internet industry update q3 2013 - vista point...

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Internet Industry Update

Q3 2013

http://www.victorypharma.com/index.shtml

http://www.victorypharma.com/index.shtml

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Q3 2013 Internet Industry Overview

• Internet M&A continues to remain tepid as constituents stay on the sidelines

- With a continued lack of high quality assets for sale, valuations increased as buyers became more

competitive for a smaller number of assets

- Zillow acquired NMD Interactive (StreetEasy) for $50 million

- Blucora acquires Monoprice for $180 million

- Twitter acquires MoPub for $350 million

- The number of M&A transactions reached its lowest level since 2009, with only 229 internet

transactions in Q3 2013

• Despite minimal M&A activity, the IPO market has shown strength for digital media and Internet assets

- RetailMeNot (NYSE:SALE) raised $191 million and is trading up 69% since its IPO

- Both YuMe (NYSE:YUME) and Rocket Fuel (NYSE:FUEL) are up from their IPOs, 18% and 85%,

respectively driving optimism for the AdTech sector and a long line of companies looking to enter the

public markets

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32

18 20 18 16 16 13 13 12 12 10 8 8 10 9

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$8.0

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Active Acquirers and Recent Transactions

Source: Capital IQ as of 9/30/13

Notable Q3 2013 Transactions

Most Active Acquirers (Since 2008)

Acquirer

Target

Date 8/2/13 9/3/13 8/1/13 8/7/13 10/1/13

EV N/A $50m $180m $400m $1,900m

EV / LTM Rev N/A N/A N/A N/A N/A

EV / LTM EBITDA N/A N/A N/A N/A N/A

Deals <$1bn

Deals >$1bn

4

253 265236

269

161 158180

301 310 302 299

381

300

347

422

530

407 399 414

496

348318

229

0

100

200

300

400

500

600

Q1

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Q2

'08

Q3

'08

Q4

'08

Q1

'09

Q2

'09

Q3

'09

Q4

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Q1

'10

Q2

'10

Q3

'10

Q4

'10

Q1

'11

Q2

'11

Q3

'11

Q4

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Q1

'12

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Q3

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$8$7 $6 $6

$3

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$14

$25

$9

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$11 $14

$7

$16 $17$20

$23

$29

$15

$19

$26

$10 $10

$0

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$10

$15

$20

$25

$30

$35

$40

Tran

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Val

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($b

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Internet M&A Market Overview Quarterly Internet M&A Value and Deal Count (Since 2008)


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Enterprise Target LTM Enterprise Value / Date Target Acquirer Sector Value Revenue EBITDA LTM Revenue LTM EBITDA

09/30/13 The Active Network Vista Equity Partners Content Delivery & Management $800.3 $441.3 $13.2 1.8x 60.6x

09/27/13 nextmedia Forum Media Group Content and Services N/A N/A N/A N/A N/A

09/26/13 SaaSID Intermedia.net Security N/A N/A N/A N/A N/A

09/26/13 LearnBoost Automattic Content Delivery & Management N/A N/A N/A N/A N/A

09/25/13 RMS Systems Phoenix Technology Services Business Software 30.6 6.2 (2.5) 4.9 N/M

09/24/13 Currensee OANDA Knowledge / Content N/A N/A N/A N/A N/A

09/23/13 Pivot Data Centres Rogers Communications Content Delivery & Management 150.7 N/A N/A N/A N/A

09/23/13 Granite Networks Rogers Communications Content Delivery & Management 6.1 N/A N/A N/A N/A

09/20/13 Datagraphic Prolog Print Media Content and Services N/A N/A N/A N/A N/A

09/19/13 Afternic.com The Go Daddy Group Content Delivery & Management N/A N/A N/A N/A N/A

09/18/13 Arootz Groupon Content and Services N/A N/A N/A N/A N/A

09/18/13 Vertical Measures Site Pro Specialties Content and Services N/A N/A N/A N/A N/A

09/18/13 GoldPrice.com PM Web Assets Ecommerce 0.9 N/A N/A N/A N/A

09/18/13 Insco Insurance Services AmTrust Financial Services Content and Services 85.0 N/A N/A N/A N/A

09/17/13 Bump Technologies Google Content Delivery & Management N/A N/A N/A N/A N/A

09/17/13 TopCoder Appirio Platform N/A N/A N/A N/A N/A

09/17/13 Adept Cloud Hightail Systems / Network N/A N/A N/A N/A N/A

09/17/13 Hopscotch Group XO Group Content and Services N/A N/A N/A N/A N/A

09/17/13 Virtual Greats Iconicfuture Ecommerce N/A N/A N/A N/A N/A

09/16/13 Anchor Box eFolder Content Delivery & Management N/A N/A N/A N/A N/A

09/16/13 Portfolio Director Scivantage Fintech N/A N/A N/A N/A N/A

09/16/13 Jax Meet Me Room Cologix Content Delivery & Management N/A N/A N/A N/A N/A

09/16/13 Spigit Mindjet Platform N/A N/A N/A N/A N/A

09/16/13 Tech 2000 U.S. Boston Capital Content and Services N/A 10.0 N/A N/A N/A

09/16/13 Pulser Media Cumulus Media Content and Services N/A N/A N/A N/A N/A

09/16/13 BugSense Splunk Business Intell igence N/A N/A N/A N/A N/A

09/16/13 JCurve Solutions Stratatel Accounting / ERP 4.4 N/A N/A N/A N/A

09/13/13 Facilitate Digital Holdings Adslot Content and Services 13.8 3.8 (0.4) 3.7 N/M

09/12/13 Data Agent Confluence Technologies Fintech N/A N/A N/A N/A N/A

09/12/13 SoftCom Ingram Micro Content Delivery & Management N/A N/A N/A N/A N/A

09/12/13 RentFeeder Renters Warehouse Content and Services N/A N/A N/A N/A N/A

09/11/13 Digiapolis Next Wave Health Content and Services N/A N/A N/A N/A N/A

09/11/13 Enclarity LexisNexis Risk Solutions Content and Services N/A N/A N/A N/A N/A

09/11/13 Blue Technologies Smart Solutions Blue Technologies Content and Services N/A N/A N/A N/A N/A

09/10/13 ILX Group Progility Content and Services N/A 21.3 1.7 N/A N/A

09/10/13 KXEN SAP Business Intell igence N/A N/A N/A N/A N/A

09/10/13 NetIDEAS PTC Content and Services N/A N/A N/A N/A N/A

09/10/13 Standing Cloud Origo Networks Platform N/A N/A N/A N/A N/A

09/10/13 Asure Software Active Data Exchange Business Software N/A N/A N/A N/A N/A

09/10/13 American Express Publishing Time Content and Services N/A N/A N/A N/A N/A

09/10/13 USA OnTrade Networks Conference Hound Content and Services N/A N/A N/A N/A N/A

09/10/13 Syncada U.S. Bancorp Fintech N/A N/A N/A N/A N/A

09/10/13 TOT Group Net Element International Retail Software N/A N/A N/A N/A N/A

Select Q3 2013 Announced M&A Transactions

Note: $ in Millions. EV/EBITDA multiples in excess of 50x or less than 0x are considered not meaningful. Source: Capital IQ as of 9/30/13

