Software Equity Group Flash Report - Sandhillsandhill.com/wp-content/files_mf/seg_monthly_flash_report_june... · Software Equity Group is an investment bank and M&A advisory serving

Software Equity Group Flash Report

Software Equity Group Flash Report

Select M&A Transactions and Valuations and

Financial and Valuation Performance of 250+ Publicly Traded Software, SaaS and Internet

Companies by Product Category

• Industry leading boutique investment bank founded in

LEADERS IN SOFTWARE M&AIndustry leading boutique investment bank, founded in 1992, representing public and private software and internet companies seeking:

• Strategic exit• Growth capital

We Do Deals.

Growth capital• Buyout • Inorganic growth via acquisition• Buy and sell-side mentoring• Fairness opinions and valuationsFairness opinions and valuations

• Sell-side client revenue range: $5 - 75 million• Buy-side clients include private equity firms and

NASDAQ, NYSE and foreign exchange listed companies• Clients span virtually every software technology, product

category, delivery model and vertical market• Global presence providing advice and guidance to more

th 2 000 i t d bli i th h t USthan 2,000 private and public companies throughout US, Canada, Europe, Asia-Pacific, Africa and Israel

• Strong cross-functional team leveraging transaction, operating, legal and engineering experience

• Unparalleled software industry reputation and track record.

• Highly referenceable base of past clients

Copyright © 2014 by Software Equity Group, LLC

EXTENSIVE GLOBAL REACH

Current Sell-side Representation

• SEG currently represents software companies in the United States, Canada, France,

Recent Sell-side Representation

Germany, Australia & Saudi Arabia

• In addition to the countries listed above, SEG has recently represented software companies in the United Kingdom, France, Netherlands, Israel, and South Africa

SEG Research Distribution

• SEG’s Quarterly and Annual Software Industry Equity Reports and Monthly Flash Reports are q y p y pdistributed to an opt-in list of 50,000 public software company CEOs, software entrepreneurs, private equity managing directors, VCs, high tech corporate lawyers, public accountants, etc. in 76 countries.


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Software Equity Group is an investment bank and M&A advisory serving the software and technology sectors. Founded in 1992, our firm has guided and

ABOUT SOFTWARE EQUITY GROUPq y p y g gy , g

advised companies on five continents, including privately-held software and technology companies in the United States, Canada, Europe, Asia Pacific, Africa and Israel. We have represented public companies listed on the NASDAQ, NYSE, American, Toronto, London and Euronext exchanges. Software Equity Group also advises several of the world's leading private equity firms. We are ranked among the top ten investment banks worldwide for application software mergers and acquisitions.

Our value proposition is unique and compelling We are skilled and accomplished investment bankers with extraordinary software internet and technologyOur value proposition is unique and compelling. We are skilled and accomplished investment bankers with extraordinary software, internet and technology domain expertise. Our industry knowledge and experience span virtually every software product category, technology, market and delivery model, including Software-as-a-Service (Saas), software on-demand and perpetual license. We have profound understanding of software company finances, operations and valuation. We monitor and analyze every publicly disclosed software M&A transaction, as well as the market, economy and technology trends that impact these deals. We're formidable negotiators and savvy dealmakers who facilitate strategic combinations that enhance shareholder value.

P h t i t t th l ti hi ' b ilt d th i d t t ti j S ft E it G i k d t d b bli lPerhaps most important are the relationships we've built and the industry reputation we enjoy. Software Equity Group is known and respected by publicly traded and privately owned software and technology companies worldwide, and we speak with them often. Our Quarterly and Annual Software Industry Equity Reports are read and relied upon by more than thousands of industry executives, entrepreneurs and equity investors in sixty-one countries, and we have been quoted widely in such leading publications as The Wall Street Journal, Barrons, Information Week, The Daily Deal, The Street.com, U.S. News & World Report, Reuters, Mergers & Acquisitions, USA Today, Arizona Republic, Detroit Free Press, Entrepreneur Magazine, Softletter, Software Success, Software CEO Online and Software Business Magazine. g

To keep your finger on the pulse of the software equity markets, subscribe to our Annual and Quarterly Research Reports.

Software Equity Group is an investment bank and M&A advisory serving the software and technology sectors. For a confidential consultation without obligation, [email protected] , 2800-509) 858Beible, Director, Business Development (Kris please contact

CONTACT INFORMATION:

Software Equity Group, L.L.C.12220 El Camino Real, Suite 320San Diego, CA 92130www softwareequity comwww.softwareequity.comp: (858) 509-2800

The information contained in this Report is obtained from sources we believe to be reliable, but no representation or guarantee is made about the accuracy or completeness of such information, or the opinions expressed herein. Nothing in this Report is intended to be a recommendation of a specific security or company or intended to constitute an offer to buy or sell, or the solicitation of an offer to buy or sell, any security. Software Equity Group LLC may have an interest in one or more of the securities or companies discussed herein. Financial data provided by Capital IQ.


This Report may not be reproduced in whole or in part without the expressed prior written authorization of Software Equity Group, L.L.C.Software Equity Group registers each Report with the U.S. Copyright Office and vigorously enforces its intellectual property rights.

