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David Dolan Director
Q4 2014 Enterprise Application Software
Market Snapshot
Gregory Ager Managing Director
www.signalhill.com
Joe Morgan Managing Director
Chase Sanders Managing Director
B a l t i m o r e │ B a n g a l o r e │ B o s t o n │ M u m b a i │ N a s h v i l l e │ N e w Yo r k │ R e s t o n │ S a n F r a n c i s c o
Jane Santini Vice President
Contents
Signal Hill at a Glance…………………………………..……………………….………..…. 3
Signal Hill’s Recent Enterprise Application Software Deals……..................................... 4
Q4 2014 Enterprise Application Software M&A Overview…………….…….…............... 5
Notable Q4 2014 Enterprise Application Software M&A Transactions........................... 6
Q4 2014 M&A Enterprise Application Software Transactions…….……………………... 7
Q4 2014 Enterprise Application Software IPO Data……………………………..……….. 17
Q4 2014 Enterprise Application Software Public Company Valuation Metrics………..... 18
LTM Relative Enterprise Application Software Stock Price Performance………………. 19
2
Signal Hill at a Glance
Recent Mergers & Acquisitions, Strategic Advisory Transactions
Mergers &
Acquisitions
Equity Private
Placements
Restructurings
Strategic
Advisory
Special
Committee
Advisory
Fairness
Opinions
3
Signal Hill, named 2014 Boutique Investment Bank of the Year by the Global M&A Network, is a leading independent
advisory boutique serving the M&A and private capital raising needs of growth companies. Signal Hill's
experienced bankers provide deep domain expertise and an unyielding commitment to clients in our sectors:
Internet & Digital Media, Internet Infrastructure, Services and Software. With more than 600 completed transactions
and offices in Baltimore, Bangalore, Boston, Mumbai, Nashville, New York, Reston and San Francisco, Signal Hill
leverages deep strategic industry and financial sponsor relationships to help our clients achieve Greater
Outcomes®.
Signal Hill’s Recent Enterprise Application Software Deals
Includes previous experience
4
Q4 2014 Enterprise Application Software M&A Overview
The Enterprise Application Software sector experienced a slight decline in terms of
deal velocity, moving from 302 announced deals in Q3 2014 to 286 announced in Q4
2014. Total announced enterprise value (EV), however, did experience a significant
decline in the fourth quarter of 2014. This is largely attributable to a lack of “mega”
deals like those announced in the prior two quarters. Median announced deal size
followed suit, decreasing by approximately 45 percent, while median revenue
multiples held fairly steady from Q3 2014 to Q4 2014.
5
Source: Signal Hill Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Number of Deals 256 249 354 302 286
% change from prior quarter - -2.7% 42.2% -14.7% -5.3%
Total Announced Enterprise Value ($M) $14,999.8 $8,594.7 $17,521.7 $23,176.5 $8,318.7
% change from prior quarter - -42.7% 103.9% 32.3% -64.1%
Median Announced Deal Size ($M) $26.5 $22.7 $29.0 $31.2 $17.1
% change from prior quarter - -14.3% 27.8% 7.6% -45.1%
Median EV/LTM Revenue Multiple 2.4x 2.7x 2.9x 2.6x 2.5x
% change from prior quarter - 11.2% 6.8% -8.9% -5.7%
Select Enterprise Application Software Transactions, Q4 2014
Bunchball Received
Growth Equity
Investment from Parallax
Capital Partners
Signal Hill advised Bunchball. Bunchball, the market leader and visionary in
gamification for the enterprise, has completed a majority recapitalization and
received a significant growth equity investment from Parallax Capital Partners, a
software and technology acquisition firm.
Advanced Computer
Software Group to be
Acquired by Vista Equity
Partners
EV: $1,197M
Revenue Multiple: 3.3x
Advanced Computer Software Group, a provider of patient management software
to health care providers, back-office systems for businesses and outsourced
information technology services, has agreed to be acquired by Vista Equity
Partners. The acquisition will be made by Air Bidco Limited, an investment
vehicle indirectly owned by Vista Funds.
Exact Holding to be
Acquired by Eiger
Acquisition
EV: $851M
Revenue Multiple: 2.8x
Exact, a provider of vigorous business software to more than 200,000
businesses worldwide, has agreed to be acquired by Eiger Acquisition, a wholly
owned subsidiary of certain funds advised by Apax Partners. Exact’s strategy is
to shift to a global cloud company – the acquisition by Eiger provides the capital
to enable this strategy.
Dealogic to be Acquired
by The Carlyle Group
EV: $700M
Revenue Multiple: 5.0x
Dealogic, a global provider of data and analytics, market intelligence and capital
markets software solutions for financial institutions, has agreed to be acquired by
The Carlyle Group (Nasdaq: CG), the global alternative asset manager. Carlyle is
partnering with strategic coinvestors Randall Winn, co-founder and former CEO
of Capital IQ, and Euromoney Institutional Investor PLC.