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09/09/13 Safeharbor Knowledge Solutions Enghouse Systems Content Delivery & Management N/A N/A N/A N/A N/A

09/09/13 Knowillage Desire2Learn Integration / Middleware N/A N/A N/A N/A N/A

09/09/13 CitizenHawk Wolters Kluwer Corporate Legal Services Content and Services N/A N/A N/A N/A N/A

09/09/13 Storify Livefyre Knowledge / Content N/A N/A N/A N/A N/A

09/09/13 LabMentors JAK Content and Services 0.2 N/A N/A N/A N/A

09/09/13 DSA Mission Critical Services Seaport Capital Content and Services N/A N/A N/A N/A N/A

09/06/13 Decide eBay Ecommerce N/A N/A N/A N/A N/A

09/06/13 Jaal CloudFlare Security N/A N/A N/A N/A N/A

09/05/13 Grapple Mobile Monitise Create Development 59.7 N/A N/A N/A N/A

09/05/13 Redstation iomart Group Content Delivery & Management 12.6 8.1 3.7 1.6 3.4

09/05/13 Revere Data FactSet Research Systems Business Intelligence 15.4 N/A N/A N/A N/A

09/05/13 Corporate Training Technologies TrainCo Holdings Content and Services N/A N/A N/A N/A N/A

09/04/13 MGT Interactive MGT Capital Investments Gaming N/A N/A N/A N/A N/A

09/04/13 Cycleface Strava Ecommerce N/A N/A N/A N/A N/A

09/04/13 Gaming Investments Ladbrokes Australia Content and Services 20.7 N/A N/A N/A N/A

09/04/13 ILS Technology Telit Wireless Solutions Integration / Middleware 8.5 N/A N/A N/A N/A

09/04/13 Venyu Solutions EATELCORP Content and Services N/A N/A N/A N/A N/A

09/04/13 Icelolly Marketing Palatine Private Equity Ecommerce 26.6 N/A N/A N/A N/A

09/04/13 Cloops Discount Coupons Corporation Ecommerce N/A N/A N/A N/A N/A

09/04/13 Easy2 Technologies Answers Corporation Ecommerce N/A N/A N/A N/A N/A

09/04/13 OB10 Tungsten Corporation Content and Services 154.9 N/A N/A N/A N/A

09/04/13 EPIC Information Solutions Manitoba Telecom Services Development N/A N/A N/A N/A N/A

09/04/13 Saffron Digital Cinram Group Content Delivery & Management 47.0 N/A N/A N/A N/A

09/04/13 ACT Teleconferencing American Teleconferencing Services Content Delivery & Management 44.0 N/A N/A N/A N/A

09/04/13 Pogby BizBash Media Content and Services N/A N/A N/A N/A N/A

09/04/13 Vacation Rental Agent Worldwide VacationRoost Content and Services N/A N/A N/A N/A N/A

09/04/13 Gradient Amobee Business Intelligence 15.0 N/A N/A N/A N/A

09/04/13 Rhapsody International Columbus Nova Partners Content and Services N/A N/A N/A N/A N/A

09/03/13 Packetloop Arbor Networks Business Intelligence N/A N/A N/A N/A N/A

09/03/13 Lanyrd Eventbrite Content and Services N/A N/A N/A N/A N/A

09/03/13 Digium Cloud Services Digium Content Delivery & Management N/A N/A N/A N/A N/A

09/03/13 ChemSW Accelrys Business Software 15.3 N/A N/A N/A N/A

09/03/13 E-Markets Cultura Technologies Supply Chain N/A N/A N/A N/A N/A

09/02/13 ViKi Rakuten Content and Services N/A N/A N/A N/A N/A

08/29/13 Startingabusiness.com Northwest Registered Agent Content and Services N/A N/A N/A N/A N/A

08/29/13 Produce Universe The Packer Content and Services N/A N/A N/A N/A N/A

08/28/13 ChristianHeadlines.com Salem Web Network Content and Services N/A N/A N/A N/A N/A

08/27/13 Link My Fan Artemis Energy Holdings Content and Services N/A N/A N/A N/A N/A

08/27/13 Wired Fax Fax87.com Content Delivery & Management N/A N/A N/A N/A N/A

08/27/13 PrecisionIR Group Issuer Direct Content Delivery & Management 3.5 N/A N/A N/A N/A

08/26/13 WooEB Artemis Energy Holdings Advertising and Marketing N/A N/A N/A N/A N/A

08/26/13 BestVendor Docstoc Content and Services N/A N/A N/A N/A N/A

Select Q3 2013 Announced M&A Transactions (cont.)


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08/26/13 Virtual Nerd Pearson Content Delivery & Management N/A N/A N/A N/A N/A

08/24/13 IQ Engines Yahoo! Diversified Media N/A N/A N/A N/A N/A

08/23/13 Professional Application Services Bonzi Technology Content Delivery & Management N/A N/A N/A N/A N/A

08/23/13 AxisPointe Herbert L. Jamison & Co. Business Software N/A N/A N/A N/A N/A

08/23/13 Omnitracs Vista Equity Partners Business Software 800.0 N/A N/A N/A N/A

08/22/13 CoastGuardNews.com Bright Mountain Holdings Content and Services N/A N/A N/A N/A N/A

08/22/13 OpenLogic Rogue Wave Software Content and Services N/A N/A N/A N/A N/A

08/22/13 JackBe Corporation Software AG Business Intelligence N/A N/A N/A N/A N/A

08/21/13 Equator Altisource Portfolio Solutions Ecommerce 150.0 N/A N/A N/A N/A

08/21/13 imortgage.com loanDepot Content and Services N/A N/A N/A N/A N/A

08/21/13 Blip Networks Maker Studios Content and Services N/A N/A N/A N/A N/A

08/21/13 Orb Networks QUALCOMM Content and Services N/A N/A N/A N/A N/A

08/20/13 Simplex GTP Bottomline Technologies Accounting / ERP 11.0 N/A N/A N/A N/A

08/20/13 Time Link International Kronos Human Capital N/A N/A N/A N/A N/A

08/20/13 GrubHub Seamless T. Rowe Price Group Ecommerce N/A N/A N/A N/A N/A

08/20/13 Alert Logic Welsh, Carson, Anderson & Stowe Security N/A 43.0 N/A N/A N/A

08/19/13 AccountAbility Access Enprise Group Human Capital N/A N/A N/A N/A N/A

08/19/13 Locu The Go Daddy Group Content Delivery & Management N/A N/A N/A N/A N/A

08/19/13 iMakeNews The Reynolds and Reynolds Company Advertising and Marketing N/A N/A N/A N/A N/A

08/19/13 FM Solutions Verisae Accounting / ERP N/A N/A N/A N/A N/A

08/19/13 NMD Interactive Zillow Content and Services 50.0 N/A N/A N/A N/A

08/17/13 Red Moon Solutions CCH Accounting / ERP N/A N/A N/A N/A N/A

08/16/13 Compliance Week Wilmington Group Content and Services 14.2 6.0 N/A 2.4 N/A

