Globalscope Annual Yearbook 2015

YEAR BOOK

2 0 1 5

GLOBAL

PARTNERSSCOPEINTERNATIONAL M&A ADVISORS

THE ART OF

COMMUNICATION

IS THE LANGUAGE

OF LEADERSHIP

James Humes

01

LETTER FROM THE PRESIDENT

ABOUT GLOBALSCOPE

WHY GLOBALSCOPE

SECTOR EXPERTISE

SECTOR SPECIFIC ANALYSIS

SERVICES

EXECUTIVE & SUPPORT TEAM

EVENTS

CASE STUDIES

TRANSACTIONS

CONTENTS

02

03

04

05

06

07

21

23

37

40

42

03

Welcome to the first edition of Globalscope Partners’ Yearbook. We are delighted to introduce our network of M&A advisors and share with you our network capability. Globalscope has come a long way from the humble beginnings of a small network started by investment bank ACS in the late 1980s. We stand today as Globalscope Partners : an international network of 45 individual M&A advisory firms, in 38 countries, with 500+ professionals, focusing on mid-market transactions in all continents. We have achieved this solid foundation through our unfailing commitment to making our relationships work, carefully and strategically increasing our partnership roster according to demand, taking a dynamic approach to how we do business together, and regularly meeting as friends and business partners to keep each other up to date with our clients' interests and activity. Our partners meet at least twice a year at the semi-annual Globalscope conferences in rotating host cities to discuss clients' needs and progress business, as well as agreeing on goals and initiatives to keep driving our network from strength to strength. At our semi-annual conference in Athens in October last year Globalscope formally merged with Asia M&A, taking on nine new firms located in the major cities of Asia. With 20% – 25% of all M&A transactions being international (involving buyers from a di�erent country to the target company), it is essential for our partner firms' clients to have access to an international network of corporate finance advisors and Globalscope now has a significant footprint in every major global business hub. The Globalscope website, www.globalscopepartners.com, was launched last year and is an excellent tool for our partners and our clients, with a private area containing an extranet for sharing projects, a customised private equity database, a document sharing portal and a highly populated transactions database. This year, we have streamlined our sector activity and focused on maximising the expertise in our network. Our sector teams met many times in the last 12 months to discuss both recent transactions and the evolving underlying structural drivers of the global M&A landscape in the sectors; as a direct result, we can quickly o�er our clients a breadth of expertise across most industries. In 2014, Globalscope’s performance has stood firm in challenging times for M&A, completing 140 deals with a total transaction value of over € 1.3 bn (excluding transactions with undisclosed values). We look forward to building on our track record in the mid-market league tables in the public domain in the future. In this yearbook, you will be introduced to the individuals and the firms that made it happen. We have included contact details, so please feel free to pick up the phone or tap out an email and get in touch. I hope you enjoy the Globalscope yearbook.

With best wishes,

Michael MoritzGlobalscope President

LETTER FROMTHE PRESIDENT

LETTER FROM THE PRESIDENT

04

ABOUTGLOBALSCOPE

5CONTINENTS

COUNTRIES38

PARTNERS45

FOUNDED IN

1987

FUNDRAISING

MERGERS &ACQUISITIONS

140TRANSACTIONSLTM

500+PROFESSIONALS

BUSINESS STRATEGY &

RESTRUCTURING

ABOUTGLOBALSCOPE

ABOUT GLOBALSCOPE

Globalscope is an entrepreneur-led global network of mid-market M&A boutiques founded in 1987 to support clients in

international transactions. Currently, we have 45 partner firms in 38 countries.

We work with the senior management of private and public companies on

selling and acquiring businesses

managing the diverse issues arising from the implementation of business growth strategies

reorganisation & restructuring

international joint ventures

licensing initiatives

05

Globalscope is your trusted advisor and enabler, increasing international mid-market M&A transactions by volume and value. In

2014, we advised on more than 140 transactions with a cumulative transaction value of over €1.3bn (excluding transactions with

undisclosed values).

We have a partner firm in each economy where there is demand for international transactions. They are carefully selected

according to strict criteria including a high level of professionalism, track record and expertise that complements the existing

partnership roster.

In addition to access to our extensive database of potential buyers and companies for sale, Globalscope’s partner firms are in

constant contact and can quickly identify an opportunity for a client if it exists within the network.

WHYGLOBALSCOPE

Global M&A

Network

Peer MemberIn Each

Economy

Enabler ToIncrease

InternationalM&A

01

0203

WHY GLOBALSCOPE

06

We believe that industry knowledge and transactions experience make all the di�erence. At Globalscope, our sector

teams meet frequently both to discuss recent transactions and to share sector insights and observations at a local level.

Globalscope partners are up to date and informed across the sectors and have a deep understanding of industry trends

in most economies. This approach has proved of great value in assisting our clients to find the best possible outcome for

their sale, acquisition or buy-out.

Building & Construction

Business Services

Chemicals

Consumer

Energy & Renewables

Engineering/Industrials

Financial Services & Insurance

Food & Agribusiness

Healthcare/Pharmaceuticals

Leisure & Retail

Life Sciences

Medical Technology

Oil & Gas

Real Estate

Technology, Media & Telecoms (TMT)

Transport, Logistics & Distribution

GLOBALSCOPE IS ACTIVE IN THE FOLLOWING SECTORS

SECTOREXPERTISE

SECTOR EXPERTISE

07 SECTOR SPECIFIC ANALYSIS

Consumer

Financial Services

Life Sciences

Industrials

Services

Technology,

Media & Telecoms (TMT)

Globalscope Partners o�ers its clients up to date and in depth sector expertise including sector themes,

notable recent transactions, detailed lower mid-market trends and market analysis.

Industry knowledge and transaction experience make all the di�erence; there's no substitute for

advisors who have the combination of in-depth knowledge of your industry and M&A tactics and

strategies. At Globalscope we cover a broad range of sectors including:

SECTOR-SPECIFIC ANALYSIS

08SECTOR SPECIFIC ANALYSIS

09 SECTOR SPECIFIC ANALYSIS

Sector themes

Consumer engagement key to loyaltyThe rise of the internet as a medium of communication has made it increasingly important for companies to monitor what consumers are saying about their brands. Utilising social media is an e�ective way to solicit consumer opinions and create a two-way dialogue. Used in the wrong way, however, it can easily become a quick way to lose loyal fans.

Brand status rising in emerging marketsHaving lived on relatively low incomes, many middle-class consumers in the world's emerging markets are hungry to spend their newly augmented incomes on branded products.

Flexible working changes landscapeFlexible working conditions and the ever-evolving role of women in the workforce are changing the consumer landscape. For example, single occupant households are driving demand for on-the-go products around the world.

The sector M&A landscapeDuring the Jakarta 2015 Globalscope conference, the network’s global Consumer sector team met to discuss recent transactions and the evolving underlying structural drivers of the global sector M&A landscape.

A key theme is the growing appetite of US and European based food groups for expanding in emerging markets. More details can be obtained from team members and/or regional heads – see contact details below.

CONSUMER

Notable recent transactions

Smucker enters pet food marketUS jam maker JM Smucker has entered the fast-growing pet food business with its acquisition of Big Heart Pet Brands for $5.8bn. With approximately two-thirds of US households having at least one pet, this deal fits with Smucker’s strategy to serve the meal and snack needs of the whole family.