Actuate Corporation
Acquired by OpenText
Corporation
EV: $272M
Revenue Multiple: 2.5x
Actuate Corporation, the leader in personalized analytics and insights, has
entered into an agreement to be acquired by OpenText, a provider of Enterprise
Information Management software solutions for large corporations. The addition
of Actuate enables OpenText to enhance its products with embedded analytics
and to extend its offerings to more geographies and industries.
Datalogix to be Acquired
by Oracle
Datalogix, the industry-recognized leader at connecting offline consumer
spending to digital marketing, helping marketers increase the effectiveness and
measurability of their advertising, has entered into an agreement to be acquired
by Oracle. The combined cloud solutions will provide marketers and publishers
with the richest understanding of consumers across both digital and traditional
channels.
Notable Q4 2014 Enterprise Application Software M&A Transactions
6
Q4 2014 M&A Enterprise Application Software Transactions
7
Date
Announced Seller Buyer
Enterprise
Value Revenues EBITDA
Enterprise Value
Revenue EBITDA 30-Dec-14 Aesyntix Health Inc. Modernizing Medicine Inc. NA NA NA NA NA
29-Dec-14 CareTracker Inc. / Assets Harris Computer Systems NA NA NA NA NA
23-Dec-14 Castfire Inc. / Assets WideOrbit Inc. NA NA NA NA NA
23-Dec-14 IRON Solutions Inc. / Assets Trimble Navigation Ltd. NA NA NA NA NA
23-Dec-14 Axacore Inc. Scrypt Inc. NA NA NA NA NA
23-Dec-14 UbiquityIQ PopHealthCare NA NA NA NA NA
22-Dec-14 Five Delta Inc. Social Reality Inc. $0.8 NA NA NA NA
22-Dec-14 TLL LLC (Timeline Labs) SeaChange International Inc. $22.0 NA NA NA NA
22-Dec-14 Datalogix Oracle Corporation NA NA NA NA NA
22-Dec-14 LeadLedger Datanyze NA NA NA NA NA
22-Dec-14 Avantas AMN Healthcare Services Inc. $16.5 NA NA NA NA
22-Dec-14 OneMove Technologies Inc. / e-conveyance assets Information Services Corporation $8.6 NA NA NA NA
19-Dec-14 AdKarma LLC blinkx plc $15.0 $13.3 NA 1.1x NA
19-Dec-14 SBS Software GmbH Wolters Kluwer Tax, Accounting &
Legal NA NA NA NA NA
19-Dec-14 Bina Technologies Roche Holding AG NA NA NA NA NA
19-Dec-14 Logibec Groupe Informatique Ltd. GI Partners NA NA NA NA NA
19-Dec-14 Mediaglu AppNexus NA NA NA NA NA
19-Dec-14 RandomStorm Ltd. Accumuli PLC $14.0 NA NA NA NA
18-Dec-14 PowerYourRoom Ltd. PriceMatch SAS NA NA NA NA NA
18-Dec-14 ExactBid Inc. / Undisclosed Majority Stake Spectrum Equity Investors NA NA NA NA NA
18-Dec-14 Vidmaker YouTube Inc. NA NA NA NA NA
18-Dec-14 incadea plc DealerTrack Holdings, Inc. $190.3 NA NA NA NA
18-Dec-14 Gael Ltd. Ideagen plc $28.2 NA NA NA NA
18-Dec-14 S1nn GmbH & Co. KG Harman International Industries Inc. NA NA NA NA NA
17-Dec-14 NuCivic GovDelivery Inc. NA NA NA NA NA
17-Dec-14 Imagineer Systems Ltd. Boris FX NA NA NA NA NA
17-Dec-14 PeerIndex Brandwatch NA NA NA NA NA
16-Dec-14 Arktan Inc. Janrain Inc. NA NA NA NA NA
16-Dec-14 NeXT I.S Ltd Wavenet Limited NA NA NA NA NA
16-Dec-14 Alpha Transcription / Assets Trio Consulting LLC NA NA NA NA NA
$ in millions
Q4 2014 M&A Enterprise Application Software Transactions
8
Date
Announced Seller Buyer
Enterprise
Value Revenues EBITDA
Enterprise Value
Revenue EBITDA 16-Dec-14 Corelogic Limited Servelec Group plc $36.9 $15.9 NA 2.3x NA
15-Dec-14 IdeaObject Software Pvt. Ltd. Telstra Health NA NA NA NA NA