List of Commonly Used Acronyms

CRM Customer Relationship ManagementEBITDA Earnings before Interest, Taxes, Depreciation, and AmortizationERP Enterprise Resource PlanningEV Enterprise ValueFCF Free Cash FlowFORWARD Current EV / Next Four Quarters' Consensus Financial EstimatesNASDAQ National Association of Securities Dealers Automated Quotation SystemPLM Product Lifecycle ManagementPLM Product Lifecycle ManagementR&D Research and DevelopmentS&P Standard & Poor'sSaaS Software-as-a-ServiceSEG Software Equity GroupSG&A Selling, General, & AdministrativeSG&A Selling, General, & AdministrativeSW SoftwareTTM Trailing Twelve MonthYoY Year-over-YearYTD Year-to-date

Copyright © 2014 by Software Equity Group, L.L.C., All Rights Reserved

Table of Contents

SEG Software Index

Select Software Industry M&A Transactions

SEG SaaS Index

SEG Internet Index


SEG Software Index


SEG SaaS Index

SEG Internet Index


Select May 2014 Software Industry M&A Transactions

Date Announced Target

Target TTM Revenue

($mm)

Enterprise Value

($mm)EV/

RevenueEV/

EBITDAMay-30-2014 Marin Software Incorporated (NYSE:MRIN) NowSpots, Inc. - $22.8 - -May-30-2014 HERE Maps Desti Inc. - - - -May-30-2014 Founder Technology Group Corp. (SHSE:600601) Founder Broadband Network Service Co., - $120.3 - -May-30-2014 Founder Technology Group Corp. (SHSE:600601) Founder International Co., Ltd. - $131.8 - -May-30-2014 EZJR, Inc. (OTCBB:EZJR) Leader Act Ltd HK - $15.8 - -May-30-2014 Logility, Inc. MID Retail, Inc. - - - -May-30-2014 FocusVision Worldwide, Inc. Revelation, Inc. - - - -May-30-2014 My Classified Ads LCC Russell Johns Associates, LLC - - - -May-30-2014 IP Office Limited The Bush Telegraph Company Ltd. - - - -May-30-2014 Innovative Interfaces Inc. VTLS, Inc. - - - -May-29-2014 Grupa Onet.pl S.A. 80% Stake In Skapiec Sp. z o.o. And 80% Stake In Opineo sp. z o.o. - - - -May-29-2014 LDC Ltd. Anite Travel Ltd. - $75.2 - -May-29-2014 Rakuten Marketing DC Storm Limited - - - -May-29-2014 ARM Limited Duolog Technologies Ltd. - - - -May-29-2014 m2M Strategies, LLC GetOne Rewards LLC - - - -May-29-2014 KRAS B.V. Holland Runner - - - -May-29-2014 Guggenheim Digital Media Mediabistro Inc., Editorial and E-commerce Assets - $8.0 - -May-29-2014 Back9Network, Inc. Swing by Swing Golf Inc. - - - -May-29-2014 Pegasus TransTech Corporation Truckload Management Services, Inc. and ACS Advertising - - - -May-29-2014 Max Sound Corporation (OTCBB:MAXD) VSL Communications - - - -May-29-2014 Unitrends, Inc. Yuruware Pty Limited - - - -May-28-2014 Apple Inc. (NasdaqGS:AAPL) Beats Music, LLC - - - -May-28-2014 Xamarin Inc. Clarius Consulting, Visual Studio Division - - - -May-28-2014 Magnetic Media Online, Inc. Cognitive Match Limited - - - -May-28-2014 PixelSpoke Inc. Creative Brand Communications, Inc. - - - -May-28-2014 App Annie Limited Distimo B.V. - - - -May-28-2014 InsideSales.com, Inc. iHance Inc. - - - -May-28-2014 Immobilien Scout GmbH Immobilien.net - - - -May-28-2014 Post Planner, Inc. Intweetiv - - - -May-28-2014 Extreme Edge Sdn. Bhd. Sovereign Multimedia Resources Sdn. Bhd. - $0.9 - -May-28-2014 Nettavisen AS Stocklink AS - - - -May-28-2014 Microsoft Corporation (NasdaqGS:MSFT) Ubikod SARL - - - -May-28-2014 Aurea Software FZ-LLC Update Software AG (XTRA:UP2) $46.8 $34.5 0.7x -May-27-2014 The Boeing Company (NYSE:BA) AerData B.V. - - - -May-27-2014 Feedbooks, SAS Aldiko Limited - - - -May-27-2014 XING AG (XTRA:O1BC) Bachem Ventures GmbH - - - -May-27-2014 Advicent Solutions, L.P. Davidson Marketing Group, LLC - - - -May-27-2014 Human Demand, Inc. eDealya Digital Marketing Ltd. - - - -May-27-2014 iLab Ventures Emlakjet.com - - - -May-27-2014 Blurb, Inc. Graphicly, Inc. - - - -May-27-2014 Merit Capital Partners; PNC Mezzanine Capital; Ancor Capital Partners Identity Group Holdings Corp. - - - -May-27-2014 Dentsu Aegis Network Ltd. mktg, inc. (OTCPK:CMKG) $134.9 $26.6 0.2x 7.7xMay-27-2014 Kalixa Pay Ltd. PXP Solutions Limited - - - -May-27-2014 RealBiz Media Group Inc. (OTCPK:RBIZ) ReachFactor, Inc. - $0.3 - -May-27-2014 VASCO Data Security International Inc. (NasdaqCM:VDSI) Risk IDS Limited - - - -May-27-2014 Cubed, Inc. (OTCBB:CRPT) WikiTechnologies, Inc. - $9.1 - -May-27-2014 Manhattan Communications (India) Pvt Ltd. Wizard Media - - - -May-26-2014 Intuit Inc. (NasdaqGS:INTU) Check, Inc. - $360.0 24.0x -May-26-2014 Kakao Corporation Daum Communications Corp. (KOSDAQ:A035720) $501.7 - - -May-26-2014 eValent AB Ecom Partners - - - -May-25-2014 BLME Asset Management; Connection Capital LLP Impero Solutions Limited - $16.8 - -