Post Holdings acquires MOM BrandsUS listed Post Holdings has acquired MOM Brands, the producer, marketer and distributor of ready-to-eat cereal products, for $1.2bn. This acquisition allows Post to expand into the bagged and hot cereal categories.

Beijing based Hony Capital acquires Pizza ExpressIn another example of China’s growing appetite for overseas investments, British restaurant chain Pizza Express has been acquired by Chinese group Hony Capital for $1.5bn.

Lower-mid market observations

Catering to on-o� dietersAs consumers around the world become heavier, a growing focus within the world of food has been on healthier food products that fit into changing diets. Weight conscious consumers in developed markets are increasingly “on-o�” dieting, creating opportunities for manufacturers to meet changing demands.

Food waste a growing concern for food brandsAs food wastage becomes increasingly regarded as unethical by consumers, manufacturers are having to find alternative ways to reduce waste. Wastage is often generated by ine�iciencies in the supply chain; addressing these ine�iciencies will be a key trend going forward.


20

18

16

14

12

10

8

6

4

2

0

13.5

11.0

14.7

11.4

14.6

10.6

13.9

10.9

12.8

7.5

Asia &Pacific

Africa& ME

US &Canada

LatinAmerica

Europe

All Market�Consumer Listed Companies TEV/EBITDA Multiple(Values over $5m) by region is highest in Asia & Pacific at 14.7, 15% higher than the lowest in Latin America of 12.8

Lower-Mid Market Consumer Listed Companies TEV/EBITDA Multiple(Values in range $5m-$150m)has increased slightly to 10.2 from its previous low of 9.8 in 2014 H1

This compares to the All Market Consumer Listed Companies TEV/EBITDA Multiple of 13.9

This compares to the Lower-Mid Market Consumer Listed Companies TEV/EBITDA Multiple of 11.2

Regional TEV/EBITDA

20

18

16

14

12

10

8

6

4

2

0

13.2

11.0

13.612.3

15.6

10.8 11.212.7

14.0

10.1

ConsumerServices

Retailing FoodStaples

FoodLuxuries

Durables& Apparel

All Market�Consumer Listed Companies TEV/EBITDA Multiple(Values over $5m) by sub-sector is highest in Retailing at 15.6, 40% higher than the lowest in Food Staples of 11.2

Lower-Mid Market�Consumer Listed Companies TEV/EBITDA Multiple(Values in range $5m-$150m)by sub-sector is highest in Food Staples at 12.7, 25% higher than the lowest in Food Luxuries of 10.1

This compares to the All Market Consumer Listed Companies TEV/EBITDA Multiple of 13.9

This compares to the Lower-Mid Market Consumer Listed Companies TEV/EBITDA Multiple of 11.2

Sub-sector TEV/EBITDA

14

13

12

11

10

9

8

7

6

2009 2010 2011 2012 2013 2014

All Market Consumer Transactions TEV/EBITDA Multiple(Values over $5m)has fallen to 12.1 from its previous high of 12.8 in 2014 H1

Lower-Mid MarketConsumer Transactions TEV/EBITDA Multiple(Values in range $5m-$150m)has increased slightly to 10.2 from its previous low of 9.8 in 2014 H1

This compares to the current cross-sector All Market Transactions TEV/EBITDA Multiple of 11.5

This compares to the current cross-sector Lower-Mid Market Transactions TEV/EBITDA Multiple of 9.1

Sector TEV/EBITDA

Comment Context

M&A trends & market analysisThe following data are compiled specifically for the Consumer sector, with valuation trends over time in the first chart based on semi-annually averaged transactional data and regional and sub-sector comparisons in the second and third charts based on listed companies data as at mid February 2015.

Andrea PagliaraConsumer [email protected]+39 0272 7307

Martijn PetersConsumer [email protected]+31 6130 85245

Sector contacts

Data supplied by: Data analysed by:

1 1 SECTOR SPECIFIC ANALYSIS

The sector M&A landscapeDuring the Jakarta 2015 Globalscope conference, the network’s global Financial Services sector team met to discuss recent transactions and the evolving underlying structural drivers of the global sector M&A landscape.

A key theme is the continued search for yield as investment managers are forced to re-assess their risk profiles. More details can be obtained from team members and/or regional heads – see contact details below.

FINANCIAL SERVICES

Sector themes

Continued low interest ratesWorldwide central bank interest rates remain low and expectations are that this trend will continue, driving capital into equities and having a positive impact on valuations.

Investment management consolidationThe rise of alternative finance providers, set against the backdrop of the decline of more traditional investment banking activities, is expected to result in a round of consolidation in the Investment Management sector. Extensive client lists and e�ective channels to market are expected to drive values.

African investments in vogueWith traditional emerging markets performance on the whole disappointing, there has been a notable shift of focus towards Africa where opportunity for growth remains largely untapped.

Technology and dataFinancial companies are increasingly pushing control, and crucially the freedom to make errors, out to clients as their interactions become increasingly automated. How companies handle this change will be critical to success.


Old Mutual Wealth acquisition of Quilter Cheviot The acquisition of UK based Quilter Cheviot, a leading discretionary investment manager, from Bridgepoint Capital for £585m ($936 million) will expand Old Mutual Wealth’s adviser and client proposition and accelerate its strategy to build a vertically integrated wealth management business. The transaction represents a healthy return for Bridgepoint Capital as the business had more than doubled in profitability and assets under their ownership.

Hearst Corp increasing stake in Fitch GroupFitch, the provider of credit rating services, is now owned 80% by Hearst Corp, the US publisher of newspapers and magazines. Hearst Corp has increased its equity stake from 50% (acquired in 2006) as part of its strategy to diversify into data and information-based companies while growing its media business. The transaction is valued at $2bn.

Divestments to drive domestic activityAs financial companies and institutions continue to divest non-performing businesses, we expect this to primarily drive domestic M&A activity as cross-border investments are riskier prospects without an established local presence.

Crowd-funding and P2P lendingAlthough still a relatively young and small sector, internet-based alternative financing providers are proving hot investment territory for established financial institutions, possibly looking to hedge their bets.

Growing PE interest in niche markets2015 is expected to see Private Equity firms looking to capitalise on rising stock markets and confidence to make healthy returns from the specialist areas of the investment management sector.


Comment Context

All Market�FinancialServices Transactions TEV/EBITDA Multiple (Values over $5m)has risen to 12.8 from its previous low of 12.0 in 2014 H1

Lower-Mid Market FinancialServices Transactions TEV/EBITDA Multiple (Values in range $5m-$150m) has risen further to 10.2 from its previous low of 7.2 in 2013 H2



Sector TEV/EBITDA16

14

12

10

8

6

4

2009 2010 2011 2012 2013 2014

M&A trends & market analysisThe following data are compiled specifically for the Financial Services sector, with valuation trends over time in the first chart based on semi-annually averaged transactional data and regional and sub-sector comparisons in the second and third charts based on listed companies data as at mid February 2015.