15-Dec-14 Cloud9 Telstra Health NA NA NA NA NA
14-Dec-14 Cover-All Technologies Inc. Majesco Inc. NA $19.7 NA NA NA
12-Dec-14 DynaCal LLC eSchoolView NA NA NA NA NA
12-Dec-14 @Work International Pty. Ltd. Beneficium International Pty. Ltd. NA NA NA NA NA
11-Dec-14 Origin Healthcare Solutions Meridian Medical Management NA NA NA NA NA
11-Dec-14 FOLIO / Assets TM Software NA NA NA NA NA
11-Dec-14 GFG Group Ltd. Wirecard AG $37.0 NA NA NA NA
11-Dec-14 Yeoman & Company Paralegal / Assets iLOOKABOUT Corp. $1.3 NA NA NA NA
11-Dec-14 GoPrint ITC Systems NA NA NA NA NA
11-Dec-14 ShopVisible Epicor Software Corporation NA NA NA NA NA
11-Dec-14 Cognilytics Inc. CenturyLink NA NA NA NA NA
11-Dec-14 Optyn Inc. Central Data Storage NA NA NA NA NA
11-Dec-14 Kontextual Inc. Xeeva Inc. NA NA NA NA NA
10-Dec-14 BidSync Periscope Holdings NA NA NA NA NA
10-Dec-14 Happtique Inc. WorldDoc Inc. (SocialWellth) NA NA NA NA NA
10-Dec-14 Acrede Intuit Inc. NA NA NA NA NA
10-Dec-14 Whodini Inc. / Assets Declara NA NA NA NA NA
10-Dec-14 Neohapsis Cisco Systems Inc. NA NA NA NA NA
10-Dec-14 Video Guidance BCS Global Networks NA NA NA NA NA
10-Dec-14 SlimSurveys Inc. (RapidEngage) QuestionPro NA NA NA NA NA
10-Dec-14 Plethora Mobile Publishers Clearing House Digital NA NA NA NA NA
10-Dec-14 Boutique Window Retail Success NA NA NA NA NA
10-Dec-14 iSOCO / ICM and iLab assets Expert System Iberia S.L. $2.5 NA NA NA NA
10-Dec-14 Valuation Vision LLC / Assets Zaio Corporation $2.2 NA NA NA NA
10-Dec-14 PPM 2000 Klass Capital NA NA NA NA NA
09-Dec-14 Tripwire Inc. Belden Inc. $710.0 NA NA NA NA
09-Dec-14 PTI Marketing Technologies Ricoh Group NA NA NA NA NA
09-Dec-14 Mobile Commons Upland Software NA NA NA NA NA
$ in millions
Q4 2014 M&A Enterprise Application Software Transactions
9
Date
Announced Seller Buyer
Enterprise
Value Revenues EBITDA
Enterprise Value
Revenue EBITDA 09-Dec-14 Beijing HuaTech Information Technology Co. Ltd. Beijing VRV Software Corp. Ltd. $16.2 NA NA NA NA
09-Dec-14 Emerge.MD Avizia Inc. NA NA NA NA NA
09-Dec-14 Trapit Inc. Addvocate NA NA NA NA NA
09-Dec-14 Indigo New Zealand Ltd. Theta Systems Limited NA NA NA NA NA
09-Dec-14 Metabar (Sovetnik) Yandex NA NA NA NA NA
08-Dec-14 Proteus Software Sanderson Group PLC $2.2 $3.2 NA 0.7x NA
08-Dec-14 e-customs Inc. Descartes Systems Group Inc. $9.0 NA NA NA NA
08-Dec-14 Pentant Limited Descartes Systems Group Inc. $2.8 NA NA NA NA
08-Dec-14 HealthInterlink LLC / Assets Welch Allyn NA NA NA NA NA
08-Dec-14 640 Labs The Climate Corporation NA NA NA NA NA
08-Dec-14 EPiServer AB / Undisclosed Majority Stake Accel-KKR Company NA NA NA NA NA
07-Dec-14 AFrame Digital Gooch & Housego Florida LLC (Neos
Technologies) NA NA NA NA NA
05-Dec-14 PayHub Inc. SignaPay Ltd. NA NA NA NA NA
05-Dec-14 Unity Software Ltd. Microgen plc $2.0 NA NA NA NA
05-Dec-14 Actuate Corporation OpenText Corporation $272.0 $107.3 NA 2.5x NA
04-Dec-14 Auteq Telematica Deere & Company NA NA NA NA NA
03-Dec-14 Clothes Horse Fits.me NA NA NA NA NA
02-Dec-14 The POP Company Pte. Ltd. AFS Technologies Inc. NA NA NA NA NA
02-Dec-14 Pulse Energy EnerNOC Inc. NA NA NA NA NA
02-Dec-14 Credit Suisse Group SmartStream Technologies NA NA NA NA NA
02-Dec-14 Fleetlogic BV TomTom NV NA NA NA NA NA
02-Dec-14 OpenJaw Technologies Limited GuestLogix Inc. $41.2 $22.9 NA 1.8x NA