Acquirer




Target TTM Revenue

($mm)

Enterprise Value

($mm)EV/

RevenueEV/

EBITDAMay-23-2014 Shenzhen Infotech Technologies Co.,Ltd. (SZSE:300085) Beijing eMay Softcom Technology Ltd. - $48.1 - -May-23-2014 TabTale Ltd. Coco Play Limited - - - -May-23-2014 Jeppesen UK Limited ETS Aviation Ltd. - - - -May-23-2014 Symantec Corporation (NasdaqGS:SYMC) NitroDesk, Inc. - - - -May-23-2014 Neopost S.A. (ENXTPA:NEO) Systems & Programming Solutions, Inc. $10.0 $20.0 2.0x -May-23-2014 Myers La Roche Limited Total Marketing Resource - - - -May-22-2014 SOFTEAM Cadextan SA Groupe Génitech - - - -May-22-2014 Wikia, Inc. Huddler, Inc. - - - -May-22-2014 Ogilvy Primary Contact Limited OgilvyOne dnx $14.2 - - -May-22-2014 Deven Software LLC Springboard Business Tools, M&A Management Toolkit - - - -May-21-2014 Meilleurtaux SAS Choisir ma Banque, SAS - - - -May-21-2014 WAA Limited Chosen Communications Ltd. - - - -May-21-2014 ReelTime Media Limited Design Experts Pty Ltd - $1.1 - -May-21-2014 SimpleLists.com DiscussThis.com - - - -May-21-2014 Gamzio Mobile, Inc. (OTCPK:GAMZ) Go-Go Casino - - - -May-21-2014 LexisNexis Risk Solutions, Inc. iyeTek LLC - - - -May-21-2014 LANDesk Software, Inc. LetMobile Ltd. - - - -May-21-2014 Millward Brown, Inc. Millward Brown Romania $4.8 - - -May-21-2014 Pan Media Group AS Pageplanner Solutions AS - - - -May-21-2014 Adap.tv, Inc. PrecisionDemand - - - -May-21-2014 Dyn Inc. Renesys Corporation - - - -May-21-2014 Moxie Software, Inc. SimplyBox, Inc. - - - -May-21-2014 Meltwater Group, Inc. SP Tools Inc. - - - -May-21-2014 Cisco Systems, Inc. (NasdaqGS:CSCO) ThreatGrid LLC - - - -May-21-2014 TOTVS S.A. (BOVESPA:TOTS3) Virtual Age Soluções Em Tencologia Ltda. - $34.0 - -May-21-2014 OwnLocal, Inc. Whoosh Traffic, Inc. - - - -May-20-2014 Accuver Co., Ltd. Accuver Engineering Co., Ltd. - - - -May-20-2014 AllOver Media, Inc. AJ Indoor, LLC - - - -May-20-2014 Dropbox Inc. Aria Glassworks, Inc. - - - -May-20-2014 OneShield, Inc. Clear Data Strategies, LLC - - - -May-20-2014 MYOB Holdings Pty Limited Dovetail Pty Ltd. - - - -May-20-2014 M7 Group SA Eutelsat visAvision GmbH $34.2 - - -May-20-2014 Lone Wolf Real Estate Technologies Inc. eWebEngine, Inc. - - - -May-20-2014 Network for Good, Inc. GiveLink LLC - - - -May-20-2014 Wpromote, Inc. Highly Relevant, Inc. - - - -May-20-2014 CyberLink Corp. (TSEC:5203) ImageChef Incorporated - - - -May-20-2014 Supplystream, Inc. Invenshare.com LLC - - - -May-20-2014 League Sports Services, LLC LeagueToolbox LLC - - - -May-20-2014 Proofpoint, Inc. (NasdaqGM:PFPT) NetCitadel, Inc. - $24.0 - -May-20-2014 Mentor Graphics Corp. (NasdaqGS:MENT) Nimbic, Inc. - - - -May-20-2014 SAP AG (DB:SAP) SeeWhy, Inc. - - - -May-20-2014 Talkweb Information System Co.,Ltd. (SZSE:002261) Shanghai Huorong Technology Co Ltd - $144.0 - -May-19-2014 North Atlantic Capital Academic Management Systems, Inc. - $4.0 - -May-19-2014 The IBM Watson Group Cognea, Inc. - - - -May-19-2014 CellarStone, Inc. CommTrack, Inc. - - - -May-19-2014 Software Service, Inc. (JASDAQ:3733) Corporation OMC $9.1 - - -May-19-2014 Houghton Mifflin Harcourt Company (NasdaqGS:HMHC) Curiosityville LLC - - - -May-19-2014 Tracsis Plc (AIM:TRCS) Datasys Limited $3.8 $7.6 2.0x 8.2xMay-19-2014 Google Inc. (NasdaqGS:GOOGL) Divide - - - -May-19-2014 MasterCard International Inc. ElectraCard Services Private Limited - - - -May-19-2014 Mobistar SA/NV (ENXTBR:MOBB) Etn Fr Colruyt NV, Prepaid Customers - - - -