All Market�Financial Services Listed Companies TEV/EBITDA Multiple (Values over $5m) by region is highest in Africa & ME at 17.7, 69% higher than the lowest in Europe of 10.5

Lower-Mid Market�Financial Services Listed Companies TEV/EBITDA Multiple(Values in range $5m-$150m)by region is highest in Africa and ME at 16.1, 107% higher than the lowest in Latin America of 7.8

This compares to the All Market Financial Services Listed Companies TEV/EBITDA Multiple of 13.4

This compares to the Lower-Mid Market Financial Services Listed Companies TEV/EBITDA Multiple of 12.8

Regional TEV/EBITDA20

18

16

14

12

10

8

6

4

2

0

10.5 10.8

15.8

12.5

17.7

16.1

11.810.8

13.4

7.8

Asia &Pacific

Africa& ME

US &Canada

LatinAmerica

Europe

All Market�Financial Services Listed Companies TEV/EBITDA Multiple (Values over $5m) by sub-sector is highest in Real Estate at 15.8, 92% higher than the lowest in Banks of 8.2

Lower-Mid MarketFinancial Services Listed Companies TEV/EBITDA Multiple(Values in range $5m-$150m)by sub-sector is highest in Real Estate at 14.5, 34% higher than the lowest in Diversified of 10.8

This compares to the All Market Financial Services Listed Companies TEV/EBITDA Multiple of 13.4

This compares to the Lower-Mid Market Financial Services Listed Companies TEV/EBITDA Multiple of 12.8

Sub-sector TEV/EBITDA20

18

16

14

12

10

8

6

4

2

0

8.2

11.2

12.7

10.811.9 11.5

15.814.5

Diversified Insurance Real EstateBanks

Sector contacts

Jørgen Beuchert�Financial [email protected]+45 41 99 82 50

André SteenekampFinancial [email protected]+27 21 856 5494

Josh ParkFinancial [email protected]+81 90 9852 8847


13 SECTOR-SPECIFIC ANALYSIS

The sector M&A landscapeDuring the Jakarta 2015 Globalscope conference, the network’s global Life Sciences sector team met to discuss recent transactions and the evolving underlying structural drivers of the global sector M&A landscape.

A key theme is the increasing availability of medical information to both consumers and suppliers of healthcare. More details can be obtained from team members and/or regional heads – see contact details below.

LIFE SCIENCES

Sector themes

The rise of connectivity and Big DataSmart use of Big Data is making application models more e�icient and outcome orientated. Likewise, connectivity and increased ease of data exchange/collection is driving higher e�iciency and quality standards. This change represents a new set of challenges such as data safety and security.

Tailored genome-based carePersonalised and individualised prevention, diagnostic and therapy medicine is possible given recent developments in genome-based technologies. This key theme is expected to continue.

Medicine becoming a consumer productThe number of self-medicated and self-informed patients is increasing. Wikipedia and other public sources of healthcare information, combined with growth in private spending on health, lifestyle and anti-ageing products, are a real threat to the physician.

Easier to buy ideasWith the rise in the number of drugs going o�-patent and pharma companies reducing spending on innovation, firms are increasingly looking to acquire smaller innovative firms, driving M&A activity.


Merck & Co. acquires CubistThe healthcare company Merck & Co. has announced its acquisition of Cubist Pharmaceuticals for $9.5bn, providing the company with access to the antibiotics market and the potential to o�set its recent revenue decline.

Pfizer acquires worldwide licencesOPKO and Pfizer have entered a global agreement on OPKO’s Long-Acting Human Growth Hormone programme. The agreement allows OPKO to de-risk its programme and to drive larger worldwide sales by using Pfizer’s marketing muscle to help adoption of the product when the transaction is approved.

Merck KGaA acquires Sigma-AldrichMerck KGaA of Darmstadt has acquired Sigma-Aldrich for £17bn, establishing one of the leading players in the global Life Sciences industry.


High levels of activity in medical sectorsThe most active areas of the lower-mid market sector in the period have been dental care, minimally invasive surgical devices and disposables.

Innovation drives Pharma activityInnovation in the lower-mid market Pharma sector is increasingly driving M&A as it is seen as an essential constituent of an acquisition target.

Cross border integration‘Diagnostic deals’ in the Pharma, Medtech and Providers sectors are on the rise and are expected to bolster M&A activity, in particular with respect to cross-border deals.

14SECTOR-SPECIFIC ANALYSIS

Sector contacts

Caspar Graf Stau�enberg�Life Sciences Leadcaspar.stau�[email protected]+49 40 300 836 0

Jacob MatthewPharma [email protected]+91 22 6154 4500

Manfred DraxLife Sciences [email protected] +49 40 300 836 0

24

22

20

18

16

14

12

10

8

6

4

2

0

13.9

17.1

19.1

14.0

21.3

8.2

14.4 14.012.3

6.8

Asia &Pacific

Africa & ME US &Canada

LatinAmerica

Europe

All Market Life Sciences Listed Companies TEV/EBITDA Multiple (Values over $5m) by region is highest in Africa & ME at 21.3, 74% higher than the lowest in Latin America of 12.3

Lower-Mid Market Life Sciences Listed Companies TEV/EBITDA Multiple (Values in range $5m-$150m)by region is highest in Europe at 17.1, 152% higher than the lowest in Latin America of 6.8

This compares to the All Market Life Sciences Listed Companies TEV/EBITDA Multiple of 14.9

This compares to the Lower-Mid Market Life Sciences Listed Companies TEV/EBITDA Multiple of 14.3

Regional TEV/EBITDA

M&A trends & market analysisThe following data are compiled specifically for the Life Sciences sector, with valuation trends over time in the first chart based on semi-annually averaged transactional data and regional and sub-sector comparisons in the second and third charts based on listed companies data as at mid February 2015.

16.215.4

12.711.9

20.7

17.3

14.8

21.8

15.313.7

Providers& Services

MedTech BioTech PharmaEquipment& Supplies

All Market Life Sciences Listed Companies TEV/EBITDA Multiple(Values over $5m) by sub-sector is highest in MedTech at 20.7, 63% higher than the lowest in Providers & Services of 12.7

Lower-Mid Market Life Sciences Listed Companies TEV/EBITDA Multiple (Values in range $5m-$150m)by sub-sector is highest in BioTech at 21.8, 83% higher than the lowest in Providers & Services of 11.9

This compares to the All Market Life Sciences Listed Companies TEV/EBITDA Multiple of 14.9

This compares to the Lower-Mid Market Life Sciences Listed Companies TEV/EBITDA Multiple of 14.3


24

22

20

18

16

14

12

10

8

6

4

2

0

All Market�Life SciencesTransactions TEV/EBITDA Multiple (values over $5m)has risen further to 13.5 from its previous low of 9.0 in 2013 H1

Lower-Mid Market LifeSciences Transactions TEV/EBITDA Multiple (Values in range $5m-$150m) has fallen to 9.3 from its previous high of 10.3 in 2014 H1



Sector TEV/EBITDA

Comment Context

16

14

12

10

8

6

4

2009 2010 2011 2012 2013 2014


15


Global stability to encourage cross-border dealsIn the years following the financial crisis, global markets are enjoying a period of relative stability. Against this backdrop lower-mid market industrial companies will be encouraged to pursue overseas opportunities.

Environmental technology opportunitiesLower-mid market companies that o�er advances in environmental impact reduction can expect to see interest from larger businesses hoping to acquire such technology to help them meet their social impact objectives.

Construction building momentumPopulation growth and optimism in the global economy are leading to a surge in new construction projects and providing opportunities for fast-moving lower-mid market suppliers.

The sector M&A landscapeDuring the Jakarta 2015 Globalscope conference, the network’s global Industrials sector team met to discuss recent transactions and the evolving underlying structural drivers of the global sector M&A landscape.