01-Dec-14 DST Global Solutions Ltd. / Assets SS&C Technologies, Inc. $95.0 NA NA NA NA
01-Dec-14 G2 Research Ltd. Track Group $4.1 NA NA NA NA
01-Dec-14 Nexala Trimble Navigation Ltd. NA NA NA NA NA
01-Dec-14 PasswordBox Intel Corporation NA NA NA NA NA
01-Dec-14 Orfival SA Confluence Technologies Inc. NA NA NA NA NA
01-Dec-14 IPC Systems Inc. / Assets Centerbridge Partners L.P. $1,200.0 $500.0 NA 2.4x NA
01-Dec-14 Absentys LLC Sedgwick Claims Management
Services Inc. NA NA NA NA NA
01-Dec-14 Vidible AOL Inc. NA NA NA NA NA
$ in millions
Q4 2014 M&A Enterprise Application Software Transactions
10
Date
Announced Seller Buyer
Enterprise
Value Revenues EBITDA
Enterprise Value
Revenue EBITDA 26-Nov-14 PPM Information Solutions Inc. Bolder Healthcare Solutions LLC $2.6 NA NA NA NA
25-Nov-14 LinkSmart Inc. VigLink NA NA NA NA NA
25-Nov-14 Advanced Computer Software Group plc Vista Equity Partners $1,196.6 $364.1 $83.0 3.3x 14.4x
25-Nov-14 Alpha Systems DataBank IMX LLC NA NA NA NA NA
24-Nov-14 N200 Limited Viad Corp. $12.5 NA NA NA NA
24-Nov-14 Unroll.Me Inc. Slice Technologies Inc. NA NA NA NA NA
24-Nov-14 BRToken Datablink NA NA NA NA NA
24-Nov-14 PayPlum LLC / IP Assets Acculynk NA NA NA NA NA
24-Nov-14 Cimatron Ltd. 3D Systems Inc. $76.9 $46.6 $7.2 1.6x 10.7x
24-Nov-14 Bunchball Parallax Capital Partners NA NA NA NA NA
21-Nov-14 TriTech Software Systems / Assets / Majority Stake Insight Venture Partners, LLC NA NA NA NA NA
21-Nov-14 Solution Q Upland Software $5.8 NA NA NA NA
21-Nov-14 DirectRoster / Assets League Sports Services LLC
(SportsSignup.com) NA NA NA NA NA
21-Nov-14 WealthTouch Holdings Inc. Archway Technology Partners NA NA NA NA NA
21-Nov-14 Decade Software Company LLC Accela Inc. NA NA NA NA NA
20-Nov-14 levatis Software Solutions GmbH Automic Software NA NA NA NA NA
20-Nov-14 Airclic Descartes Systems Group Inc. $29.7 NA NA NA NA
20-Nov-14 Intralign Holdings LLC / Majority Acquisition Pamplona Capital Management LLP NA NA NA NA NA
20-Nov-14 Optionshop OptionsCity Software NA NA NA NA NA
20-Nov-14 Piracle Inc. AvidXchange NA NA NA NA NA
19-Nov-14 ABE Systems / Assets ScholarChip NA NA NA NA NA
19-Nov-14 Motley Bunch Inc. Return Path Inc. NA NA NA NA NA
19-Nov-14 Social News Desk Inc. Graham Media Group NA NA NA NA NA
19-Nov-14 Change Healthcare Emdeon $135.0 NA NA NA NA
19-Nov-14 Smarterer Pluralsight LLC $75.0 NA NA NA NA
18-Nov-14 OnFocus Healthcare Inc. MedeAnalytics Inc. NA NA NA NA NA
18-Nov-14 SITmobile Soprano Design Pty Ltd. NA NA NA NA NA
18-Nov-14 500friends Inc. Merkle Inc. NA NA NA NA NA
18-Nov-14 Gambassa Inc. / learning management platform Greenwood Hall Inc. NA NA NA NA NA
18-Nov-14 Matchbook Labs Inc. (GetFeedback) Campaign Monitor Pty. Ltd. NA NA NA NA NA
$ in millions
Q4 2014 M&A Enterprise Application Software Transactions
11
Date
Announced Seller Buyer
Enterprise
Value Revenues EBITDA
Enterprise Value
Revenue EBITDA 18-Nov-14 Next Gen Innovation ASPIDER Solutions NA NA NA NA NA
17-Nov-14 iSocket The Rubicon Project $10.0 NA NA NA NA
17-Nov-14 Vysionics ITS Ltd. / Majority Acquisition Jenoptik AG NA NA NA NA NA
17-Nov-14 Shiny Ads The Rubicon Project NA NA NA NA NA
17-Nov-14 Ajelo Ltd. Split Technology Inc. NA NA NA NA NA
17-Nov-14 Swarm Mobile Groupon Inc. NA NA NA NA NA
17-Nov-14 VFA Inc. Accruent LLC NA NA NA NA NA
13-Nov-14 Aorato Microsoft Corporation NA NA NA NA NA