08/15/13 Fanhood Fox Sports Digital Content and Services N/A N/A N/A N/A N/A

08/14/13 UK CRBs MITIE Group Content and Services N/A N/A N/A N/A N/A

08/14/13 Precog RichRelevance Business Intelligence N/A N/A N/A N/A N/A

08/14/13 Energy Today Rosdanex Development N/A 0.8 0.0 N/A N/A

08/14/13 Tidal Fish VerticalScope Content and Services N/A N/A N/A N/A N/A

08/13/13 California Tutor Network WebWiseTutors Content and Services N/A N/A N/A N/A N/A

08/12/13 KinderTown Demme Learning Ecommerce N/A N/A N/A N/A N/A

08/12/13 Travel America Visitor Guide Monster Arts Content and Services 0.3 0.1 N/A 2.5 N/A

08/12/13 Stringwire NBC News Digital Content Delivery & Management N/A N/A N/A N/A N/A

08/12/13 Rakuten PopShops Rakuten Marketing Ecommerce N/A N/A N/A N/A N/A

08/12/13 RhinoSEO Xtari Advertising and Marketing N/A N/A N/A N/A N/A

08/12/13 Food Republic Zero Point Zero Production Content and Services N/A N/A N/A N/A N/A

08/10/13 uSwitch LDC Content and Services N/A N/A N/A N/A N/A

08/09/13 SideBuy Technologies Imogo Mobile Technologies Ecommerce N/A N/A N/A N/A N/A

08/09/13 Armorize Technologies Proofpoint Security 25.0 N/A N/A N/A N/A

08/09/13 InvisibleHand Software Skimlinks Ecommerce N/A N/A N/A N/A N/A

08/08/13 GoodApril Intuit Accounting / ERP 20.0 N/A N/A N/A N/A

08/08/13 Heritage Makers Youngevity Essential Life Sciences Ecommerce 1.2 N/A N/A N/A N/A

08/07/13 Vizibility ALL-STATE International Business Software N/A N/A N/A N/A N/A



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08/07/13 Adap.tv AOL Advertising and Marketing 405.0 N/A N/A N/A N/A

08/07/13 Infochimps Computer Sciences Corporation Business Intelligence N/A N/A N/A N/A N/A

08/07/13 Total Payroll Services Inova Payroll Human Capital N/A N/A N/A N/A N/A

08/07/13 WorldCompliance LexisNexis Risk Solutions Content and Services N/A N/A N/A N/A N/A

08/07/13 ArthurKade.com M Squared Entertainment Content and Services N/A N/A N/A N/A N/A

08/07/13 eInstruction Turning Technologies Knowledge / Content N/A N/A N/A N/A N/A

08/06/13 VisPower Technology 3D Systems Business Software N/A N/A N/A N/A N/A

08/06/13 Partnerpedia Solutions BMC Software Business Software N/A N/A N/A N/A N/A

08/06/13 Dynamite Data Market Track Ecommerce N/A N/A N/A N/A N/A

08/06/13 DealAngel OneTwoTrip Content and Services N/A N/A N/A N/A N/A

08/05/13 SmartHabitat Angie's List Content and Services 2.7 N/A N/A N/A N/A

08/05/13 Grab Media Blinkx Diversified Media N/A N/A N/A N/A N/A

08/05/13 Sheffield Web Solutions Hawkify Development N/A N/A N/A N/A N/A

08/05/13 Adam Internet Holdings iiNet Content Delivery & Management 53.4 N/A N/A N/A N/A

08/05/13 Sneaky Games Seal Gaming Gaming 1.3 N/A N/A N/A N/A

08/05/13 SmartyHost and MYOB Australia Uber Global Content and Services N/A N/A N/A N/A N/A

08/02/13 Teletrac Danaher Business Software N/A N/A N/A N/A N/A

08/02/13 Android-Apps.com Thor Media Content and Services 1.2 N/A N/A N/A N/A

08/02/13 RockMelt Yahoo! Diversified Media N/A N/A N/A N/A N/A

08/01/13 RotoExperts and SportsGrid Anthem Media Group Content and Services N/A N/A N/A N/A N/A

08/01/13 Transformational Technologies Bridgeline Digital Advertising and Marketing 2.6 N/A N/A N/A N/A

08/01/13 PayDivvy Higher One Holdings Content and Services 0.1 N/A N/A N/A N/A

07/31/13 Gaffey and Associates HealthTech Solutions Group Accounting / ERP N/A N/A N/A N/A N/A

07/31/13 Kapow Software Kofax Business Intelligence 47.5 15.9 (2.2) 3.0 N/M

07/31/13 SwiftVM SupremeBytes Systems / Network N/A N/A N/A N/A N/A

07/31/13 Mandata Synova Capital Supply Chain N/A N/A N/A N/A N/A

07/31/13 Lexity Yahoo! Ecommerce N/A N/A N/A N/A N/A

07/30/13 iGottaGuide GetYourGuide Content and Services N/A N/A N/A N/A N/A

07/30/13 Veeam Software Insight Venture Partners Systems / Network N/A N/A N/A N/A N/A

07/30/13 Tech 7 Systems Interactive Leisure Systems Content Delivery & Management N/A 0.7 N/A N/A N/A

07/30/13 LocaModa Monster Media Knowledge / Content N/A N/A N/A N/A N/A

07/30/13 WebMetro Revana Advertising and Marketing 21.7 N/A N/A N/A N/A

07/29/13 OptionsBuddy.com Born To Sell Content and Services N/A N/A N/A N/A N/A

07/26/13 Esendex Limited Darwin Private Equity Business Software 16.9 N/A N/A N/A N/A

07/26/13 Activision Blizzard Leonard Green & Partners Gaming 10,650.7 4,984.0 1,876.0 2.1 5.7

07/26/13 Audio Network Stripes Group Diversified Media N/A N/A N/A N/A N/A

07/25/13 Intelligent Power Blue Earth Business Intelligence 4.1 N/A N/A N/A N/A

07/25/13 VerticalResponse Deluxe Corporation Business Software 27.3 25.1 N/A 1.1 N/A

07/25/13 Lexia Learning Systems Rosetta Stone Content Delivery & Management 22.5 15.0 (4.0) 1.5 N/M

07/25/13 Element Payment Services Vantiv Business Software N/A N/A N/A N/A N/A

07/25/13 OnTarget360 Group Xpress Group Development 0.4 0.1 N/A 3.7 N/A

07/24/13 FoxWeave Cloud Bees Integration / Middleware N/A N/A N/A N/A N/A



9


07/24/13 Backyard Sports Epic Gear Gaming 1.0 N/A N/A N/A N/A

07/24/13 NoteUtopia FlashNotes Knowledge / Content N/A N/A N/A N/A N/A

07/24/13 Meetings.com HotelPlanner.com Business Software N/A N/A N/A N/A N/A

07/24/13 Onverse Kuboo Content and Services N/A N/A N/A N/A N/A

07/24/13 MerchantOS LightSpeed Retail Retail Software N/A N/A N/A N/A N/A

07/24/13 PeepCode Screencasts Pluralsight Human Capital N/A N/A N/A N/A N/A

07/24/13 Social Cloud Reputation.com Knowledge / Content N/A N/A N/A N/A N/A

07/23/13 MediaMerx Ahalife Holdings Content and Services N/A N/A N/A N/A N/A

07/23/13 Smart Button Associates Aimia CRM 18.0 N/A N/A N/A N/A

07/23/13 Golfmates.com Avalanche Content and Services N/A N/A N/A N/A N/A

07/23/13 Sourcefire Cisco Security 2,193.6 247.4 18.5 8.9 118.8

07/23/13 Spreebird nCrowd Content Delivery & Management 0.2 N/A N/A N/A N/A

07/23/13 PassBan RSA Security Security N/A N/A N/A N/A N/A

07/23/13 Omniverse One World Television Swordfish Financial Content and Services N/A N/A N/A N/A N/A