Notwithstanding the recent weakness in oil and resources prices, the Globalscope members’ view of the Industrials M&A market is positive with the sector expected to be active in the coming six months and prices holding up. More details can be obtained from team members and/or regional heads – see contact details below.

INDUSTRIALS

Sector themes

Manufacturing in a state of transitionGlobal manufacturing supply chains continue to grow, increasing the number of intermediate stages between the processing of basic raw materials and completion of the finished product. This means an increase in the complexity and international nature of these supply chains.

E�iciency and capacity upgrades in aerospaceAirlines and governments are increasingly impressed by new technology in commercial aircraft design which is leading to accelerated replacement of obsolete fleets and healthy order-books for the commercial aerospace sub-sector.

Population growth drives agri-chemical demandAs the global population continues to rise, so too does the demand for fertilisers, pesticides and other agri-chemical products around the world. Companies should also expect increasing demand for innovative products in crop sciences.


Holcim and Lafarge negotiate mergerSwiss firm Holcim and French firm Lafarge continue to negotiate the creation of a $44bn cement giant. In the process, they are expected to shed several billion dollars worth of assets in order to comply with competition rules.

Strategic Value Partners acquires Linpac PackagingUK based Linpac Packaging makes food packaging and plastic containers. The deal with US-based Strategic Value Partners is the latest in a series of disposals by Linpac since it ran into trouble under Montagu Private Equity’s ownership in 2009.

Ares Management acquires Farrow & BallFarrow & Ball, the UK based luxury paints and homewares producer, has been acquired by US-based Ares Management for $433m, stating a shared vision for accelerating the growth of the business.


16

Sector contacts

Marcin Majewski�Industrials [email protected]+78 22 518 79 68

Giuseppe BenedettiEnergy & Renewables [email protected]+39 02 4801 5369

Pankaj BhuwaniaIndustrials [email protected]+91 98 1045 8044

M&A trends & market analysisThe following data are compiled specifically for the Industrials sector, with valuation trends over time in the first chart based on semi-annually averaged transactional data, and regional and sub-sector comparisons in the second and third charts based on listed companies data as at mid February 2015.

14

12

10

8

6

4

2009 2010 2011 2012 2013 2014

All Market IndustrialsTransactions TEV/EBITDA Multiple (Values over $5m)has increased further to 10.1 from its previous low of 7.3 in 2013 H1

Lower-Mid Market Industrials Transactions TEV/EBITDA Multiple(Values in range $5m-$150m)has fallen to 8.0 from its previous peak of 8.7 in 2013 H1



Sector TEV/EBITDA

Comment Context

All Market�Industrials Listed Companies�TEV/EBITDA Multiple (Values over $5m) by region is highest in Asia & Pacific at 12.0, 45% higher than the lowest in Latin America of 8.3

Lower-Mid Market�Industrials Listed Companies�TEV/EBITDA Multiple (Values in range $5m-$150m)by region is highest in Africa & ME at 11.0, 32% higher than the lowest in Latin America of 8.3

This compares to the All Market Industrials Listed Companies TEV/EBITDA Multiple of 10.8

This compares to the Lower-Mid Market Industrials Listed Companies TEV/EBITDA Multiple of 9.8

Regional TEV/EBITDA

8.69.4

12.0

9.911.3 11.0 11.2

8.7 8.3 8.3

Asia &Pacific

Africa& ME

US &Canada

LatinAmerica

Europe20

18

16

14

12

10

8

6

4

2

0

All Market�Industrials Listed Companies�TEV/EBITDA Multiple(Values over $5m) by subsector is highest in Capital Goods at 13.5, 58% higher than the lowest in Energy of 8.6

Lower-Mid Market�Industrials Listed Companies�TEV/EBITDA Multiples (Values in range $5m-$150m)Materials at 10.0, 18% higher than the lowest in Energy of 8.5

This compares to the All Market Industrials Listed Companies TEV/EBITDA Multiple of 10.8

This compares to the Lower-Mid Market Industrials Listed Companies TEV/EBITDA Multiple of 9.8


8.6 8.5

11.010.0

13.5

10.0 9.79.2

10.18.7

Materials CapitalGoods

Auto-Mobiles

UtilitiesEnergy20

18

16

14

12

10

8

6

4

2

0

Data supplied by: Data analysed by: SECTOR-SPECIFIC ANALYSIS

17


Health of the broader economyAs providers of ancillary services to businesses in other sectors, the value of services businesses themselves is often closely tied to the health of the broader economy. As indices, such as the FTSE, flirt with all-time highs, it is yet to be seen if the boost global growth receives from lower oil prices will o�set negative factors, including diminished expectations about medium-term growth in many advanced and emerging market economies.

High level of fragmentationThe business services sector contains many large, high-profile profitable suppliers yet remains highly fragmented. Small to medium size businesses make up a significant proportion of the industry and are managing to achieve above average growth rates.

The sector M&A landscapeDuring the Jakarta 2015 Globalscope conference, the network’s global Services sector team met to discuss recent transactions and the evolving underlying structural drivers of the global sector M&A landscape.

A key theme is the increasing use of technology to provide services, reducing costs and improving e�iciency. More details can be obtained from team members and/or regional heads – see contact details below.

SERVICES

Sector themes

Rise in growth by acquisitionSome Services sector businesses are finding historic organic growth rates di�icult to maintain but, in this case, many are successfully responding to pressure to grow by making acquisitions.

Boosting worker productivityGreater use of data analytics in the sector is driving increased e�iciencies and plugging the skills gap by supporting businesses in areas of limited capability and capacity. Globalscope members are seeing increasing commoditisation of services with technology enabling more to be done by lower grade sta�.

Cost synergy benefitsRising costs and tighter margins are putting pressure on service providers. This is likely to result in increased M&A activity as companies look to generate revenue and cost saving synergy benefits through greater scale, capability and geographic footprint.

Technology led innovationTechnology has the potential to change the way business services providers operate by improving e�iciency and quality standards and bringing innovations that allow companies to remain competitive.


FedEx acquired Genco Distribution System Inc.In this transaction FedEx paid $1.4bn for Genco, a reverse logistics company that processes return items from more than 130 owned warehouses in North America. The acquisition will allow FedEx to enter new e-commerce markets, as well as strengthening their current service o�erings to existing customers.

Visual Data Media Services acquired re:fineContent management, distribution, storage and post-production services provider Visual Data Media Services has acquired London based re:fine, the content processing services provider. The deal will allow both parties to access each other’s markets, technologies and infrastructure.


18

Sector contacts

Jim KeelingServices [email protected]+44 20 7626 6266

Dominic MarinelliResource Services [email protected]+61 3 9665 2444

Martijn PetersServices [email protected]+31 6 13 08 52 45

M&A trends & market analysisThe following data are compiled specifically for the Services sector, with valuation trends over time in the first chart based on semi-annually averaged transactional data, and regional and sub-sector comparisons in the second and third charts based on listed companies data as at mid February 2015.