13-Nov-14 Coliloquy / ebook publishing business assets Vook Inc. NA NA NA NA NA
13-Nov-14 Yayoi Co. / Assets Orix Corporation NA NA NA NA NA
13-Nov-14 Matrix Software Development Limited Jigsaw Systems Limited NA NA NA NA NA
13-Nov-14 EmployInsight Get It LLC NA NA NA NA NA
13-Nov-14 Marquis ID Systems Gemalto NV NA NA NA NA NA
13-Nov-14 ParentLink / Assets Blackboard Inc. $40.0 $10.0 NA 4.0x NA
13-Nov-14 Moventum S.C.A. / Assets Atlantic Fund Services NA NA NA NA NA
13-Nov-14 Layer By Layer Inc. MakerBot Industries NA NA NA NA NA
12-Nov-14 PoweredAnalytics Inc. Target Corporation NA NA NA NA NA
12-Nov-14 Co-Optimum Inc. Ansira NA NA NA NA NA
11-Nov-14 SecureNet Payment Systems / Assets Worldpay NA NA NA NA NA
11-Nov-14 Amtech Group Limited Trimble Navigation Ltd. NA NA NA NA NA
11-Nov-14 NARxCHECK / Assets Appriss NA NA NA NA NA
11-Nov-14 Agelio Networks / MineralFile assets NeoFirma NA NA NA NA NA
11-Nov-14 Spectrum Edu Solutions Liaison International NA NA NA NA NA
11-Nov-14 RacoWireless KORE Wireless Group Inc. NA NA NA NA NA
11-Nov-14 Xtime Inc. Cox Automotive $325.0 $40.0 NA 8.1x NA
10-Nov-14 Health Services Integration Syncordia Technologies and
Healthcare Solutions NA NA NA NA NA
10-Nov-14 XPIENT Solutions Heartland Payment Systems Inc. $30.0 NA NA NA NA
10-Nov-14 VisionOne Worldwide Ltd. accesso Technology Group plc $33.0 $7.7 $2.7 4.3x 12.2x
10-Nov-14 Medeo Corporation QHR Technologies Inc. $3.0 NA NA NA NA
10-Nov-14 Knos / Assets TeamSystem SpA NA NA NA NA NA
$ in millions
Q4 2014 M&A Enterprise Application Software Transactions
12
Date
Announced Seller Buyer
Enterprise
Value Revenues EBITDA
Enterprise Value
Revenue EBITDA 10-Nov-14 AtYS s.r.l. TeamSystem SpA NA NA NA NA NA
10-Nov-14 Leftronic AppDirect Inc. NA NA NA NA NA
10-Nov-14 IntelliResponse Systems Inc. 24/7 Customer Inc. NA NA NA NA NA
06-Nov-14 Heartbeat Experts Truven Health Analytics Inc. NA NA NA NA NA
06-Nov-14 Crash-WriteR Inc. / Assets Web-Est LLC NA NA NA NA NA
06-Nov-14 Norman Safeground AS AVG Technologies $14.0 NA NA NA NA
06-Nov-14 Decision Street Cvent Inc. $3.7 NA NA NA NA
06-Nov-14 Vendormate Inc. / Assets Global Healthcare Exchange LLC NA NA NA NA NA
06-Nov-14 Infotrieve Copyright Clearance Center NA NA NA NA NA
06-Nov-14 E-Tale Holdings Ltd. ChannelAdvisor Corporation $8.2 NA NA NA NA
06-Nov-14 eClinical Insights ERT NA NA NA NA NA
06-Nov-14 advertzoom GmbH BrandMaker GmbH NA NA NA NA NA
05-Nov-14 RCI Safety BST NA NA NA NA NA
05-Nov-14 Kickserv ReachLocal Inc. $6.8 $2.0 NA 3.4x NA
05-Nov-14 Dealogic The Carlyle Group $700.0 $140.6 NA 5.0x NA
05-Nov-14 Allegiance Software Inc. Maritz Research NA NA NA NA NA
05-Nov-14 PI Worldwide Phoenix Strategy Investments LLC NA NA NA NA NA
05-Nov-14 Blackbird Technologies Inc. Raytheon Company $420.0 NA NA NA NA
05-Nov-14 Contact At Once! LLC LivePerson Inc. $65.0 $18.0 NA 3.6x NA
05-Nov-14 Monchilla Xero Limited $7.8 NA NA NA NA
05-Nov-14 Avionics Interface Technologies / Assets Teradyne Inc. NA NA NA NA NA
04-Nov-14 Uruut Inc. NonProfitEasy Inc. NA NA NA NA NA
04-Nov-14 Aconite Technology Ltd. Proxama Ltd. NA NA NA NA NA
04-Nov-14 World Energy Solutions Inc. EnerNOC Inc. $76.0 $37.0 $4.2 2.1x 18.3x
04-Nov-14 CASE Parking LLC T2 Systems Inc. NA NA NA NA NA
04-Nov-14 Insurity Inc. / Majority Stake TA Associates NA $100.0 NA NA NA