Acquirer




Target TTM Revenue

($mm)

Enterprise Value

($mm)EV/

RevenueEV/

EBITDAMay-19-2014 PubMatic, Inc. Mocean Mobile, Inc. - - - -May-19-2014 Dragon Acquisitions LLC Multiplayer Online Dragon, Inc. (OTCPK:MYDR) - $0.3 - -May-19-2014 Automic Software GmbH ORSYP S.A.S. $54.9 - - -May-19-2014 Mergermarket Limited Perfect Information Ltd. $10.3 $42.6 4.2x -May-19-2014 Linx Sistemas E Consultoria Ltda. Rezende Sistemas Ltda. and Net4Biz Web Hosting Ltda. $8.2 $22.6 2.8x -May-19-2014 The Go Daddy Group, Inc. Suvidhaa Infoserve Pvt. Ltd. - - - -May-19-2014 M247 Limited UK Web.Solutions Direct Ltd - - - -May-19-2014 Corbis Entertainment WSM Communications Group Limited $10.0 - - -May-18-2014 Crossrider Advanced Technologies Ltd. Definiti Media Ltd. and Ajillion LLC - $20.0 - -May-16-2014 Conversion Marketing Srl Conect Soft Srl - - - -May-16-2014 Lionbridge Technologies Inc. (NasdaqGS:LIOX) Darwin Zone - $2.4 - -May-16-2014 GEMSIA Sdn. Bhd. HCK Technologies Sdn Bhd - - - -May-16-2014 Numericable Group (ENXTPA:NUM) Omer Telecom Limited - $445.4 - -May-16-2014 Groove Commerce, LLC Oomph Marketing Co., LLC - - - -May-16-2014 First Edge Solutions, Inc. Proven Direct, Inc. - - - -May-16-2014 Swisscom AG (SWX:SCMN) PubliGroupe AG (SWX:PUBN) $300.2 $480.1 1.6x 104.4xMay-16-2014 Google Inc. (NasdaqGS:GOOGL) Quest Visual, Inc. - - - -May-15-2014 EdgeCore, LLC .Com Marketing, Inc. $1.5 - - -May-15-2014 Appirio, Inc. Coderbits - - - -May-15-2014 EQUITY SA DiliTrust SAS - - - -May-15-2014 In Focus Brands, Inc. Direct Response Marketing Institute - - - -May-15-2014 Trepp, LLC FM Financial Publishing, LLC - - - -May-15-2014 Coverity, Inc. Kalistick SAS - - - -May-15-2014 On-Air Impact, Inc. On-Air Impact, Inc., Prior To Reverse Merger With Eco-Logical Concepts, Inc. - - - -May-15-2014 Mediaproduccion SL Over The Top Internet Television SL - - - -May-15-2014 ACG Capital Passman SAS $17.8 - - -May-15-2014 Washington Publishing Company Prosch Consulting, HL7 Accelerator - - - -May-15-2014 Tavistock Investments PLC (AIM:TAVI) Tavistock Investments PLC, Prior To Reverse Merger With County Life & Pensions Limited - - - -May-15-2014 Hortonworks Inc. XA Secure - - - -May-14-2014 DenyAll SAS Bee Ware SA - - - -May-14-2014 Flexiant Limited Besol Soluciones S.L. - - - -May-14-2014 Vehcon, Inc. Car Demander LLC - - - -May-14-2014 Online Tech, Inc. Data Center in Indianapolis - $5.0 - -May-14-2014 Good Technology Corporation Fixmo Inc. - - - -May-14-2014 RealNex graphx Ware, inc. and Rea, Inc. and Property Line International, Inc. - - - -May-14-2014 Intuit Inc. (NasdaqGS:INTU) Invitco Pty Limited - - - -May-14-2014 Cinram Group, Inc. JVC America, Inc. - - - -May-14-2014 Acxiom Corporation (NasdaqGS:ACXM) LiveRamp, Inc. - $310.0 - -May-14-2014 MPGPR Ltd. Mason Media Ltd. - - - -May-14-2014 Grupohost Comunicacao Multimidia Ltda Maxihost Hospedagem de Sites Ltda. - - - -May-14-2014 Chaordix Inc. Napkin Labs, Inc. - - - -May-14-2014 Aderant Holdings, Inc. Redwood Analytics, Inc. - - - -May-13-2014 Syniverse Technologies, LLC Aicent, Inc. - $290.0 - -May-13-2014 Private Investor(s) Forward Ladies Limited - - - -May-13-2014 BlockDoS GetShield - - - -May-13-2014 Yahoo! Inc. (NasdaqGS:YHOO) Meh Labs, Inc. - - - -May-13-2014 Learning Technologies Group plc (AIM:LTG) Preloaded Limited $3.0 $7.0 2.3x 7.0xMay-13-2014 Se Faire Aider SAS SARL PHOCEAS - - - -May-13-2014 Veracity Payment Solutions, Inc. Vanco Services, LLC - - - -May-13-2014 RBN B.V. Yeloworld - - - -May-12-2014 OmniVere LLC AccessData Group, Inc., Litigation Support Services - - - -

Acquirer




Target TTM Revenue

($mm)