2009 2010 2011 2012 2013 2014

All Market ServicesTransactions TEV/EBITDA Multiple(Values over $5m)has fallen to 10.1 from its previous high of 15.5 in 2014 H1

Lower-Mid Market Industrials Transactions TEV/EBITDA Multiple(Values in range $5m-$150m)has also fallen to 5.7 from its previous high of 9.8 in 2014 H1



Sector TEV/EBITDA

Comment Context

16

14

12

10

8

6

4

All Market�Services Listed Companies�TEV/EBITDA Multiple(Values over $5m) by region is highest in Africa &ME at 17.4, 74% higher than the lowest in Latin America of 10.0

Lower-Mid Market�Services Listed Companies�TEV/EBITDA Multiple(Values in range $5m-$150m)by region is highest in Africa & ME at 13.3, 60% higher than the lowest in Latin America of 8.3

This compares to the All Market Services Listed Companies TEV/EBITDA Multiple of 13.1

This compares to the Lower-Mid Market Services Listed Companies TEV/EBITDA Multiple of 11.5

Regional TEV/EBITDA

11.5 11.8

14.0

11.0

17.4

13.312.0

12.7

10.0

8.3

Asia &Pacific

Africa & ME US &Canada

LatinAmerica

Europe20

18

16

14

12

10

8

6

4

2

0

All Market�Services Listed Companies�TEV/EBITDA Multiple (Values over $5m)by sub-sector is highest in Real Estate Management at 15.5, 40% higher than the lowest in Transport of 11.1

Lower-Mid Market�Services Listed Companies�TEV/EBITDA Multiple(Values in range $5m-$150m)by sub-sector is highest in Real Estate Management at 14.3, 43% higher than the lowest in Professional Services of 10.0

This compares to the All Market Services Listed Companies TEV/EBITDA Multiple of 13.1

This compares to the Lower-Mid Market Services Listed Companies TEV/EBITDA Multiple of 11.5


12.3

10.0

13.9

10.6

15.514.3

11.110.1

12.9

10.7

HR andConsulting

Real EstateMgmt

Transport InfrastructureProfessionalServices

20

18

16

14

12

10

8

6

4

2

0

Data supplied by: Data analysed by: SECTOR-SPECIFIC ANALYSIS

19 SECTOR-SPECIFIC ANALYSIS


Large number of cross-border M&A dealsA high proportion of TMT M&A deals (nearly 27%) were cross-border over the last six months, compared with a global average of 23%. This is a trend that runs parallel to what our members are seeing in the lower-mid market as innovation and growth is acquired.

Lower-mid market helping large incumbentsLower-mid market companies are helping the large incumbents overcome their transitional challenges in moving towards SaaS delivery and will continue to be in demand.

Importance of good housekeepingIn the run up to a sale, time and value can be wasted as a result of past poor housekeeping, particularly with respect to IP – which is especially important in the TMT sector where IP can make up a significant proportion of the value of a company.

The sector M&A landscapeDuring the Jakarta 2015 Globalscope conference, the network’s global Technology, Media & Telecoms (TMT) sector team met to discuss recent transactions and the evolving underlying structural drivers of the global sector M&A landscape.

A key theme is the move towards faster connectivity and the innovation expected to make use of the new capacity. More details can be obtained from team members and/or regional heads – see contact details below.

TECHNOLOGY, MEDIA & TELECOMS

Sector themes

Embracing rich mediaDigital advertising continues to replace more traditional formats and demand for video is increasing. Content providers may look to M&A to meet the demands of distributors and deliver rich media to consumers.

Internet of Things (IoT) set to launchThe IoT ecosystem is highly fragmented with new technologies emerging and older technologies evolving. As the technologies move towards standards, our members expect to see the sector rapidly take o� and acquisitions to complete the larger players’ product or service suites.

Cyber security potential for consolidationIncreased usage of mobile, cloud and social media is promoting the expansion of security technology and services. As more start-ups enter the market and the “big 5” cyber security brands lose market share, there will be a consolidation of start-ups with strong traction.

Network upgrades create opportunitiesMobile carriers across Europe have been upgrading their wireless networks to technology and growth standards in line with the US market. The likely impact of this is an increase in M&A activity as the market consolidates to take advantage of new opportunities.


SAP pays out for ConcurSAP has acquired the travel and expenses cloud company Concur for $8.3bn. With this acquisition SAP now leapfrogs Oracle in terms of cloud revenue run-rate, second only to Salesforce.

Belden secures TripwireBelden, a traditional cable manufacturer, has acquired cybersecurity solutions company Tripwire for $710m, proving that “strategic” acquisitions do not have to come from inside the tech sphere.

Publicis and Sapient combineFrance based Publicis paid a premium of 44% to acquire US digital agency Sapient for $3.7bn. This will increase its presence in the US and in the ever important digital space.

20SECTOR-SPECIFIC ANALYSIS

Sector contacts

M&A trends & market analysisThe following data are compiled specifically for the TMT sector, with valuation trends over time in the first chart based on semi-annually averaged transactional data and regional and sub-sector comparisons in the second and third charts based on listed companies data as at mid February 2015.

Paddy MccGwireSoftware & Tech [email protected]+44 20 7659 0310

Mark MillerDigital & Internet Sector [email protected]+404 0300 8360, +49 40300 8360

2009 2010 2011 2012 2013 2014

Lower-Mid Market �TMT Transactions�TEV/EBITDA Multiple(Values in range $5m-$150m)has risen further to 10.8 from its previous low of 7.4 in 2013 H2

All Market TMT TransactionsTEV/EBITDA Multiple(Values over $5m)has also risen to 10.7 from its previous low of 9.1 in 2013 H2



Sector TEV/EBITDA

Comment Context12

11

10

9

8

7

6

All Market�TMT Listed Companies TEV/EBITDA Multiple (Values over $5m) by region is highest in the US & Canada at 11.6, 45% higher than the lowest in Africa & ME of 8.0

Lower-Mid Market �TMT Listed Companies TEV/EBITDA Multiple(Values in range $5m-$150m)by region is highest in the US & Canada at 12.8, 59% higher than the lowest in Latin America of 8.0

This compares to the All Market TMT Listed Companies TEV/EBITDA Multiple of 10.9

This compares to the Lower-Mid Market TMT Listed Companies TEV/EBITDA Multiple of 12.0

Regional TEV/EBITDA

10.5

12.3

10.3

11.9

8.0

10.911.6

12.8

8.4 8.0

Asia &Pacific

Africa& ME

US &Canada

LatinAmerica

Europe20

18

16

14

12

10

8

6

4

2

0

All Market�TMT Listed Companies�TEV/EBITDA Multiple(Values over $5m)by sub-sector is highest in Software at 14.7, �92% higher than the lowest in Telecoms of 7.7

Lower-Mid Market �TMT Listed Companies TEV/EBITDA Multiple(Values in range $5m-$150m)by sub-sector is highest in Softwareat 12.7, 46% higher than the lowest in Telecoms of 8.7

This compares to the All Market TMT Listed Companies TEV/EBITDA Multiple of 10.9

This compares to the Lower-Mid Market TMT Listed Companies TEV/EBITDA Multiple of 12.0


11.9 11.9

14.7

12.7

10.511.7 11.7 12.2

7.78.7

Software Hardware Semi-conductors

TelecomsMedia20

18

16

14

12

10

8

6

4

2

0


21 SERVICES

SERVICES

Globalscope’s industry-focused expertise

enables our partners to provide invaluable

insights, especially in international

transactions.

Our partners develop and formulate M&A

strategies which bring together potential

buyers and sellers.

We identify, screen and initiate discussions

with potential acquisition targets; structure

and negotiate transactions; and arrange

acquisition financing.

22SERVICES

01

M&A is the main focus of the

network and the core activity for

most of our partner firms.

