

Microsoft 418,255 365,724 37.2% 1.3% 3.9x 3.7x 10.5x 9.8x 19.1x 17.4x

Amazon 353,026 361,331 11.5% 25.3% 2.7x 2.2x 23.5x 17.9x NM NM

Facebook 337,324 319,961 61.0% 45.5% 12.3x 9.2x 20.1x 15.2x 33.2x 25.6x

Alibaba 203,964 205,287 46.6% 38.0% 10.1x 7.7x 21.7x 17.1x 27.2x 21.5x

Baidu 57,132 52,183 22.8% 11.8% 4.6x 3.7x 20.0x 14.5x 30.8x 21.6x

Yahoo! 35,992 31,143 21.5% (13.9%) 8.8x 8.7x 41.2x 36.4x NM NM

eBay 28,872 30,425 39.2% 2.7% 3.4x 3.3x 8.8x 8.2x 13.5x 12.3x

Yandex 7,394 6,811 33.6% 39.2% 6.0x 5.0x 17.8x 13.2x 34.8x 26.1x

Mean 35.6% 16.2% 6.1x 5.1x 18.4x 15.1x 24.0x 19.2x

Median 35.4% 14.3% 5.3x 4.4x 18.9x 13.9x 24.5x 20.0x

Ecommerce

Amazon 353,026 361,331 11.5% 25.3% 2.7x 2.2x 23.5x 17.9x NM NM

Alibaba 203,964 205,287 46.6% 38.0% 10.1x 7.7x 21.7x 17.1x 27.2x 21.5x

Naspers 67,652 69,122 9.1% 13.7% 10.8x 9.9x NM NM NM 30.5x

Netflix 41,104 42,334 6.2% 28.6% 4.9x 3.9x NM 39.6x NM NM

JD.com 30,473 27,940 1.1% 36.8% 0.7x 0.5x NM 41.8x NM NM

eBay 28,872 30,425 39.2% 2.7% 3.4x 3.3x 8.8x 8.2x 13.5x 12.3x

Zalandro 7,307 6,507 5.1% 27.7% 1.6x 1.3x 31.2x 21.7x NM 40.1x

Mercadolibre 6,672 6,631 23.2% 15.5% 8.8x 7.1x 38.0x 30.0x NM 47.1x

IAC 4,732 5,451 16.7% (0.5%) 1.7x 1.6x 10.2x 8.3x 18.9x 14.0x

JUST EAT 4,201 3,641 29.0% 30.4% 7.6x 6.0x 26.4x 18.1x NM 30.4x

Mail.ru 4,050 3,925 46.2% 24.3% 6.4x 5.5x 13.7x 11.6x 21.5x 17.0x

Cimpress 3,073 3,895 16.0% 17.9% 2.0x 1.8x 12.7x 10.7x 24.9x 19.1x

GrubHub 2,682 2,389 27.5% 30.2% 5.1x 4.2x 18.4x 14.6x 39.9x 32.2x

Ocado 2,108 2,274 7.1% 3.1% 1.3x 1.2x 18.8x 15.6x NM NM