07/22/13 BetaKit MobileSyrup.com Content and Services N/A N/A N/A N/A N/A

07/22/13 Moonbase Commander Franchise Rebellion Interactive Gaming 0.1 N/A N/A N/A N/A

07/22/13 Star Control Franchise Stardock Gaming 0.3 N/A N/A N/A N/A

07/22/13 Digital Technology International Vista Equity Partners Advertising and Marketing N/A N/A N/A N/A N/A

07/22/13 SAXOTECH Vista Equity Partners Business Software N/A N/A N/A N/A N/A

07/22/13 Total Annihilation Franchise Wargaming World Gaming 1.0 N/A N/A N/A N/A

07/19/13 Big Clix Hydro Phi Technologies Development N/A N/A N/A N/A N/A

07/19/13 Locationary Apple Content and Services N/A N/A N/A N/A N/A

07/19/13 Hopstop.com Apple Content and Services N/A N/A N/A N/A N/A

07/18/13 SeatMe Yelp Retail Software 12.7 N/A N/A N/A N/A

07/17/13 ComOps Markinson Software Solutions Accounting / ERP 3.9 N/A N/A N/A N/A

07/17/13 HeatSeeker Technology Partners Warner Connect Systems / Network N/A N/A N/A N/A N/A

07/17/13 Anaqua Insight Venture Partners Content Delivery & Management N/A N/A N/A N/A N/A

07/17/13 Balluun Advanstar Ecommerce N/A N/A N/A N/A N/A

07/17/13 Position Logic RACO Wireless Business Intelligence N/A N/A N/A N/A N/A

07/17/13 EK3 Technologies Cineplex Accounting / ERP 113.1 24.9 3.8 4.5 29.5

07/17/13 Wireless Developer Agency [x+1] Content Delivery & Management N/A N/A N/A N/A N/A

07/16/13 Enigma PTC Business Intelligence N/A N/A N/A N/A N/A

07/16/13 EverGreen Data Continuity Rentsys Recovery Services Accounting / ERP N/A N/A N/A N/A N/A

07/16/13 TRX Concur Technologies Business Intelligence N/A 46.3 3.6 N/A N/A

07/15/13 Acumen Deltek Business Software N/A N/A N/A N/A N/A

07/13/13 Triple Point Technology Ion Investment Group Content & Services 900.0 200.0 N/A 4.5 N/A

07/12/13 Zimride Enterprise Holdings Content and Services N/A N/A N/A N/A N/A

07/12/13 Stylefantasia Hallett Retail Services Ecommerce N/A N/A N/A N/A N/A

07/11/13 360Fire.com Bright Mountain Holdings Content and Services N/A N/A N/A N/A N/A

07/11/13 United Systems Technology StarDyne Technologies Accounting / ERP N/A N/A N/A N/A N/A

07/10/13 Desura Linden Research Gaming N/A N/A N/A N/A N/A

07/09/13 Tribold Sigma Systems Accounting / ERP N/A N/A N/A N/A N/A



10


07/09/13 CopperEgg Corporation Idera Systems / Network N/A N/A N/A N/A N/A

07/09/13 Efficient Collaborative Retail Marketing BV Investment Partners Business Software N/A N/A N/A N/A N/A

07/09/13 Green Magazine Hawaii Element Media Content and Services N/A N/A N/A N/A N/A

07/08/13 TrustedID Equifax Security N/A N/A N/A N/A N/A

07/08/13 TSL Education TPG Capital Content Delivery & Management 549.0 N/A N/A N/A N/A

07/08/13 Aveksa RSA Security Compliance Software N/A N/A N/A N/A N/A

07/08/13 TheStockAdvisors.com Investment Seminars Diversified Media N/A N/A N/A N/A N/A

07/08/13 Washington Guardian The Washington Times Diversified Media N/A N/A N/A N/A N/A

07/08/13 Onesheet Bandzoogle Content Delivery & Management N/A N/A N/A N/A N/A

07/03/13 Xobni Corporation Yahoo! Content Delivery & Management N/A N/A N/A N/A N/A

07/03/13 Amanti Art Uniek Ecommerce N/A N/A N/A N/A N/A

07/03/13 Opta Sportsdata Perform Group Content and Services 61.1 N/A N/A N/A N/A

07/03/13 Pierce-Eislen Yardi Systems Content and Services N/A N/A N/A N/A N/A

07/03/13 Purepromoter Scottish Equity Partners; Investec Integration / Middleware N/A N/A N/A N/A N/A

07/02/13 Customer Value Group Xerox Accounting / ERP N/A N/A N/A N/A N/A

07/02/13 CRD GB Group Business Intelligence 2.0 0.7 N/A 2.7 N/A

07/02/13 Greatebooks.com GreatApps.com Content Delivery & Management N/A N/A N/A N/A N/A

07/02/13 IgnitionOne and Netmining ABS Capital; Persimmon Capital Advertising and Marketing N/A N/A N/A N/A N/A

07/01/13 Daily Mail and General Trust Rothermere Continuation Limited Content and Services N/A 2,652.5 497.0 N/A N/A

Internet Median 2.7x 29.5x

Internet Mean 3.3 43.6



11

95%

92%

96%

93%

75%

80%

85%

90%

95%

100%

Advertising Content Ecommerce Gaming

4.5x

8.5x

2.8x

1.9x

3.5x

6.8x

2.3x1.6x

0.0x

1.0x

2.0x

3.0x

4.0x

5.0x

6.0x

7.0x

8.0x

9.0x


19.2x

15.8x

24.4x

8.6x

19.1x

15.2x17.4x

7.9x

0.0x

5.0x

10.0x

15.0x

20.0x

25.0x

30.0x


0%

50%

100%

150%

200%

250%

300%

350%

400%

450%

500%

Internet Public Market Performance

EV / Revenue EV / EBITDA

Ecommerce: AMZN, AWAY, CTRP, EBAY, EXPN, LQDT, LYV, MELI, NILE, OPEN, OSTK, OWW, PCLN, SFLY, VPRT Content and Services: ANGI, AWAY, DMD, FB, IACI, LNKD, MWW, NFLX, P, SCOR, TRLA, VRSN, WBMD, YELP, Z Advertising and Marketing: AOL, BIDU, GOOG, GRPN, MM, QNST, RATE, VCLK, YHOO, YNDX Gaming: ATVI, EA, TAOM, UBI, ZNGA, SEHK:700, TSE:3632, TSE:3635, TSE:3659, TSE:6460, TSE:7832, TSE:9684, TSE:9697, TSE:9766 Source: Capital IQ as of 9/30/13