Whether the deal is an acquisition,

sale or management buy-out, we

work with our clients to develop a

clear strategy and devise a plan

with the best outcome for all

stakeholders.

Globalscope has a strong track

record, with enormous experience

in conducting M&A transactions,

combined with deep sector

knowledge and access to a huge

database of prospective buyers and

sellers.

Globalscope partners share international opportunities and issues to provide a robust global context which is vital to the

success of cross-border initiatives.

Mergers and Acquisitions

02

We o�er our clients expert advice

in their business and financial

strategy and restructuring.

This could involve: reviewing their

value proposition; competitor

analysis; product/services analysis;

market review and positioning; or

assessment of alternative growth

strategies-all of which are key to

creating and realising shareholder

value.

Business Strategy& Restructuring

03

Globalscope is able to source

finance from corporates and

institutional or private equity

investors.

We secure the most appropriate

funding structure.

Though the best source of finance

in the short term may be available

domestically, we provide a broader

international context which may be

relevant for the future plans of our

clients’.

Fund Raising

23

Globalscope's executive team is made up of 5 directors, a treasurer and an administrator.



Michael MoritzGlobalscope President

T : +49 40 300 8360E : [email protected]

Michael Moritz is Managing Partner at CatCap, an owner operated corporate finance boutique with o�ices in Hamburg and Munich, Germany.

Hervé Le RoyGlobalscope President Elect,Head of Sectors

T : +33 1 49 54 73 10E : [email protected]

Hervé Le Roy is CEO of CMW Corporate Finance, a well-known French M&A practice, founded in Paris in 1986.

Martijn PetersHead of Partner Recruitment andNetwork Expansion

T : +31 73 303 29 21E : [email protected]

Martijn Peters is Managing Director of Dex international M&A, the Netherlands, an international M&A practice specialising in sell-side advisory, buy-side advisory and expansion strategies.

Russell D'AlbaHead of Conference Strategy andGlobalscope Marketing


Russell D'Alba is President and Managing Director of Paramax Corporation, a full service middle-market intermediary in the USA.

Anna EdwardsGlobalscope Administrator


Anna Edwards is based in London, UK, and oversees the day to day operations of the network.

Josh ParkHead of Integration

T : +813 6205 7994E : [email protected]

Josh Park is Executive Vice President of Kaede Financial Advisory, an independent M&A advisory firm in Tokyo, Japan.

Paddy MccGwireGlobalscope Treasurer & Past President


Paddy MccGwire is Managing Partner of Cobalt Corporate Finance, a Technology specialist adviser based in London, UK, since 1996.

Imperial House15 KingswayLondonWC2B 6UN

24

GLOBAL PARTNERS - AFRICA

Mr Gert Kruger

GKA Capital

Address : 7 Winchester Road,

West Beach - 7441, Cape Town

Tel : +27 28 754 1828

Email : [email protected]

Website : www.gkacapital.com

Additional O�ice Locations:

Gaborone (Botswana)

Windhoek (Namibia)

Botswana - Gaborone Namibia - Windhoek South Africa - Cape Town

GLOBAL PARTNERS

25

GLOBAL PARTNERS - AMERICAS

Mr Stephen Jakob

Osprey Capital Partners Inc.

Address : Suite 2204, 200 Front Street West, Toronto - M5V 3K2,Canada

Tel : +1 416 867 8282


Website : www.ospreycapital.ca


Winnipeg, British Columbia, �

Calgary & Nova Scotia

GUARITA &ASSOCIADOS

Mr Marcio Ferrazoli

Guarita & Associados

Address : Rua Funchal 263,

18th Floor, Vila Olímpia,

São Paulo / SP - 04551-060, Brazil

Tel : +55 11 3089 6606


Website : www.guarita.com

GLOBAL PARTNERS

Brazil - São Paulo Mexico - Monterrey

Canada - British Columbia, Calgary,Nova Scotia, Toronto, Winnipeg

Uruguay - Montevideo

USA - Bu�alo, Chicago,Los Angeles, Minneapolis, New York, Texas

26

Mr Lloyd Greif

Greif & Co.

Address : 633 West Fifth Street,Sixty-Fifth Floor, Los Angeles,CA - 90071-2005, USA

Tel : +1 (213) 346 9250


Website : www.greifco.com

Mr Russell D’Alba

Paramax Corporation

Address : 333 International Drive, Suite A, Williamsville, NY - 14221, USA

Tel : +1 716 626 1200


Website : www.paramaxcorp.com

Mr Paul Elberse

Ficus Capital S.A.

Address : F. Vidal 688,

Montevideo - 11300, Uruguay

Tel : +598 2711 2252


Website : www.ficuscapital.com

GLOBAL PARTNERS

Mr David Mahmood

Allegiance Capital Corporation

Address : 16400 Dallas Parkway, Suite 300, Dallas, Texas - 75248,USA

Tel : +1 214 217 7750


Website : www.allcapcorp.com


Chicago, Minneapolis, Monterrey (Mexico),

New York


Rochester (New York state)

27

GLOBAL PARTNERS - ASIAPAC

Mr Michael Ramsden

Terrain Capital

Tel : +61 3 9665 2444


Website : www.terraincapital.com

Address : 8 Chapel Street, Richmond

Victoria, Melbourne - 3121, Australia

Mr Todd Grover

Tomkins Turner

Address : Suite 8, 232 Churchill Avenue

Subiaco, Perth - 6008, Australia

Tel : +61 8 6424 9130


Website : www.ttcorporate.com.au

GLOBAL PARTNERS

Indonesia - Jakarta

Japan - Tokyo

Singapore

Australia - Melbourne, Perth

China - Beijing, Jiaxing, Shanghai

India - Bangalore, Chennai, Mumbai, Pune

South Korea - Seoul

Vietnam - Hanoi

28GLOBAL PARTNERS

Mr Je� Zhao

Beijing HRS Consulting

Address : Suite 401, Ziguang Building A, Huixin East Road #11, Chaoyang DistrictBeijing - 100020, China

Tel : +86 10 52865198


Website : www.china-hrs.com


Jiaxing & Shanghai

Ms R Priti

a'XYKno Capital Services Ltd

Tel : +91 932 467 2383


Website : www.axykno.com

Address : 904 Trade World,

C wing, 9th Floor, Kamal City,

Senapati Bapat Marg,

Lower Parel, Mumbai - 400013, India

Mr Kamal Rungta

RCS Advisors (India) Pvt. Ltd.

Tel : +91 20 2683 7941


Website : www.rcsadvisors.in

Address : 407 Winners Court, 23 Lullanagar

Cross, Kondhwa, Pune - 411040, India

Mr Jacob Mathew

MAPE Advisory Group Pvt Ltd

Address : 13/14, 1st Floor, Nirlon HouseDr Annie Bessant Road,Worli, Mumbai - 400030, India

Tel : +91 22 615 44500Email : [email protected] : www.mapegroup.com


Bangalore & Chennai

Mr Fadjar Sutandi

Naxel iPartners

Tel : +62 21 39 899 655Email : [email protected] : www.naxel.biz

Address : AJN Center 5th Floor, Jl. HOS Cokroaminoto No 49A, Menteng, Jakarta, Pusat - 10350, Indonesia

Mr Shin Satake

Kaede Financial Advisory Inc.