04-Nov-14 Netbooks Inc. / WorkingPoint Zipmark Inc. NA NA NA NA NA
04-Nov-14 WebOutcomes WebPT NA NA NA NA NA
04-Nov-14 SensAble Technologies Inc. / Assets exocad GmBH NA NA NA NA NA
03-Nov-14 VERTEX Incorporated Ebix Inc. NA NA NA NA NA
$ in millions
Q4 2014 M&A Enterprise Application Software Transactions
13
Date
Announced Seller Buyer
Enterprise
Value Revenues EBITDA
Enterprise Value
Revenue EBITDA 03-Nov-14 bswift Aetna Inc. $400.0 $40.0 NA 10.0x NA
03-Nov-14 Joss Technology Inc. AIM Software NA NA NA NA NA
31-Oct-14 DataMarket Qlik $11.8 NA NA NA NA
31-Oct-14 City Index Ltd. / Assets GAIN Capital Holdings Inc. $82.0 $124.8 $10.7 0.7x 7.7x
31-Oct-14 WISeKey SA / 70% Stake Garnero Group Acquisition Company $172.2 NA NA NA NA
30-Oct-14 Animana B.V. IDEXX Laboratories Inc. NA NA NA NA NA
30-Oct-14 myAgri Vistex Inc. NA NA NA NA NA
30-Oct-14 Qualnetics Corporation / Assets Velvac Inc. NA NA NA NA NA
30-Oct-14 OpenTV Corporation / advertising business assets Imagine Communications Corp. NA NA NA NA NA
30-Oct-14 Documotive Limited Castleton Technology plc $6.4 NA NA NA NA
30-Oct-14 PRO Unlimited / Assets Investcorp/Mumtalakat NA NA NA NA NA
29-Oct-14 Nomi Technologies Inc. Brickstream Corporation NA NA NA NA NA
29-Oct-14 Ceiba Solutions Inc. PerkinElmer Inc. NA NA NA NA NA
29-Oct-14 Epidemico Inc. Booz Allen Hamilton Inc. NA NA NA NA NA
29-Oct-14 Transvision AS AMCS Group NA NA NA NA NA
28-Oct-14 Identropy / SCUID Assets CA Technologies NA NA NA NA NA
28-Oct-14 Marketing Advocate Zift Solutions Inc. NA NA NA NA NA
28-Oct-14 ESC Services Inc. / Assets Rockwell Automation Inc. NA NA NA NA NA
28-Oct-14 RUN Publicis Groupe NA NA NA NA NA
28-Oct-14 Snapshot Mobile Inc. (CarcodeSMS) Edmunds.com Inc. NA NA NA NA NA
28-Oct-14 iViZ Security Cigital Inc. NA NA NA NA NA
27-Oct-14 Lewtan Technologies Inc. / Assets Moodys Corporation NA NA NA NA NA
25-Oct-14 MCCT Inc. / Assets BandTel LLC NA NA NA NA NA
24-Oct-14 Radiant Zemax / Zemax Division Arlington Capital Partners NA NA NA NA NA
23-Oct-14 Wausau Financial Systems Inc. Deluxe Corporation $90.0 NA NA NA NA
23-Oct-14 The SmarTV Company Quadriga Worldwide NA NA NA NA NA
23-Oct-14 Nexgate Proofpoint Inc. $35.0 NA NA NA NA
23-Oct-14 Filemobile Newzulu $4.4 NA NA NA NA
23-Oct-14 Phreesia Payment Services / Majority Investment LLR Partners NA NA NA NA NA
22-Oct-14 POSIOS Lightspeed Retail Inc. NA NA NA NA NA
$ in millions
Q4 2014 M&A Enterprise Application Software Transactions
14
Date
Announced Seller Buyer
Enterprise
Value Revenues EBITDA
Enterprise Value
Revenue EBITDA 22-Oct-14 Ingenious Med / Majority Stake North Bridge Growth Equity NA NA NA NA NA
21-Oct-14 AnubisNetworks BitSight Technologies NA NA NA NA NA
21-Oct-14 OrthoView Materialise NV $13.6 $5.6 NA 2.5x NA
21-Oct-14 Relias Learning / Assets Bertelsmann SE & Co KGaA NA NA NA NA NA
21-Oct-14 Maritime Information Systems AS (Maris) Navico Norway AS NA NA NA NA NA
21-Oct-14 Amethon Solutions Pty Ltd. Invigor Group $1.6 NA NA NA NA
21-Oct-14 29th Street Publishing / Assets (Topics) Six Apart Ltd NA NA NA NA NA
20-Oct-14 RightSignature LLC Citrix Systems Inc. NA NA NA NA NA
20-Oct-14 LicenseStream Wright's Media NA NA NA NA NA
20-Oct-14 Videoplaza Ltd Ooyala Inc $80.0 $8.0 NA 10.0x NA
20-Oct-14 Vayu Technologies LLC Seniorlink Inc. (Caregiver Homes) NA NA NA NA NA