Q1

‘10

Q2

‘10

Q3

‘10

Q4

‘10

Q1

‘11

Q2

‘11

Q3

‘11

Q4

‘11

Q1

‘12

Q2

‘12

Q3

‘12

Q4

‘12

Q1

‘13

Public Market Performance

% of 52 Week High

Q2

‘13

2012

2013E

2012

2013E

Q3

‘13

Index Performance Since 2010Ecommerce +255%Content and Services +225%Gaming +123%NASDAQ Composite Index +63%S&P 500 Index +48%Advertising and Marketing +25%

12

Price 52-Wk EV / Revenue EV / EBITDA P / E 52 Week

Company 09/30/13 High Mkt Cap EV 2012 2013E 2014E 2012 2013E 2014E 2012 2013E 2014E

Advertising and MarketingGoogle Inc. $875.91 95% $291,696 $283,732 5.7x 4.8x 4.1x 17.4x 13.3x 11.2x 27.1x 20.1x 17.1xBaidu, Inc. 155.18 100% 54,278 54,729 15.3 10.9 8.2 27.1 24.7 19.6 32.4 31.3 24.9Yahoo! Inc. 33.17 99% 34,213 33,119 6.6 7.4 7.2 25.2 20.7 19.8 10.1 22.7 19.8Yandex N.V. 36.42 96% 11,888 11,700 12.4 9.6 7.7 28.8 21.1 17.1 45.4 31.8 25.6Groupon, Inc. 11.21 89% 7,461 6,279 2.7 2.5 2.1 41.3 20.0 15.7 NM 82.9 39.3AOL Inc. 34.58 79% 2,765 2,387 1.1 1.0 1.0 5.1 5.2 4.8 3.1 16.9 14.9Bankrate, Inc. 20.57 100% 2,111 2,193 4.8 4.8 4.2 19.2 18.3 15.0 70.9 39.3 28.4Rocket Fuel Inc. 53.74 89% 2,109 2,109 19.8 NM NM NM NM NM NM NM NM ValueClick, Inc. 20.86 65% 1,570 1,545 2.3 2.2 2.0 7.7 6.4 5.9 17.1 12.8 10.9Millennial Media Inc. 7.07 43% 587 465 2.6 1.7 1.1 NM 39.1 11.0 NM NM 23.9Tremor Video, Inc. 9.23 88% 498 471 4.5 3.5 2.7 NM NM 90.0 NM NM NM QuinStreet, Inc. 9.44 99% 408 411 1.2 1.3 1.3 9.6 9.5 9.2 NM NM NM YuMe, Inc. 10.60 91% 367 344 2.9 2.2 1.7 34.7 81.3 32.5 44.2 NM 66.7Median 91% $2,111 $2,193 4.5x 3.0x 2.4x 22.2x 20.0x 15.3x 29.7x 27.0x 24.4xMean 87% $31,535 $30,730 6.3x 4.3x 3.6x 21.6x 23.6x 21.0x 31.3x 32.2x 27.2x

Content Delivery and ManagementAkamai Technologies, Inc. $51.70 98% $9,369 $9,164 6.7x 5.9x 5.2x 18.3x 13.7x 11.9x 46.2x 26.4x 23.3xLevel 3 Communications, Inc. 26.69 98% 5,972 13,946 2.2 2.2 2.1 9.9 8.8 8.0 NM NM 55.5Mentor Graphics Corp. 23.37 100% 2,730 2,746 2.5 2.4 2.2 12.8 9.9 8.9 20.0 14.7 13.5Rovi Corporation 19.17 72% 1,931 3,101 4.8 5.0 4.7 13.2 10.8 10.1 136.9 10.3 9.4EarthLink Inc. 4.95 68% 510 1,004 0.7 0.8 0.8 3.7 4.5 4.9 70.7 NM NM Median 98% $2,730 $3,101 2.5x 2.4x 2.2x 12.8x 9.9x 8.9x 58.4x 14.7x 18.4xMean 87% $4,102 $5,992 3.4x 3.3x 3.0x 11.6x 9.5x 8.8x 68.4x 17.1x 25.4x

Content and ServicesFacebook, Inc. $50.23 98% $122,326 $121,492 23.9x 16.4x 12.3x NM 29.6x 22.4x NM 69.3x 51.7xLinkedIn Corporation 246.06 96% 28,907 28,645 29.5 18.9 13.4 NM 79.2 50.7 NM NM 110.3Netflix, Inc. 309.21 99% 19,124 19,254 5.3 4.4 3.8 NM 58.1 38.1 NM NM 94.6VeriSign, Inc. 50.89 98% 7,316 8,094 9.3 8.4 7.9 15.8 13.0 12.2 26.6 22.0 19.9Pandora Media, Inc. 25.13 92% 5,325 5,282 12.4 8.2 5.9 NM NM 81.6 NM NM 98.8IAC/InterActiveCorp 54.67 99% 4,756 4,657 1.7 1.5 1.3 11.1 7.4 6.2 30.2 14.1 11.8Yelp, Inc. 66.18 94% 4,316 4,219 30.7 18.7 12.7 NM NM 71.4 NM NM 119.6Zillow, Inc. 84.30 84% 3,166 3,034 26.0 15.9 11.3 NM NM 61.8 NM NM 148.9HomeAway, Inc. 27.96 83% 2,494 2,312 8.2 6.8 5.6 45.6 24.3 19.4 NM 118.1 74.9Trulia, Inc. 47.03 91% 1,901 1,694 24.9 13.0 8.2 NM NM 39.4 NM NM 59.2WebMD Health Corp. 28.55 84% 1,445 1,219 2.6 2.4 2.2 52.5 10.8 8.8 NM 32.1 22.3Angie's List, Inc. 22.49 80% 1,351 1,320 8.5 5.3 3.9 NM NM 42.7 NM NM 71.7comScore, Inc. 28.97 97% 1,035 969 3.8 3.4 3.0 51.0 17.3 14.0 NM 27.2 22.4Demand Media, Inc. 6.32 58% 552 502 1.3 1.2 1.1 7.3 5.4 4.9 90.3 21.2 18.8Monster Worldwide, Inc. 4.42 55% 500 559 0.6 0.7 0.7 3.9 3.8 3.6 8.7 13.3 12.0Median 92% $3,166 $3,034 8.5x 6.8x 5.6x 15.8x 15.2x 22.4x 28.4x 24.6x 59.2xMean 87% $13,634 $13,550 12.6x 8.4x 6.2x 26.8x 24.9x 31.8x 39.0x 39.7x 62.5x