Enterprise Value

($mm)EV/

RevenueEV/

EBITDAMay-12-2014 eBoss Online Recruitment Solutions (eBoss) Limited Acclaimd Inc. - - - -May-12-2014 Private Investor(s) Allyes Information Technology Co., Ltd., Digital Agency Business - $107.4 - -May-12-2014 SequoiaSoft SAS Cegid Group SA, Hospitality Business $5.5 - - -May-12-2014 HD Net Limited Cloud Scale Limited - - - -May-12-2014 AGS, LLC Colossal Gaming LLC - - - -May-12-2014 ConsumerDNA(TM), LLC ConsumerDNA, LLC - - - -May-12-2014 UBM plc (LSE:UBM) Expo CIHAC $6.8 - - -May-12-2014 Hikari Tsushin, Inc. (TSE:9435) f.m.m Inc. $2.5 $1.0 0.4x -May-12-2014 Sure (Jersey) Limited Foreshore Limited - - - -May-12-2014 BeeksFX VPS Gallant VPS LLC - $1.0 - -May-12-2014 NPC Group, Inc. Mercury Payment Systems, LLC $237.0 $1,650.0 7.0x 17.7xMay-12-2014 RealPage, Inc. (NasdaqGS:RP) Notivus Multi-Family, LLC - $4.4 - -May-12-2014 GI Partners Peak 10 Holding Corporation - - - -May-12-2014 Claims Services Group, Inc. Pittsburgh Glass Works LLC, Insurance and Services Division $58.8 $280.0 4.8x 14.2xMay-12-2014 Kirusa, Inc. Plusray Innovations Pvt Ltd - - - -May-12-2014 The CHR Group, Inc. Slingshot, Inc. - - - -May-12-2014 GfK Kynetec France SAS TerrEtude SAS - - - -May-12-2014 Solera Holdings Inc. (NYSE:SLH) The Sherwood Group, Inc., United Kingdom Claims Related Business - - - -May-09-2014 Vista Equity Partners DealerSocket, Inc. - - - -May-09-2014 Intel Corporation (NasdaqGS:INTC) Ginger Software, Inc., Personal Assistants Platform - - - -May-09-2014 Outsourcing Technology, Inc. NexM Communications, Inc. - $0.5 - -May-09-2014 Hakuhodo DY Holdings Inc (TSE:2433) Red Peak Group LLC And SYPartners LLC - - - -May-09-2014 General Electric Company (NYSE:GE) Wurldtech Security Technologies Inc. - - - -May-08-2014 AppNext Ltd. Apphome Ltd - $2.5 - -May-08-2014 Momentum Global Investment Management Limited Blue Speck Financial Ltd - - - -May-08-2014 Instinctif Partners Limited blueRobin GmbH - - - -May-08-2014 Civic Entertainment Group, LLC Culture Shop LLC - - - -May-08-2014 Science Media LLC Delicious Science, LLC - - - -May-08-2014 IMS Health Holdings, Inc. (NYSE:IMS) Forcea NV/SA - - - -May-08-2014 Intuit Inc. (NasdaqGS:INTU) Lettuce, Inc. - - - -May-08-2014 Solutionstar Settlement Services LLC Real Estate Digital - $18.0 - -May-08-2014 Mediaflag Inc. (TSE:6067) Sears Co., Ltd. $11.1 - - -May-08-2014 Moontoast, Inc. Spendship, LLC - - - -May-07-2014 NetNames Group Adicio Pte Ltd. - - - -May-07-2014 Flatiron Health, Inc. Altos Solutions, Inc. - - - -May-07-2014 Google Inc. (NasdaqGS:GOOGL) APPETAS, INC. - - - -May-07-2014 Bankrate, Inc. (NYSE:RATE) Caring, Inc. - $54.0 - -May-07-2014 Singlepoint, Inc. (OTCPK:SING) Drive Media Networks LLC - - - -May-07-2014 Remark Media, Inc. (NasdaqCM:MARK) Hotelmobi Inc. - $3.0 - -May-07-2014 Time Out Group limited Hugecity, LLC - - - -May-07-2014 Telehop Communications Inc. (TSXV:HOP) iRoam Mobile Solutions Inc. - $0.4 - -May-07-2014 NEWSCYCLE Solutions, Inc. MediaSpan Group, Inc. - - - -May-07-2014 Where 2 Get It, Inc. Place Platform, Inc. - - - -May-07-2014 Google Inc. (NasdaqGS:GOOGL) Stackdriver Inc. - - - -May-06-2014 Phunware Inc. 30 Second Software, Inc. - - - -May-06-2014 Marketing Adjal, S.L. Adjal Simple $0.4 - - -May-06-2014 Google Inc. (NasdaqGS:GOOGL) Adometry, Inc. - - - -May-06-2014 Extreme Reach, Inc. BrandAds, Inc. - - - -May-06-2014 Armed Forces Communications, Inc. Brite Media Group LLC, Experiential Marketing Business - - - -May-06-2014 AOL Inc. (NYSE:AOL) Convertro, Inc. - $101.0 - -May-06-2014 Axel Springer Digital Classifieds GmbH Coral-Tell Internet Services Ltd. - $233.5 - -

Acquirer




Target TTM Revenue

($mm)