20-Oct-14 Interapptive Inc. (ShipWorks) Stamps.com Inc. $22.0 NA NA NA NA
20-Oct-14 Torrent Technologies Inc. Marsh LLC NA NA NA NA NA
20-Oct-14 QuantiSense Inc. Epicor Software Corporation NA NA NA NA NA
20-Oct-14 Strategic Document Solutions Inc. D4, LLC NA NA NA NA NA
20-Oct-14 SlideGo bigtincan NA NA NA NA NA
20-Oct-14 Voyanta Limited / 70% Stake Altus Group Limited $9.4 NA NA NA NA
17-Oct-14 Fenestra Inc. BTS Group AB $2.5 NA NA NA NA
16-Oct-14 Upcast Social Ltd MediaMath Inc. NA NA NA NA NA
16-Oct-14 Armor5 Verdasys Inc. (Digital Guardian) NA NA NA NA NA
16-Oct-14 Central Desktop Inc. Premiere Global Services (PGi) NA NA NA NA NA
16-Oct-14 eSignSystems / Assets DocMagic, Inc. $1.2 NA NA NA NA
16-Oct-14 Civolution BV (audio marketing division) Kantar Media NA NA NA NA NA
15-Oct-14 Anametrix Inc. Ensighten Inc. NA NA NA NA NA
15-Oct-14 MD On-Line Inc. ABILITY Network Inc. NA NA NA NA NA
14-Oct-14 NAVEX Global / Assets Vista Equity Partners NA NA NA NA NA
14-Oct-14 Handpoint Ltd. / Icelandic customers Snorrason Holdings ehf NA NA NA NA NA
14-Oct-14 Camstar Systems Inc. Siemens AG NA NA NA NA NA
14-Oct-14 rSmart / Saas Business KualiCo NA NA NA NA NA
14-Oct-14 Allocate Software plc HgCapital $152.1 $67.0 $11.6 2.3x 13.1x
$ in millions
Q4 2014 M&A Enterprise Application Software Transactions
15
Date
Announced Seller Buyer
Enterprise
Value Revenues EBITDA
Enterprise Value
Revenue EBITDA 14-Oct-14 CQuotient Demandware Inc. NA NA NA NA NA
14-Oct-14 iModules Software Inc. Leeds Equity Partners LLC NA NA NA NA NA
13-Oct-14 Leadtec Systems Australia Pty Ltd. SPS Commerce Inc. $14.9 $6.3 $2.7 2.4x 5.5x
13-Oct-14 eStaff365 erecruit NA NA NA NA NA
13-Oct-14 Txtlocal Ltd. IMImobile PLC $17.8 $11.4 NA 1.6x NA
13-Oct-14 Government Outreach Accela Inc. NA NA NA NA NA
13-Oct-14 InstantCEM Accanto Systems OY NA NA NA NA NA
09-Oct-14 Exact Holding N.V. Eiger Acquisition BV $850.7 $302.3 $64.6 2.8x 13.2x
09-Oct-14 Clay Tablet Technologies Lionbridge Technologies Inc. NA NA NA NA NA
09-Oct-14 BI-Metrix Inc. Centage Corporation NA NA NA NA NA
09-Oct-14 Clariso Inc. (MedXt) Box Inc. NA NA NA NA NA
08-Oct-14 Ducksboard New Relic Inc. NA NA NA NA NA
07-Oct-14 Spanlink Communications Inc. ConvergeOne LLC NA NA NA NA NA
07-Oct-14 SmartUse Newforma Inc. NA NA NA NA NA
07-Oct-14 Akira Systems Inc. Scytl NA NA NA NA NA
07-Oct-14 LightSide Labs iParadigms, LLC NA NA NA NA NA
07-Oct-14 Mojave Networks Sophos Plc NA NA NA NA NA
07-Oct-14 i-parcel LLC United Parcel Service of America, Inc. NA NA NA NA NA
07-Oct-14 Haus360 / Assets Symbility Solutions Inc. NA NA NA NA NA
07-Oct-14 Evolv Inc. Cornerstone OnDemand $42.5 NA NA NA NA
07-Oct-14 Responsive Data Solutions Advanced Discovery Services LLC NA NA NA NA NA
07-Oct-14 Vendorlink.ca Ltd. / Assets IntelliCentrics Solutions NA NA NA NA NA
06-Oct-14 BidClerk Inc. iSqFt Inc. NA NA NA NA NA
06-Oct-14 Kulu Valley Limited Qumu Corporation Inc. $15.0 $5.5 NA 2.7x NA
06-Oct-14 AdJuggler Inc. Zenovia Digital Exchange Corporation $10.0 $2.3 NA 4.4x NA
06-Oct-14 Consilience Software Inc. Xerox Corporation NA NA NA NA NA
03-Oct-14 Cynergy Software Epazz Inc. NA NA NA NA NA
03-Oct-14 Dynamics Anywhere To-Increase BV NA $2.1 NA NA NA
03-Oct-14 Big Byte Solutions Pvt Ltd. (WebPay) PeopleStrong NA NA NA NA NA
03-Oct-14 Bluebeam Software Nemetschek AG $96.5 $22.4 NA 4.3x NA
$ in millions