Public Company Trading Comparables


13



Diversified MediaComcast Corporation $45.12 98% $118,423 $163,683 2.6x 2.5x 2.4x 8.2x 7.7x 7.3x 19.8x 18.4x 16.0xThe Walt Disney Company 64.49 95% 116,961 128,032 3.0 2.8 2.6 11.7 10.0 9.3 20.8 18.6 15.9Time Warner Inc. 65.81 99% 61,613 78,996 2.7 2.7 2.6 10.9 10.4 9.7 21.3 17.6 15.4Viacom, Inc. 83.58 99% 39,862 47,631 3.6 3.4 3.2 12.2 11.0 10.2 19.7 17.2 14.4CBS Corporation 55.16 97% 33,361 39,502 2.8 2.6 2.6 11.3 10.2 9.8 22.2 17.8 15.8Liberty Media Corporation 147.15 99% 17,734 21,160 10.6 5.3 4.6 55.1 17.8 14.5 12.9 2.2 40.1Scripps Networks Interactive, Inc. 78.11 99% 11,394 12,431 5.4 4.9 4.6 11.9 11.0 10.2 17.6 21.1 18.7Gannett Co., Inc. 26.79 100% 6,139 7,335 1.4 1.4 1.3 6.6 6.8 5.5 15.0 12.4 9.9Meredith Corporation 47.62 97% 2,167 2,490 1.7 1.7 1.6 9.4 10.1 8.3 19.3 18.3 14.3The New York Times Company 12.57 99% 1,879 2,214 1.1 1.2 1.2 7.9 8.9 8.8 12.1 34.3 31.6Smiths News Plc 3.32 98% 624 794 0.3 0.3 0.3 9.9 7.2 6.9 14.2 9.7 9.2Median 99% $17,734 $21,160 2.7x 2.6x 2.6x 10.9x 10.1x 9.3x 19.3x 17.8x 15.8xMean 98% $37,287 $45,842 3.2x 2.6x 2.4x 14.1x 10.1x 9.1x 17.7x 17.0x 18.3x

GamingTencent Holdings Ltd. $52.46 97% $97,388 $96,646 13.7x 9.9x 7.7x 34.3x 26.7x 21.6x 47.9x 36.3x 29.1xActivision Blizzard, Inc. 16.68 91% 18,943 14,602 3.0 3.4 3.1 9.3 10.1 8.7 16.5 19.0 13.4Electronic Arts Inc. 25.55 91% 7,834 7,342 1.9 1.7 1.8 18.2 7.7 10.0 46.7 15.7 19.2Sega Sammy Holdings Inc. 28.83 98% 6,999 6,713 2.0 1.6 1.4 23.6 8.0 6.5 NM 15.8 14.1Nexon Co. Ltd. 12.19 87% 5,351 4,749 3.8 3.0 2.7 6.7 6.3 5.9 18.4 12.1 11.4Namco Bandai Holdings Inc. 18.70 98% 4,108 3,154 0.6 0.6 0.6 4.2 4.7 4.6 11.5 13.7 13.4Konami Corp. 23.09 83% 3,201 3,100 1.2 1.3 1.2 8.0 8.6 7.0 18.7 20.9 15.5Zynga, Inc. 3.67 93% 2,953 2,735 2.1 3.2 3.7 48.0 NM 63.6 NM NM NM Square Enix Holdings Co., Ltd. 15.85 99% 1,826 1,216 0.8 0.8 0.8 NM 10.1 6.4 NM NM 23.9Gree, Inc. 7.80 41% 1,806 1,549 0.8 1.0 1.1 1.7 3.3 3.7 3.7 17.0 8.7Ubisoft Entertainment SA 15.47 95% 1,484 1,350 0.9 0.7 0.7 2.5 2.2 1.9 21.2 14.8 12.7Capcom Co. Ltd. 19.24 92% 1,082 971 0.8 1.0 1.0 4.5 6.2 5.5 9.5 17.0 13.2Tecmo Koei Holdings Co., Ltd. 10.79 100% 937 857 2.0 2.3 2.2 8.6 10.1 9.1 12.3 16.1 15.0Taomee Holdings Ltd. 5.99 88% 494 380 9.5 8.7 7.8 75.7 NM NM 30.0 74.9 47.9Median 93% $3,077 $2,918 1.9x 1.6x 1.6x 8.6x 7.9x 6.5x 18.4x 16.6x 14.1xMean 90% $11,029 $10,383 3.1x 2.8x 2.6x 18.9x 8.7x 11.9x 21.5x 22.8x 18.3x

Public Company Trading Comparables (cont.)


14



EcommerceAmazon.com Inc. $312.64 98% $142,840 $142,178 2.3x 1.9x 1.6x 56.7x 28.6x 20.8x NM NM 105.0xeBay Inc. 55.80 97% 72,744 70,422 5.0 4.4 3.7 17.1 13.1 11.3 28.0 20.6 17.5priceline.com Incorporated 1010.95 100% 52,082 52,615 10.0 7.8 6.4 27.5 20.6 16.5 36.5 25.2 20.5Experian plc 19.06 95% 19,186 22,260 4.8 4.6 4.3 14.3 13.2 12.4 66.1 21.3 19.3Ctrip.com International Ltd. 58.36 100% 7,573 7,378 11.1 8.5 6.9 61.3 38.9 28.9 73.0 45.0 35.3Mercadolibre, Inc. 134.91 100% 5,957 5,838 15.6 12.3 10.0 42.1 34.8 27.7 59.0 48.6 38.7Live Nation Entertainment, Inc. 18.55 99% 3,806 4,144 0.7 0.7 0.6 10.1 8.5 7.8 NM NM NM HomeAway, Inc. 27.96 83% 2,494 2,312 8.2 6.8 5.6 45.6 24.3 19.4 NM 118.1 74.9Shutterfly, Inc. 55.88 93% 2,137 2,009 3.1 2.6 2.2 24.4 13.5 11.1 91.6 40.7 34.8Vistaprint N.V. 56.60 100% 1,954 2,143 1.9 1.8 1.6 20.2 14.1 11.1 81.2 22.8 18.5RetailMeNot, Inc. 35.57 91% 1,797 1,716 11.9 8.8 7.0 25.9 22.4 18.1 65.9 43.3 36.1OpenTable, Inc. 69.98 91% 1,705 1,624 10.0 8.6 7.3 35.3 20.4 16.8 67.9 37.1 31.7Liquidity Services, Inc. 33.50 68% 1,093 1,029 2.1 2.1 1.9 10.5 9.5 8.4 24.1 18.5 16.4Orbitz Worldwide, Inc. 9.63 76% 1,052 1,280 1.6 1.5 1.4 12.1 9.1 8.1 NM 6.5 27.4Overstock.com Inc. 29.67 85% 709 624 0.6 0.5 0.5 22.2 14.8 12.6 47.9 30.3 24.3LightInTheBox Holding Co., Ltd. 11.85 53% 599 497 2.5 1.6 1.1 NM 32.1 15.6 NM 38.9 20.7Blue Nile Inc. 40.93 99% 514 468 1.2 1.0 0.9 34.2 19.9 16.2 65.0 49.8 38.6Median 95% $2,137 $2,143 3.1x 2.6x 2.2x 25.1x 19.9x 15.6x 65.4x 37.1x 29.5xMean 90% $18,720 $18,737 5.5x 4.4x 3.7x 28.7x 19.9x 15.5x 58.9x 37.8x 35.0x

Public Company Trading Comparables (cont.)