Enterprise Value

($mm)EV/

RevenueEV/

EBITDAMay-06-2014 Live Goods, LLC DealTicker Inc. - $0.2 - -May-06-2014 Yardi Systems, Inc. Enerliance, Inc. - - - -May-06-2014 Jack Morton Worldwide, Inc. Genuine Interactive, Inc. $15.0 - - -May-06-2014 Acuren Group, Inc. Intelligent Pipeline Technologies - - - -May-06-2014 Xerox Corporation (NYSE:XRX) ISG Holdings, Inc. - $225.0 - -May-06-2014 Coinbase, Inc. Kippt Inc. - - - -May-06-2014 TripAdvisor LLC La Fourchette SA $18.1 - - -May-06-2014 green.ch AG Layer One AG - - - -May-06-2014 Blinkx plc (AIM:BLNX) Lyfe Mobile, Inc. - - - -May-06-2014 Pegasystems Inc. (NasdaqGS:PEGA) MeshLabs Software Private Limited - - - -May-06-2014 Argus Media Limited Metal-Pages Ltd. - - - -May-06-2014 Autologue Computer Systems, Inc. Midnight Marketing Ltd. - - - -May-06-2014 Granbury Restaurant Solutions NovaPOS, Inc. - - - -May-06-2014 Endgame, Inc. Onyxware Corporation - - - -May-06-2014 Weber Shandwick Worldwide Prime Public Relations i Sverige AB - - - -May-06-2014 Astria Solutions Group, LLC Protected Trust LLC, DocuLex Suite of Document Management Products - - - -May-06-2014 Lewis PR Inc. Purestone TFM Limited - - - -May-06-2014 WPP plc (LSE:WPP) Quirk Digital Marketing (Pty) Ltd $13.3 - - -May-06-2014 Lexmark International Technology S.A. ReadSoft AB (OM:RSOF B) $119.6 $175.0 1.5x 28.0xMay-06-2014 Citrix Systems, Inc. (NasdaqGS:CTXS) ScaleXtreme Inc. - - - -May-06-2014 WidePoint Corp. (AMEX:WYY) Soft-ex Communication Ltd. - $6.0 - -May-06-2014 Capgemini North America, Inc. Strategic Systems & Products Corp. - - - -May-06-2014 Silver Spring Networks, Inc. (NYSE:SSNI) Streetlight.Vision SARL - $8.8 - -May-06-2014 UPC Polska Sp. z o.o. TELCO LUBLIN Sp. z o. o. - - - -May-06-2014 EDPlus Holdings, LLC Unigo, LLC - - - -May-06-2014 inContact, Inc. (NasdaqCM:SAAS) Uptivity Inc. $19.4 $50.2 2.6x -May-05-2014 LSI Industries Inc. (NasdaqGS:LYTS) 3M Digital Signage Inc. - - - -May-05-2014 WalmartLabs, Inc. Adchemy, Inc. - - - -May-05-2014 Applause, LLC Applause EU - - - -May-05-2014 Itissalat Al-Maghrib (IAM) S.A. (CBSE:IAM) ATLANTIQUE TELECOM Group - $650.0 - -May-05-2014 PacificWave Partners Limited, Investment Arm CoConnect, Inc. (OTCPK:CCON) - - - -May-05-2014 Vontobel Holding AG (SWX:VONN) Derivative.Com AG - - - -May-05-2014 Sunfarm Food Service Inc. Farmplicity, LLC - - - -May-05-2014 ROAR Logistics, Inc. Legend Transportation Group - - - -May-05-2014 Blurb, Inc. MagCloud - - - -May-05-2014 Chicago Style SEO, Inc. Nimble Candle, LLC - - - -May-05-2014 HarperCollins Christian Publishing Inc. Olive Tree Bible Software, Inc. - - - -May-05-2014 CrowdGather, Inc. (OTCPK:CRWG) Plaor Inc. $0.2 $5.0 20.6x -May-05-2014 Staples, Inc. (NasdaqGS:SPLS) PNI Digital Media Inc. (TSX:PN) $21.4 $61.6 2.9x -May-05-2014 Qanda Technology Limited (ASX:QNA) Rentoid.com - - - -May-05-2014 National CineMedia, Inc. (NasdaqGS:NCMI) Screenvision Cinema Network, LLC - $376.2 - -May-05-2014 Novacoast, Inc. XCEND Group, Inc. - - - -May-05-2014 TripAdvisor Inc. (NasdaqGS:TRIP) Your Safe Planet Limited - - - -May-02-2014 Dessler Media, Inc. AP Media Agency - - - -May-02-2014 Credit China Holdings Limited (SEHK:8207) Beijing Phoenix Credit Management Corporation, Financial Workshop Website & Associated Business - - - -May-02-2014 Diversis Capital, LLC; Backbone Capital Advisors, LLC FashionIndie.com - - - -May-02-2014 Relativity Media LLC Fullscreen, Inc. - $1,000.0 - -May-02-2014 Fujitsu Services Holdings PLC GlobeRanger Corporation - - - -May-02-2014 Keylane B.V. LeanApps B.V. - - - -May-02-2014 Snapchat, Inc. Live Foundry, Inc. - - - -May-02-2014 Genesys Telecommunications Laboratories, Inc. OVM Solutions - - - -

Acquirer




Target TTM Revenue

($mm)