Tel : +813 6205 7994


Website : www.kaedefa.com

Address : Prudential Tower 4F,2-13-10 Nagata-cho, Chiyoda-ku,Tokyo - 100-0014, Japan

29

GLOBAL PARTNERS - ASIAPAC

GLOBAL PARTNERS

Mr Nguyen Huu Hieu

Nexus Group

Tel : +84 4 351 90200Email : [email protected] : www.nexusgroup.vn

Address : 5th Floor, Indovina Bank Building,36 Hoang Cau Street, Dong Da District, Hanoi - 100000, Vietnam

Mr Steven Lau

Stirling Coleman

Tel : +65 6327 5700


Website : www.stirlingcoleman.com

Address : 4 Shenton WayS6X Centre 1,07-03 - 068807, Singapore

Mr Jack Yang

H-Partners Korea

Tel : +82 70 4900 2390Email : [email protected]

Website : www.hpartnerskorea.com

Address : 3F Starting Building,720-9 Yeoksamdong, Gangnamgu, Seoul - 135-920, South Korea

30GLOBAL PARTNERS

31

GLOBAL PARTNERS - EUROPE

Mr Albert Michael Rostock-Poplar

Venture Investors Corporate Finance

Tel : +420 777 117 100


Website : www.vicf.cz

Address : Křemencova 17,Prague, Prague 1 - 110 00, Czech Republic

Mr Jørgen Beuchert

Dansk Merchant Capital A/S

Tel : +45 41 99 82 50


Website : www.dmc.dk

Address : Amager Strandvej 50,1st floor, Copenhagen - DK-2300, Denmark

GLOBAL PARTNERS

Ukraine - Kiev

United Kingdom - London

Sweden - Stockholm

Switzerland - Kerzers

Spain - Barcelona

Norway - Trondheim

Russia - Moscow

Poland - Warsaw

Portugal - Lisbon

Netherlands - s’Hertogenbosch, Helvoirt Germany - Düsseldorf, Hamburg, Munich

Greece - Athens

Hungary - Budapest

Luxembourg - Luxembourg

Italy - Milan, Vicenza

Israel - Tel Aviv

France - Paris

Finland - Helsinki

Denmark - Copenhagen

Czech Republic - Prague

Georgia - Tbilisi

Belarus - Minsk

32

Mr Hervé Le Roy

CMW Corporate Finance

Tel : +33 1 49 54 73 10Email : [email protected] : www.cmw.fr

Address : 118, rue de Vaugirard,Paris - 75006, France

Mr Joakim Frimodig

Summa Capital

Tel : +358 20 743 0280


Website : www.summa.fi

Address : Bulevardi 6 A 9,Helsinki - 00120, Finland

Mr Franz Günther

CCI Management

Tel : +49 8105 379737


Website : www.ccim.de

Address : Angerfeldstrasse 8b,Gilching, Munich - D-82205, Germany

GLOBAL PARTNERS

Mr Henning von Poser

Transfer Partners Group

Tel : +49 211 506 6890


Website : www.transfer-partners.com

Address : Ursulinengasse 1,Düsseldorf - D-40213, Germany

Mr Aieti Kukava

Alliance Group Capital

Address : 47/57. M Kostava Str, Tbilisi - 0179, Georgia

Tel : +995 32 242 4181


Website : www.agc.ge

Mr Michael Moritz

CatCap

Tel : +49 40 300 8360Email : [email protected] : www.catcap.de

Additional O�ice Locations: Munich

Address : Valentinskamp 24,Hamburg - D-20354, Germany

33


GLOBAL PARTNERS

Mr Péter Karli

Heal Partners

Tel : +36 1 882 0375


Website : www.healce.com

Address : Bázis O�ice Center14-24., Horvát utcaBudapest, HU-1027, Hungary

Mr Pantelis Papageorgiou

First Athens Corporate Finance SA

Tel : +30 210 677 3285


Website : www.firstathens.com

Address : 1 Elikonos Street,Athens - GR-15452, Greece

Mr Ilan Nir

Portofino Investments

Tel : +972 3 645 0900Email : [email protected] : www.portofinoinv.co.il

Address : 1 Harbarzel Street,3rd Floor, Victoria House,Tel Aviv - 69710, Israel

Mr Lorenzo Valentino

Palladio Corporate Finance

Tel : +39 02 727 30700Email : [email protected] : www.palladiofinanziaria.it

Address : Via Fiori Oscuri 11,Milan - 20121, Italy

Additional O�ice Locations:Vicenza

34

Mr Martijn Peters

DEX international M&A

Tel : +31 73 303 29 21


Website : www.dex.nl

Address : Utopialaan 49, s'Hertogenbosch, 5232 CD, The Netherlands

Mr Frank van Goethem

Stratégique

Tel : +31 411 71 25 20


Website : www.strategique.nl

Address : Zwijnsbergen, Helvoirtsestraat 6, Helvoirt, 5268 BB, The Netherlands

Mr Daniel Schneider

Tenzing Partners SA

Tel : +352 26 38 9461Email : [email protected] : www.tenzing-partners.com

Address : 119 Av. Gaston Diderich,L-1420, Luxembourg

GLOBAL PARTNERS

Mr Bjørnar Reitan

Impello Management AS

Tel : +47 92 64 86 66


Website : www.impello.no

Address : Innherredsveien 7, Trondheim - NO-7014, Norway

Mr Giuseppe Benedetti

Benedetti & Associates

Tel : +32 02 4801 5369Email : [email protected] : www.benedettirossi.com

Address : Palazzo dei Cigni snc,Piazza Marco Polo, Basiglio - 20080, Italy

Mr Dariusz Budzen

Augeo Ventures

Tel : +48 22 745 17 55


Website : www.augeo.pl

Address : Ul. Rozbrat 6/5Warsaw - 00-451, Poland

35



Mr César Prado López

Next Corporate

Tel : +34 935 189 981Email : [email protected] : www.nextcorporate.com

Address : Av. Diagonal, 508, 4-1, Barcelona - 08006, Spain

Mr Konstantin Dzhimbinov

RB Partners

Address : 2 Smolensky Bulvar,Moscow - 119034, Russia

Tel : +7 495 726 5917


Website : www.rbpartners.ru

Mr Diego Hernando

Bluemint Capital

Tel : +351 213 104 170


Website : www.bluemint.eu

Address : Rua Cova da Moura,2 - 5.º Esq. Lisbon,1350 - 115, Portugal

Marcin Majewski

Aventis Capital

Tel : +48 22 518 79 68


Website : www.aventis-capital.com

Address : 111 Marszałkowska St.,Warsaw - 00-102, Poland

36

Mr Johan Frenckner

ScandCap

Tel : +46 8 551 182 20


Website : www.scandcap.com

Address : Mäster Samuelsgatan 3,Stockholm - 11144, Sweden

Mr Fritz Loe�el

Nomima Ltd

Tel : +41 31 755 70 75Email : [email protected] : www.globalscope.ch

Address : Gerbeackerstrasse 8,Kerzers - CH-3210, Switzerland

Mr Dmitriy Baranovskiy

Capital Times

Tel : +380 44 499 88 34/35Email : [email protected] : www.capital-times.com

Address : Mikhailovskaya Str. 12b,Kiev - 01001, Ukraine

Additional O�ice Locations:Minsk (Belarus)

Mr Paddy MccGwire

Cobalt Corporate Finance

Tel : +44 20 7491 1271


Website : www.cobaltcf.com

Address : 23 Hanover Square,London - W1S 1JB, UK

Mr Jim Keeling

Corbett Keeling

Tel : +44 20 7626 6266


Website : www.corbettkeeling.com

Address : 8 Angel Court,London - EC2R 7HP, UK


37

EVENTS

EVENTS

Our partners get together at least twice a year at Globalscope conferences to network, share best

practice, have one-to-one deal meetings and sector meetings. The conferences are held in di�erent

locations on each occasion, providing partners with access to experts on the local economy and M&A

conditions, as well as giving local and regional business heads time to discuss opportunities for our

clients. Globalscope conferences are private events for our partners only.