15

Price 52-Wk Revenue Growth EBITDA Margin Net Margin 52 Week


Advertising and MarketingGoogle Inc. $875.91 95% $291,696 $283,732 32% 19% 16% 32% 36% 37% 66% 69% 69%Baidu, Inc. 155.18 100% 54,278 54,729 56% 41% 32% 56% 44% 42% 83% 78% 79%Yahoo! Inc. 33.17 99% 34,213 33,119 0% (10%) 3% 26% 36% 36% NM 99% NM Yandex N.V. 36.42 96% 11,888 11,700 51% 29% 25% 43% 46% 45% 66% 68% 70%Groupon, Inc. 11.21 89% 7,461 6,279 45% 10% 15% 7% 12% 14% (36%) 29% 49%AOL Inc. 34.58 79% 2,765 2,387 (0%) 4% 7% 22% 20% 20% NM 36% 38%Bankrate, Inc. 20.57 100% 2,111 2,193 8% (0%) 14% 25% 26% 28% 26% 45% 51%Rocket Fuel Inc. 53.74 89% 2,109 2,109 139% NM NM (6%) NM NM NM NM NM ValueClick, Inc. 20.86 65% 1,570 1,545 25% 6% 8% 30% 34% 35% 51% 52% 56%Millennial Media Inc. 7.07 43% 587 465 71% 51% 53% (1%) 4% 10% NM 7% 63%Tremor Video, Inc. 9.23 88% 498 471 16% 28% 30% (10%) 0% 3% NM NM (8%)QuinStreet, Inc. 9.44 99% 408 411 (16%) (7%) 3% 13% 14% 14% NM 51% 53%YuMe, Inc. 10.60 91% 367 344 70% 33% 31% 9% 3% 5% 63% (40%) 62%Median 91% $2,111 $2,193 32% 14% 16% 22% 23% 24% 63% 51% 56%Mean 87% $31,535 $30,730 38% 17% 20% 19% 23% 24% 46% 45% 53%

Content Delivery and ManagementAkamai Technologies, Inc. $51.70 98% $9,369 $9,164 19% 13% 14% 36% 43% 43% 41% 53% 52%Level 3 Communications, Inc. 26.69 98% 5,972 13,946 47% (1%) 3% 22% 25% 27% (30%) (7%) 6%Mentor Graphics Corp. 23.37 100% 2,730 2,746 7% 6% 6% 20% 24% 25% 65% 66% 67%Rovi Corporation 19.17 72% 1,931 3,101 (4%) (6%) 7% 36% 47% 47% (15%) 68% 67%EarthLink Inc. 4.95 68% 510 1,004 3% (8%) (4%) 20% 18% 17% 3% (9%) (21%)Median 98% $2,730 $3,101 7% (1%) 6% 22% 25% 27% 3% 53% 52%Mean 87% $4,102 $5,992 14% 1% 5% 27% 31% 32% 13% 34% 34%

Content and ServicesFacebook, Inc. $50.23 98% $122,326 $121,492 37% 45% 33% 23% 55% 55% 4% 44% 45%LinkedIn Corporation 246.06 96% 28,907 28,645 86% 56% 42% 13% 24% 26% 17% 50% 48%Netflix, Inc. 309.21 99% 19,124 19,254 13% 20% 17% 3% 8% 10% 18% 33% 42%VeriSign, Inc. 50.89 98% 7,316 8,094 13% 10% 6% 59% 65% 65% 63% 59% 58%Pandora Media, Inc. 25.13 92% 5,325 5,282 56% 52% 38% (7%) 2% 7% NM 30% 76%IAC/InterActiveCorp 54.67 99% 4,756 4,657 36% 14% 13% 15% 20% 21% 38% 54% 55%Yelp, Inc. 66.18 94% 4,316 4,219 65% 64% 48% (8%) 13% 18% NM 54% 69%Zillow, Inc. 84.30 84% 3,166 3,034 77% 63% 41% 11% 11% 18% 48% (4%) 52%HomeAway, Inc. 27.96 83% 2,494 2,312 22% 22% 21% 18% 28% 29% 30% 56% 58%Trulia, Inc. 47.03 91% 1,901 1,694 77% 91% 58% (10%) 11% 21% NM 50% 72%WebMD Health Corp. 28.55 84% 1,445 1,219 (16%) 9% 8% 5% 22% 25% (88%) 23% 45%Angie's List, Inc. 22.49 80% 1,351 1,320 73% 59% 38% (31%) (6%) 9% NM NM 60%comScore, Inc. 28.97 97% 1,035 969 10% 12% 13% 7% 20% 22% (62%) 69% 68%Demand Media, Inc. 6.32 58% 552 502 17% 7% 10% 18% 23% 23% 9% 27% 29%Monster Worldwide, Inc. 4.42 55% 500 559 (10%) (9%) (1%) 16% 18% 19% NM 25% 26%Median 92% $3,166 $3,034 36% 22% 21% 11% 20% 21% 18% 47% 55%Mean 87% $13,634 $13,550 37% 34% 26% 9% 21% 25% 8% 41% 54%

Public Company Operating Metrics

EBITDA and Net Margins Greater than 100% or less than -100% are deemed non-material (“NM”) Source: Capital IQ as of 9/30/13

16



Diversified MediaComcast Corporation $45.12 98% $118,423 $163,683 12% 3% 6% 32% 33% 33% 31% 31% 33%The Walt Disney Company 64.49 95% 116,961 128,032 5% 7% 6% 25% 28% 28% 51% 49% 52%Time Warner Inc. 65.81 99% 61,613 78,996 (1%) 4% 3% 25% 25% 26% 41% 47% 48%Viacom, Inc. 83.58 99% 39,862 47,631 (12%) 6% 6% 30% 31% 31% 57% 54% 55%CBS Corporation 55.16 97% 33,361 39,502 3% 8% 2% 25% 25% 26% 45% 50% 51%Liberty Media Corporation 147.15 99% 17,734 21,160 (34%) 101% 13% 19% 29% 32% NM NM 26%Scripps Networks Interactive, Inc. 78.11 99% 11,394 12,431 11% 10% 7% 45% 44% 45% 65% 48% 49%Gannett Co., Inc. 26.79 100% 6,139 7,335 2% (2%) 10% 21% 21% 23% 38% 47% 48%Meredith Corporation 47.62 97% 2,167 2,490 6% 2% 5% 18% 17% 19% 42% 47% 44%The New York Times Company 12.57 99% 1,879 2,214 2% (4%) (5%) 14% 13% 14% 47% 23% 25%Smiths News Plc 3.32 98% 624 794 6% 1% (2%) 3% 4% 4% 55% 59% 60%Median 99% $17,734 $21,160 3% 4% 6% 25% 25% 26% 46% 48% 48%Mean 98% $37,287 $45,842 0% 12% 5% 23% 25% 26% 47% 46% 44%