Groupon 2,030 1,405 3.9% (3.2%) 0.5x 0.4x 11.8x 7.4x NM NM

Shutterstock 1,946 1,732 19.4% 18.7% 3.4x 3.0x 17.7x 14.7x 39.3x 33.1x

Coupons.com 1,139 984 9.3% 11.6% 3.7x 3.2x 40.0x 23.6x NM NM

Overstock 435 333 1.7% 3.6% 0.2x 0.2x 11.6x 11.2x NM NM

RetailMeNot 406 221 19.8% 14.3% 0.8x 0.7x 3.9x 3.8x 14.9x 15.5x

Blue Nile 345 318 5.2% (0.9%) 0.7x 0.7x 12.9x 12.0x 33.5x 29.8x

Mean 16.8% 16.2% 3.7x 3.1x 19.3x 17.3x 26.0x 26.4x

Median 13.7% 14.9% 2.5x 2.1x 17.7x 14.7x 24.9x 29.8x

Online Travel

The Priceline Group 66,786 70,483 39.7% 15.7% 6.6x 5.7x 16.6x 14.3x 20.0x 17.0x

Ctrip 19,388 21,171 (7.1%) 70.3% 7.4x 5.5x NM 43.6x NM 40.3x

Amadeus 18,857 21,359 37.5% 13.3% 4.4x 4.1x 11.8x 11.0x 20.4x 19.0x

Expedia 16,908 18,945 18.5% 33.3% 2.1x 1.9x 11.5x 9.3x 22.1x 17.0x

Tripadvisor 10,159 9,661 26.8% 5.4% 6.1x 5.3x 23.0x 18.0x NM 31.2x

Sabre Corporation 7,981 11,302 31.7% 15.4% 3.3x 3.1x 10.4x 9.4x 19.8x 16.7x

Travelport 1,670 3,974 24.2% 6.6% 1.7x 1.6x 6.9x 6.4x 11.5x 9.9x

MakeMyTrip 722 716 (34.9%) 25.1% 3.6x 2.9x NM NM NM NM

Hostelworld Group 180 19 29.2% (3.8%) 0.2x 0.2x 0.8x 0.7x 8.7x 8.3x

Travelzoo 114 88 6.4% (6.4%) 0.7x 0.6x 10.4x 9.0x 28.2x 26.8x

Mean 17.2% 17.5% 3.6x 3.1x 11.4x 13.5x 18.7x 20.7x

Median 25.5% 14.3% 3.4x 3.0x 11.0x 9.4x 20.0x 17.0x

P / EEV / EBITDAEV / Revenue

(1)

(1) Microsoft has agreed to acquire LinkedIn; share price as at 10th July 2016


PAGE |



14

EUROPEAN TECHNOLOGY


(1)

(1) Vista has agreed to acquire Marketo; share price as at 30th May 2016

(2) Microsoft has agreed to acquire LinkedIn; share price as at 10th June 2016

(1)