38EVENTS

At the semi-annual conference in

Athens, the partners of

Globalscope voted unanimously in

favour of a merger with Asia M&A

Group. The merger added nine

key firms in Asia, and boosted the

total Globalscope roster to 45 firms

in 38 countries.

Globalscope M&A network at the semi-annual conference London, October 2013

39

EVENTS

EVENTS

Globalscope M&A network Jakarta, March 2015

Jakarta 2015

Monday, March 23rd

Opening hosted by NaXel iPartners. Networking cocktail party at BACCO wine bar.

Athens 2014

Wednesday, October 1st

Opening hosted by First Athens. Networking cocktail party.

Tuesday, March 24th

Introduction and presentation by NaXel iPartners. Observers' introductions. Introduction to Indonesia & its investment opportunities. Diverse deal meetings & sector meetings. Dinner and Oscars at Seribu Rasa restaurant.

Thursday, October 2nd

Introduction and presentation by First Athens. Observers' introductions. Diverse deal meetings & sector meetings. Guest speaker presentation. Dinner and Oscars at Acropolis Museum.

Wednesday, March 25th

Best practice presentation. Case study of collaboration. Marketing strategies. Regional workshop. Diverse deal meetings & sector meetings. Members' meeting. Vote on observers. Dinner and dancing at Exodus restaurant.

Friday, October 3rd

Best practice presentation. Listing on the AIM/SE market.

Marketing committee meeting. Diverse deal meetings &

sector meetings. Guest speaker presentation.

Thursday, March 26th and Friday, March 27th

Public conference including local and regional business owners from ASEAN region and members of KADIN (Indonesian Chamber of Commerce). Deal presentations by Globalscope members to audience & networking. Guest speaker presentations.

The next Globalscope conference will take place in Tel Aviv, Israel, from 7th-10th October, hosted by Portofino Investments.

Saturday, October 4th

Members' meeting. Vote on observers.

CASE STUDIES

40

The Target

Kontomierz is a technology company o�ering a personal finance management tool as well as screen scraping

technology which allows its users to scan and read banking information such as previous transactions. The collected

data can subsequently be transposed into a common format to be used for further applications.

The Acquirer

Kreditech, founded in 2012, is a frontier financial technology company o�ering payday and instalment loans, with

Poland as its biggest market. It became a customer of Kontomierz shortly after launching its Polish operations. It uses

Kontomierz's services for identity verification and for loan applicant analysis. While Kreditech was using Kontomierz,

its default rate fell dramatically.

The Deal Rationale

Both Kontomierz and Kreditech stand to benefit from significant synergies: Kreditech will support Kontomierz with

global market entries in Spain, Mexico, Russia and Brazil scheduled for 2015, and together they can continue Kreditech's

rapid growth of 500% a year. Focused on building a one-stop shop for personal finance for customers worldwide, the

group’s unique technology uses big data gathered from 15,000 data points for its proprietary self-learning credit scoring

algorithms. Since 2012, Kreditech’s innovative technology has served two million consumers in nine countries. It is the

fastest growing company in consumer finance technology in Europe, with a lending run rate of more than

€100 million.

01

02

03

The Process

CatCap acted as the lead sell-side advisor in the process. As the financial technology sector is UK and US-centric, it

was critical to build international competition outside Poland and Germany during the sale process.

This was achieved by working closely with Globalscope partner firms, including Cobalt, to find potential buyers from

the UK and US markets. In this way, the seller could select the best potential acquirer from a global choice.

Combining CatCap’s and Cobalt’s tech insights and networks was very fruitful and improved the results for our client.

During due diligence, Augeo from Poland, another Globalscope partner firm, supported on the financial aspects and

was also available for support on important issues such as taxation and law. In the end, it was the advice of Augeo

which made it technically possible to execute the deal.

Globalscope demonstrated excellent collaboration between professionals from a variety of countries and all seniority

levels. The deal was e�icient, productive and yielded an excellent result with great client satisfaction.

04

Globalscope advised Kontomierz on the merger with KreditechIn 2014, Globalscope advised on the sale of Kontomierz (Poland) to Kreditech (Germany). The project fully utilised Globalscope’s

international network, with three Globalscope partners involved.

CASE STUDIES

41

The Target

Tubexpress is a distribution company supplying pipes and tubes to the (petro)chemical and oil and gas industry. The

company has two branches in Brazil, in Osasco and São Carlos, both in the state of São Paulo, and employs around 65

people.

The Acquirer

Van Leeuwen is an international trading company specialising in steel pipes and pipe and tube applications. The

company is active in virtually all industrial sectors. The group has 50 branches spread throughout Europe, the Middle

East, Asia, Australia and North and South America and has a turnover of €658 million (2012) with around 1,000

employees.

The Deal Rationale

Van Leeuwen wanted to enter the Brazilian market.

01

02

03

The Process

Guarita and Solving acted as buy-side advisors to Van Leeuwen from the very start of the process (formulation of

market-entry strategy), until closing. Activities performed:

Comprehensive market analysis, using public information and local expert information via Guarita's contacts in

Brazil

Thorough selection process in order to choose the right candidate, based on selection criteria defined by Solving

and Guarita together with the client

Multiple personal contacts with the seller to be able to build trust, bridge the ‘information gap’ and overcome

cultural di�erences

Guidance of the client through the process, explaining local practices, legal and economic environment

Management of due diligence process to get the full insight of all potential risk factors

04

Globalscope advised on the acquisition of Tubexpress by Van Leeuwen Pipe and Tube GroupIn 2014 , Globalscope partners Solving Efeso (the Netherlands) and Guarita (Brazil) acted as joint buy-side advisors to Van

Leeuwen (the Netherlands) on the acquisition of Tubexpress (Brazil). Solving focused on market analysis and deal structuring,

Guarita played a major role in the contacts and the contract negotiations with the seller.

CASE STUDIES

CASE STUDIES

42

TRANSACTIONS

TRANSACTIONS

43

TRANSACTIONS

TRANSACTIONS

44

TRANSACTIONS

TRANSACTIONS

45

TRANSACTIONS

TRANSACTIONS

46

TRANSACTIONS

TRANSACTIONS

47

TRANSACTIONS

TRANSACTIONS

48

TRANSACTIONS

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49

TRANSACTIONS

TRANSACTIONS

50

TRANSACTIONS

TRANSACTIONS

51

TRANSACTIONS

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52

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W: www.globalscopepartners.com Company number: 07409493

For Globalscope enquiries, please contact

Michael Moritz - President

T: +49 40 300 8360E: [email protected]

For press enquiries, please contact

Anna Edwards - Administrator

T: +44 20 8133 8023E: [email protected]

Imperial House15 KingswayLondonWC2B 6UN

Documents

Globalscope Annual Yearbook 2015