Enterprise Value

($mm)EV/

RevenueEV/

EBITDAMay-02-2014 Google Inc. (NasdaqGS:GOOGL) Rangespan Limited - - - -May-02-2014 PeerNova inc. Technology IQ Ltd - - - -May-01-2014 Ingram Micro Inc. (Canada) Global Mobility Products, Inc. - - - -May-01-2014 Algorithmic Implementations, Inc. GW Micro, Inc. - - - -May-01-2014 RoadPixel Ltd. Intelligent Vision Systems Inc. - - - -May-01-2014 M&C Saatchi plc (AIM:SAA) Lean Mean Fighting Machine Limited $5.2 - - -May-01-2014 roundCorner, Inc. NPowerNY Inc., FoundationConnect - - - -May-01-2014 ProQuest LLC Pi2 Solutions Ltd. - - - -May-01-2014 AtmanCo Inc. (TSXV:ATW) SmartUp Inc. - - - -May-01-2014 Unified Media, Inc. Snowball Factory, Inc. - - - -May-01-2014 Hutch Media, LLC Stage 29 Productions, LLC - - - -May-01-2014 Professional Trading Solutions, Inc. Sterling Trader, Inc. - - - -May-01-2014 Somoto Ltd. (TASE:SMTO) Tabatoo LTD - $1.1 - -May-01-2014 Kaltura Inc. Tvinci Ltd. - - - -May-01-2014 WPP plc (LSE:WPP) Twist Image $12.2 - - -May-01-2014 TripAdvisor Inc. (NasdaqGS:TRIP) Vacation Home Rentals LLC - - - -

Acquirer


SEG Software Index


SEG SaaS Index

SEG Internet Index


SEG Software Index: All Categories

Market Cap EVTTM

Revenue

TTM Gross

Margin

TTM EBITDA Margin

TTM Revenue

Growth EV/ RevenueEV/

EBITDAForward

EV/ Revenue

Forward EV/

EBITDA YTDSEG Software Index $2,059.7 $2,557.1 $743.9 70.1% 19.7% 5.1% 3.1x 13.5x 2.8x 11.0x 0.1% Billing & Service Management $895.6 $975.3 $369.2 57.3% 18.4% 4.8% 2.1x 10.4x 2.1x 8.8x -8.4% Business Intelligence $1,355.2 $1,048.3 $404.9 81.2% 6.4% 13.7% 3.1x 20.8x 2.8x 20.9x -14.3% Development Platforms $2,606.3 $2,557.1 $1,019.5 76.0% 19.7% 0.7% 2.7x 10.6x 2.6x 9.2x 2.4% Engineering & PLM $4,588.5 $4,412.8 $1,182.0 83.0% 19.7% 6.0% 3.4x 15.0x 3.8x 11.5x -4.8% Enterprise Resource Planning $7,533.3 $8,138.1 $2,207.7 72.5% 29.5% 2.0% 3.7x 12.3x 3.5x 10.1x 9.0% Financial & Accounting $2,059.7 $2,567.6 $743.9 55.8% 25.6% 4.7% 3.7x 13.3x 3.4x 11.0x -4.3% Gaming $2,702.1 $2,684.9 $2,232.1 64.4% 17.0% -4.8% 1.9x 12.6x 1.6x 9.3x 16.9% Healthcare $1,199.7 $1,533.9 $561.6 54.4% 14.1% 0.1% 2.2x 14.3x 2.2x 10.4x 2.0% IT Conglomerates $186,606.1 $174,842.4 $83,347.0 70.1% 34.4% 2.0% 3.3x 8.8x 2.7x 8.3x 11.7% Mobile Solutions/Content $504.4 $433.3 $282.4 54.8% 0.7% 17.9% 2.7x 19.6x 1.8x 11.0x -8.1% Networking & Network Performance Managemen $1,741.2 $1,525.6 $456.5 70.7% 7.8% 5.1% 2.7x 17.7x 2.4x 10.1x -7.9% Security $1,100.6 $1,034.8 $196.1 76.8% 5.4% 17.4% 3.1x 8.6x 2.8x 12.8x -0.7% Storage, Data Mgmt & Integration $12,260.5 $8,252.7 $4,515.0 71.3% 23.7% 2.0% 2.5x 9.2x 2.6x 7.7x 0.5% Supply Chain Management & Logistics $1,654.6 $1,579.9 $265.6 62.1% 27.7% 16.9% 5.3x 19.2x 4.8x 16.3x 2.5% Systems Management $9,822.3 $8,916.6 $2,265.5 85.6% 25.7% 13.3% 4.6x 17.7x 4.0x 11.6x 1.3% Vertical - Finance $4,219.8 $4,527.1 $890.6 44.2% 27.2% 8.1% 4.4x 13.5x 4.1x 11.9x 0.1% Vertical - Other $1,546.2 $1,686.8 $433.5 52.3% 11.3% 21.2% 3.3x 18.7x 2.9x 15.2x -21.5%

Category Name

TTM Revenue Growth 7.5%TTM EBITDA Growth -31.3%TTM Earnings Growth -50.5%Gross Profit Margin 69.2%EBITDA Margin 18.4%Net Income Margin -15.8%SG&A Expenses as a % of Total Revenue 57.3%R&D Expenses as a % of Total Revenue 19.0%

Current Ratio 2.3Quick Ratio 2.1Cash as Percent of Market Cap 12.0%Avg Days Outstanding: Accounts Receivable 63Avg Days Outstanding: Accounts Payable 27Working Capital to TTM Operating Expense Ratio 0.5x

Levered FCF Margin 10.3%Cash from Operations Growth (YoY) 26.9%Cash from Investing Growth (YoY) -41.3%Cash from Financing Growth (YoY) 60.2%Levered FCF Growth (YoY) 18.3%