Digital Marketing

Criteo 2,772 2,488 28.5% 32.5% 3.5x 2.8x 12.4x 9.2x 25.4x 19.1x

Cvent 1,453 1,269 12.5% 22.7% 5.5x 4.5x 44.0x 32.5x NM NM

Marketo 1,434 1,451 (2.3%) 29.9% 5.3x 4.3x NM NM NM NM

Callidus Software 1,179 1,074 11.4% 20.5% 5.1x 4.3x 45.3x 33.1x NM NM

The Rubicon Project 684 529 21.8% 29.9% 1.8x 1.5x 8.2x 6.0x 15.8x 13.6x

Bazaarvoice 360 302 2.5% 2.5% 1.5x 1.4x NM 26.0x NM NM

TechTarget 272 245 24.1% 8.1% 2.0x 1.9x 8.4x 6.8x 18.1x 13.1x

Dotdigital 165 141 28.4% 11.9% 3.5x 2.9x 12.4x 9.9x 21.2x 16.7x

Marchex 143 47 0.9% (4.9%) 0.3x 0.3x 36.4x 6.9x NM NM

1000mercis 129 124 22.9% 19.2% 1.8x 1.6x 8.0x 6.9x 15.2x 12.6x

Harte-Hanks 101 168 7.3% (3.7%) 0.4x 0.4x 4.8x 3.6x 13.0x 7.1x

Marin Software 92 57 1.4% (2.2%) 0.5x 0.5x 38.9x 11.3x NM NM

Matomy Media 84 108 6.6% 0.3% 0.4x 0.4x 6.0x 6.0x 8.9x 6.5x

Mean 12.8% 12.8% 2.4x 2.1x 20.4x 13.2x 16.8x 12.7x

Median 11.4% 11.9% 1.8x 1.6x 12.4x 8.1x 15.8x 13.1x

Content Providers / Communities

LinkedIn 25,636 26,236 27.1% 24.5% 7.0x 5.9x 26.0x 21.0x NM 45.0x

Twitter 12,704 10,544 26.7% 23.0% 3.9x 3.2x 14.4x 11.5x 35.4x 27.6x

JustEat 4,201 3,641 29.0% 30.4% 7.6x 6.0x 26.4x 18.1x NM 30.4x

Pandora Media 2,990 2,852 (4.7%) 22.3% 2.0x 1.7x NM NM NM NM

WebMD Health 2,383 3,321 32.5% 10.5% 4.7x 4.3x 14.5x 12.7x 33.2x 28.9x

GoPro 1,722 1,325 (7.4%) (17.8%) 1.0x 0.8x NM NM NM NM

XING 1,072 971 31.7% 22.0% 6.1x 5.2x 19.1x 15.4x NM 31.4x

XO Group 466 358 21.8% 9.1% 2.3x 2.1x 10.6x 8.4x 35.4x 26.7x

Brightcove 319 290 6.0% 9.3% 2.0x 1.8x 32.8x 25.2x NM NM

Demand Media 110 78 (13.2%) (8.5%) 0.7x 0.6x NM NM NM NM

Mean 15.0% 12.5% 3.7x 3.2x 20.6x 16.0x 34.7x 31.7x

Median 24.3% 16.3% 3.1x 2.7x 19.1x 15.4x 35.4x 29.7x

Intermediation and Comparison

Zillow 6,607 6,381 14.8% 29.0% 7.7x 6.3x NM 30.4x NM NM

Moneysupermarket 1,892 1,872 40.0% (4.4%) 4.7x 4.4x 11.8x 10.9x 17.3x 16.0x

Bankrate 714 828 25.1% 8.3% 2.1x 1.9x 8.2x 7.7x 15.9x 13.1x

Angie's List 388 387 9.1% 1.1% 1.1x 1.0x 12.2x 8.7x NM 28.0x

Gruppo MutuiOnline 319 332 27.9% 0.6% 2.5x 2.3x 8.8x 7.9x 14.6x 12.8x

eHealth 259 192 8.8% 6.1% 1.0x 0.9x 10.9x 8.7x 22.1x 19.5x

Liquidity Services 252 134 5.3% 27.2% 0.3x 0.4x 5.3x 14.9x NM NA

Mean 18.7% 9.7% 2.8x 2.5x 9.5x 12.7x 17.5x 17.9x

Median 14.8% 6.1% 2.1x 1.9x 9.9x 8.7x 16.6x 16.0x

Online Classifieds

Rightmove 4,624 4,737 74.7% (0.4%) 16.8x 15.3x 22.5x 20.5x 27.9x 24.8x

SEEK 4,134 4,684 38.3% 18.2% 5.9x 5.4x 15.5x 13.9x 27.4x 23.5x

SouFun 2,638 2,513 (12.4%) 35.2% 2.1x 1.6x NM 25.7x NM NM

Yelp 2,323 1,930 14.2% 27.1% 2.8x 2.2x 19.4x 13.5x NM NM

51job 1,905 1,224 33.8% 8.0% 3.6x 3.1x 10.6x 9.1x 19.1x 16.6x

Zoopla 1,535 1,667 38.6% 35.6% 6.6x 5.8x 17.0x 14.9x 22.7x 19.8x

Dice 351 409 27.3% (7.3%) 1.7x 1.7x 6.2x 5.8x 16.5x 13.1x

Monster 242 297 13.4% (4.7%) 0.5x 0.5x 3.5x 3.2x 10.8x 8.6x

Mean 28.5% 14.0% 5.0x 4.4x 13.5x 13.3x 20.7x 17.7x

Median 30.6% 13.1% 3.2x 2.7x 15.5x 13.7x 20.9x 18.2x


(2)

(1)