Q4 2014 M&A Enterprise Application Software Transactions
16
Date
Announced Seller Buyer
Enterprise
Value Revenues EBITDA
Enterprise Value
Revenue EBITDA 03-Oct-14 ProfitStars / Assets Data Center Inc. NA NA NA NA NA
03-Oct-14 Voxtron NV Enghouse Systems Limited $9.4 NA NA NA NA
02-Oct-14 2Go Media Affinity Solutions Inc. NA NA NA NA NA
02-Oct-14 Labelsoft Clinical IT BV CompuGroup Medical Holding
Cooperatief UA NA $4.1 $0.8 NA NA
02-Oct-14 Risk Technology Solutions TFG Financial Systems NA NA NA NA NA
02-Oct-14 MDIntelleSys NexTech Systems Inc. NA NA NA NA NA
02-Oct-14 MobileSpaces Pulse Secure LLC $100.0 $2.0 NA 50.0x NA
02-Oct-14 Flag Systemes DL Software NA NA NA NA NA
02-Oct-14 Inventive IT ADVAM (UK) Ltd. NA NA NA NA NA
02-Oct-14 Fontis International Inc. Iron Mountain Inc. NA NA NA NA NA
01-Oct-14 SPOTTER SA AKIO Software SA NA NA NA NA NA
01-Oct-14 Struq Ltd. Quantcast Corporation NA NA NA NA NA
01-Oct-14 IBM Corporation / Transportation Management Kewill Ltd. NA NA NA NA NA
01-Oct-14 TCS Technologies ARI Network Services Inc. NA NA NA NA NA
01-Oct-14 Altamont Computers Inc. Agrian Inc. NA NA NA NA NA
01-Oct-14 Vendavo Inc. / Undisclosed Majority Stake Francisco Partners NA NA NA NA NA
$ in millions
Q4 2014 Enterprise Application Software IPO Data
17
Company Gross Offering
Amount ($M)
% Net Proceeds
to Company Offer Price 1-Day 30-Day
Connecture $53.1 100.0% $8.00 2.3% 1.7%
Upland Software $46.2 100.0% $12.00 10.9% 14.5%
Workiva $100.8 100.0% $14.00 1.8% 11.3%
Q4 2014 Enterprise Application Software Public Company Valuation Metrics
18
Note: Analysis above delineates the SaaS bucket from All Enterprise Apps Companies separately. However, all buckets also include SaaS companies as appropriate.
“NM” denotes not material and is applied to multiples that are less than 0 or greater than 100.
Enterprise Application Software
Pricing Date 12/31/14 % of 52 Q/Q Rev Growth LTM Margins
Median Metrics Week Hi YoY Seq. Gross EBITDA LTM CY14ECY15E LTM CY14ECY15E
SaaS: Software as a Service 79% 29% 6% 67% 2% 5.6x 5.3x 4.3x 45.0x 27.2x 23.8x
CRM: Customer Relationship Management 73% 26% 7% 63% 2% 3.4x 3.3x 2.7x 21.0x 17.3x 20.8x
ERP: Enterprise Resource Planning 91% 5% -1% 64% 17% 4.2x 4.5x 3.8x 15.8x 15.5x 12.9x
HCM: Human Capital Management 84% 34% 8% 60% -1% 7.8x 7.2x 6.2x 67.5x 54.1x 34.2x
IM: Information Management 88% 11% 2% 73% 7% 2.8x 2.7x 2.9x 19.4x 16.5x 13.9x
PLM: Product Lifecycle Management 94% 6% -3% 85% 22% 3.6x 3.6x 3.4x 16.2x 13.6x 11.8x
SCM: Supply Chain Management 72% 12% 2% 68% 16% 4.5x 4.5x 3.9x 21.1x 17.3x 15.8x
Social Enterprise Applications 90% 27% 6% 71% -7% 5.4x 5.2x 4.4x NM 43.4x 32.6x
Vertical 95% 15% 3% 53% 22% 4.3x 4.0x 3.6x 17.2x 14.3x 14.9x
All Enterprise Apps Companies 86% 15% 3% 67% 11% 4.4x 4.2x 3.8x 19.0x 17.1x 15.1x
Financial Data Enterprise Value /
Revenues EBITDA
Last Twelve Months
Enterprise Application Software Stock Price Performance
LTM Relative Enterprise Application Software Stock Price Performance
19
-30%
-20%
-10%
0%
10%
20%
30%
40%
-30%
-20%
-10%
0%
10%
20%
30%
40%
Dec-13 Jan-14 Feb-14 Mar-14 Apr-14 May-14 Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14
Social 6.1% CRM -11.0% ERP 6.4%HCM -6.2% IM 10.7% SCM -11.2%Vertical 10.0% PLM 6.9% SaaS 3.6%NASDAQ Composite Index 13.4%
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