Copyright © 2014 by Software Equity Group, L.L.C., All Rights Reserved June 2014 Monthly Flash Report

Income Statement Analysis (Median)

Balance Sheet Analysis (Median)

Cash Flow Statement Analysis (Median)

-10%

-8%

-6%

-4%

-2%

0%

2%

4%

6%SEG SW Index Software Stock Market Return: January - May 2014

DOW S&P NASDAQ SEG SW Index

SEG Software Index


SEG SaaS Index

SEG Internet Index


SEG SaaS Index: All Categories

Market Cap EVTTM

Revenue

TTM Gross

Margin

TTM EBITDA Margin

TTM Revenue


EBITDAForward

EV/ Revenue

Forward EV/

EBITDA YTDSEG SaaS Index $869.9 $796.4 $124.0 67.5% -3.1% 29.7% 6.4x 52.3x 5.0x 27.9x -19.0% CRM & Marketing $927.3 $796.4 $168.1 70.0% -0.7% 30.2% 2.9x 67.3x 2.4x 26.6x -4.1% ERP & Supply Chain $921.8 $787.2 $109.6 67.7% -8.8% 30.6% 6.4x 76.0x 5.2x 33.6x -21.0% Vertically Focused $818.0 $862.6 $129.8 66.1% 8.9% 28.1% 7.2x 50.8x 5.8x 15.1x -18.0% Workforce Management $965.0 $876.1 $117.8 63.2% -1.7% 23.2% 8.1x 55.5x 6.6x 33.0x -19.0% SaaS Other $778.6 $710.9 $135.4 67.4% -13.9% 28.5% 5.3x 34.4x 4.1x 22.7x -20.1%

Category Name

TTM Revenue Growth 29.7%TTM EBITDA Growth -31.3%TTM Earnings Growth -50.5%Gross Profit Margin 67.5%EBITDA Margin -3.1%Net Income Margin -15.8%SG&A Expenses as a % of Total Revenue 57.3%R&D Expenses as a % of Total Revenue 19.0%

Current Ratio 2.3Quick Ratio 2.1Cash as Percent of Market Cap 12.0%Avg Days Outstanding: Accounts Receivable 63Avg Days Outstanding: Accounts Payable 27Working Capital to TTM Operating Expense Ratio 0.5x

Levered FCF Margin 10.3%Cash from Operations Growth (YoY) 26.9%Cash from Investing Growth (YoY) -41.3%Cash from Financing Growth (YoY) 60.2%Levered FCF Growth (YoY) 18.3%





-35%

-30%

-25%

-20%

-15%

-10%

-5%

0%

5%

10%

15%SEG SaaS Index Stock Market Return: January - May 2014

DOW S&P NASDAQ SEG SaaS

SEG Software Index


SEG SaaS Index

SEG Internet Index


SEG Internet Index: All Categories

Category Name Market Cap EVTTM

Revenue

TTM Gross

Margin

TTM EBITDA Margin

TTM Revenue


EBITDAForward

EV/ Revenue

Forward EV/

EBITDA YTDSEG Internet Index $1,379.5 $1,333.3 $462.5 66.8% 8.5% 17.2% 2.5x 19.4x 2.4x 12.9x -14.4% Ad Tech & Lead Generation $1,586.8 $1,549.4 $517.2 64.7% 6.7% 27.5% 2.4x 21.2x 1.9x 15.5x -22.2% Commerce $503.6 $380.2 $416.5 40.1% 7.9% 15.0% 0.9x 14.8x 1.0x 10.6x -18.3% Content & Media $2,900.2 $2,933.9 $536.4 48.6% 11.7% 9.5% 3.3x 20.6x 3.1x 18.6x -12.5% Gaming $2,940.65 $2,171.7 $759.4 71.8% 30.2% 11.9% 3.3x 8.9x 2.8x 7.4x -9.8% Infrastructure $616.58 $535.3 $284.2 63.0% 6.4% 11.0% 1.4x 18.0x 1.1x 10.7x -9.6% Services $843.31 $751.3 $186.9 73.9% 7.8% 31.3% 3.2x 31.1x 2.7x 20.7x -18.2% Social $7,117.91 $6,163.4 $801.0 61.2% 9.9% 62.4% 10.3x 32.2x 7.6x 24.9x -2.6% Travel $5,215.62 $4,682.6 $894.3 83.2% 15.6% 20.2% 5.2x 23.2x 5.5x 18.7x 9.0%

TTM Revenue Growth 17.2%TTM EBITDA Growth 11.2%TTM Earnings Growth 20.6%Gross Profit Margin 66.8%EBITDA Margin 8.5%Net Income Margin 0.2%SG&A Expenses as a % of Total Revenue 39.6%R&D Expenses as a % of Total Revenue 14.5%

Current Ratio 2.5Quick Ratio 2.3Cash as Percent of Market Cap 18.0%Avg Days Outstanding: Accounts Receivable 38Avg Days Outstanding: Accounts Payable 44Working Capital to TTM Operating Expense Ratio 0.5

Levered FCF Margin 9.4%Cash from Operations Growth (YoY) 12.0%Cash from Investing Growth (YoY) -21.9%Cash from Financing Growth (YoY) 72.9%Levered FCF Growth (YoY) -1.7%





-25%

-20%

-15%

-10%

-5%

0%

5%

10%SEG Internet Index Stock Market Return: January - May 2014

DOW S&P NASDAQ SEG Internet Index

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