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15

EUROPEAN TECHNOLOGY




Internet Services

LendingClub 1,565 3,661 15.7% 19.6% 7.1x 5.8x 45.4x 35.9x NM 22.4x

LifeLock 1,519 1,328 13.1% 13.4% 2.0x 1.8x 15.3x 12.3x 21.6x 17.2x

Wix.com 1,283 1,169 11.2% 35.6% 4.2x 3.3x 37.9x 18.7x NM NM

Web.com 959 1,674 22.9% 35.0% 2.2x 2.0x 9.7x 7.8x 7.4x 6.1x

Mean 15.7% 25.9% 3.9x 3.2x 27.1x 18.7x 14.5x 15.2x

Median 14.4% 27.3% 3.2x 2.7x 26.6x 15.5x 14.5x 17.2x

Educational Technology

Graham 2,880 2,374 11.4% (2.2%) 0.9x 0.9x 8.2x 8.1x NA NA

2U 1,502 1,299 0.5% 34.2% 6.4x 4.9x NM NM NM NM

K12 532 364 10.5% (2.5%) 0.4x 0.4x 3.9x 3.6x 33.0x 28.7x

Chegg 501 434 7.2% (17.5%) 1.7x 1.9x 24.3x 12.6x NM 20.8x

Cambium Learning Group 227 332 NA NA NA NA NA NA NA NA

Rosetta Stone 179 138 (8.0%) (15.5%) 0.8x NA NM NA NM NA

Mean 4.3% (0.7%) 2.1x 2.0x 12.1x 8.1x 33.0x 24.7x

Median 7.2% (2.5%) 0.9x 1.4x 8.2x 8.1x 33.0x 24.7x

Chinese Internet Leaders

Tencent 219,392 204,886 43.5% 32.5% 9.8x 7.7x 22.5x 18.1x 36.0x 28.1x

Baidu 57,132 52,183 22.8% 11.8% 4.6x 3.7x 20.0x 14.5x 30.8x 21.6x

Netease 25,944 21,978 32.6% 49.5% 4.2x 3.4x 12.8x 11.4x 18.8x 16.5x

Weibo Corporation 6,926 6,785 20.4% 30.2% 10.9x 8.0x NM 31.3x NM 39.9x

58.com 6,800 5,416 7.6% 75.6% 4.3x 3.1x NM 16.0x NM 38.8x

Sina 3,789 2,615 11.7% 8.7% 2.7x 2.3x 23.4x 13.9x NM 36.5x

SouFun 2,638 2,513 (12.4%) 35.2% 2.1x 1.6x NM 25.7x NM NM

Autohome 2,489 1,901 22.2% 73.8% 2.0x 1.4x 9.2x 7.2x 15.4x 12.6x

Sohu 1,547 807 8.8% (7.4%) 0.4x 0.4x 5.1x 3.0x NM NM

Renren 602 608 NM 49.6% 9.9x 7.0x NM NM NM NM

Dangdang 481 282 NA NA NA NA NA NA NM 17.8x

Mean 17.5% 35.9% 5.1x 3.9x 15.5x 15.7x 25.3x 26.5x

Median 20.4% 33.8% 4.2x 3.3x 16.4x 14.5x 24.8x 24.9x

Online Gambling

Playtech 3,471 2,908 40.0% 18.6% 3.6x 3.2x 8.9x 7.9x 14.4x 12.4x

888 1,014 839 17.9% 4.1% 1.7x 1.6x 9.5x 8.7x 17.5x 16.4x

Mean 29.0% 11.4% 2.6x 2.4x 9.2x 8.3x 15.9x 14.4x

Median 29.0% 11.4% 2.6x 2.4x 9.2x 8.3x 15.9x 14.4x

Interactive Entertainment

Activision 31,493 34,793 35.0% 37.2% 5.5x 5.0x 15.7x 13.9x 23.0x 19.9x

Electronic Arts 23,963 23,556 32.1% 7.9% 4.9x 4.6x 15.1x 13.5x 22.8x 20.1x

Ubisoft Entertainment 4,183 4,346 42.8% 18.0% 2.4x 2.2x 5.6x 4.9x 27.5x 21.4x

Take-Two Interactive Software 3,507 2,416 16.1% 0.9% 1.5x 1.3x 9.4x 6.7x 28.3x 19.5x

Zynga 2,473 1,606 7.0% 7.0% 2.1x 1.9x 30.9x 16.8x NM 42.2x

Mean 26.6% 14.2% 3.3x 3.0x 15.3x 11.2x 25.4x 24.6x

Median 32.1% 7.9% 2.4x 2.2x 15.1x 13.5x 25.2x 20.1x



Energy, Power& Infrastructure

IndustrialsHealthcare & Life Sciences

Transportation & Logistics

Aerospace, Defense & Government

Services

Business Services

Building Products & Materials

Technology, Media & Telecom

Specialty Distribution

Consumer

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HARRIS WILLIAMS & CO.

Capital IQ as of 11th July 2016, broker reports and various industry news outlets

17

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EUROPEAN TECHNOLOGY


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