GamingTencent Holdings Ltd. $52.46 97% $97,388 $96,646 56% 38% 29% 40% 37% 36% 73% 74% 74%Activision Blizzard, Inc. 16.68 91% 18,943 14,602 2% (11%) 8% 32% 34% 36% 73% 64% 60%Electronic Arts Inc. 25.55 91% 7,834 7,342 2% 8% (3%) 10% 22% 18% 43% 54% 57%Sega Sammy Holdings Inc. 28.83 98% 6,999 6,713 (35%) 27% 10% 8% 20% 22% (39%) NM NM Nexon Co. Ltd. 12.19 87% 5,351 4,749 10% 28% 10% 56% 47% 46% 42% NM NM Namco Bandai Holdings Inc. 18.70 98% 4,108 3,154 (0%) (8%) (2%) 14% 13% 14% 48% NM NM Konami Corp. 23.09 83% 3,201 3,100 (22%) (13%) 8% 14% 16% 18% 44% NM NM Zynga, Inc. 3.67 93% 2,953 2,735 12% (33%) (13%) 4% 2% 6% NM NM (94%)Square Enix Holdings Co., Ltd. 15.85 99% 1,826 1,216 (2%) (4%) (0%) (2%) 8% 13% NM NM NM Gree, Inc. 7.80 41% 1,806 1,549 33% (20%) (5%) 47% 31% 29% 57% NM NM Ubisoft Entertainment SA 15.47 95% 1,484 1,350 14% 18% 9% 34% 34% 37% 13% 17% 17%Capcom Co. Ltd. 19.24 92% 1,082 971 20% (22%) 7% 18% 16% 17% 54% NM NM Tecmo Koei Holdings Co., Ltd. 10.79 100% 937 857 (2%) (13%) 3% 23% 23% 25% 77% NM NM Taomee Holdings Ltd. 5.99 88% 494 380 (11%) 9% 11% 12% 5% 6% NM NM NM Median 93% $3,077 $2,918 2% (6%) 7% 16% 21% 20% 48% 59% 57%Mean 90% $11,029 $10,383 6% 0% 5% 22% 22% 23% 44% 52% 23%

Public Company Operating Metrics (cont.)


17



EcommerceAmazon.com Inc. $312.64 98% $142,840 $142,178 27% 22% 22% 4% 7% 8% (2%) 8% 22%eBay Inc. 55.80 97% 72,744 70,422 21% 15% 16% 29% 33% 33% 63% 66% 67%priceline.com Incorporated 1010.95 100% 52,082 52,615 21% 28% 22% 36% 38% 39% 74% 82% 82%Experian plc 19.06 95% 19,186 22,260 10% 4% 7% 33% 35% 34% 22% 53% 55%Ctrip.com International Ltd. 58.36 100% 7,573 7,378 20% 29% 24% 18% 22% 24% 95% NM 99%Mercadolibre, Inc. 134.91 100% 5,957 5,838 25% 27% 23% 37% 35% 36% 73% 73% 73%Live Nation Entertainment, Inc. 18.55 99% 3,806 4,144 8% 5% 5% 7% 8% 8% (40%) NM 8%HomeAway, Inc. 27.96 83% 2,494 2,312 22% 22% 21% 18% 28% 29% 30% 56% 58%Shutterfly, Inc. 55.88 93% 2,137 2,009 35% 22% 17% 13% 19% 20% 28% 34% 35%Vistaprint N.V. 56.60 100% 1,954 2,143 20% 10% 9% 10% 12% 15% 24% 57% 56%RetailMeNot, Inc. 35.57 91% 1,797 1,716 80% 35% 25% 46% 39% 39% 39% 51% 54%OpenTable, Inc. 69.98 91% 1,705 1,624 16% 16% 18% 28% 42% 44% 52% 55% 56%Liquidity Services, Inc. 33.50 68% 1,093 1,029 37% 2% 8% 20% 22% 23% 47% 55% 55%Orbitz Worldwide, Inc. 9.63 76% 1,052 1,280 2% 9% 5% 14% 17% 18% NM 38% 33%Overstock.com Inc. 29.67 85% 709 624 4% 16% 8% 3% 3% 4% 52% 57% 61%LightInTheBox Holding Co., Ltd. 11.85 53% 599 497 72% 53% 50% (1%) 5% 7% NM 84% 97%Blue Nile Inc. 40.93 99% 514 468 15% 14% 12% 3% 5% 6% 61% 44% 45%Median 95% $2,137 $2,143 21% 16% 17% 18% 22% 23% 47% 55% 56%Mean 90% $18,720 $18,737 26% 19% 17% 19% 22% 23% 41% 54% 56%

Public Company Operating Metrics (cont.)


18

Internet IPOs

Note: $ in Millions. Data as of 9/30/13. Revenue and EBITDA multiples greater than 25x and 100x, respectively, are deemed non-material (“NM”). Source: Capital IQ as of 9/30/13

IPO DateDays on

FileCompany EV

IPO Amt

Raised

Market

CapEV / Rev

EV /

EBITDA

Rev Grwth

at IPO

NTM Rev

Growth

Net Cash

at IPO

IPO Offer

Price

File to

Price Chg

Primary

Shares

Current

Price

Chg Since

IPOBusiness Description

Internet and Digital Media09/20/13 35 Rocket Fuel $1,005 $116 $1,121 6.3x NM 257% NM $0 $29 -- 100% $54 85% DSP Ad Network08/06/13 35 YuMe 262 46 308 2.0 33.3 93% 31% 23 9 (25%) 100% 11 18% Digita l video advertis ing07/18/13 31 Retai lMeNot 832 191 1,023 4.9 13.1 110% 28% 74 21 -- 50% 36 69% Onl ine coupons06/26/13 34 Tremor Video 467 75 542 4.1 NM 25% 30% 26 10 (9%) 100% 9 (8%) Video advertis ing06/05/13 59 LightInTheBox 386 91 477 1.6 79.0 89% 51% 18 10 -- 100% 12 25% Ecommerce03/04/13 286 Profess ional Divers i ty Network 30 21 51 4.8 11.6 10% NM 2 8 (20%) 100% 5 (42%) Profess ional networking s i te02/14/13 34 Xoom 481 101 582 6.0 NM 60% 30% 45 16 7% 83% 32 99% C2C money transfer11/20/12 36 YY Inc. 12,060 94 12,154 NM NM 444% 78% 51 11 -- 100% 47 346% Chinese socia l network09/19/12 33 Trul ia 494 117 611 9.6 NM 159% 53% 90 17 6% 87% 47 177% Real estate and rental s i te05/17/12 106 Facebook 73,865 16,007 89,872 18.3 34.7 105% 30% 3,910 38 -- 43% 50 32% Socia l network03/28/12 83 Mil lennia l Media 933 152 1,086 9.0 NM 117% 89% 17 13 -- 90% 7 (46%) Mobi le advertis ing and monetization03/01/12 105 Yelp 879 107 987 10.6 NM 74% 49% 22 15 7% 99% 66 341% Restaurant guide02/23/12 181 Bazaarvoice 664 131 795 7.1 NM 143% 32% 12 12 20% 96% 9 (24%) Ecommerce network02/17/12 177 Brightcove 264 63 328 4.2 NM 45% 22% 10 11 -- 100% 11 2% Video hostingMedian 48 $579 $104 $703 6.0x 33.3x 99% 32% $23 6% 100% 28%Mean 88 $6,616 $1,237 $7,853 6.8x 34.3x 124% 43% $307 (2%) 89% 77%

19

Vista Point Advisors Overview

Mike Lyon

415.659.9187

[email protected]

Jeff Bean

415.659.9190

[email protected]

Morgan Livermore

415.501.9029

[email protected]

Vivek Goyal

415.692.6163

[email protected]

David Cho

415.547.8440

[email protected]

Miles Lacey

415.659.9278

[email protected]

Eddie Le

415.659.9191

[email protected]

Scott Austin

415.547.8437

[email protected]

Jeffrey Koons

415.659.9189

[email protected] 90 New Montgomery, Suite 700

San Francisco, CA 94105

• SaaS

• On-premise

• Application Software

• Healthcare IT

• Financial Tech

• Advertising and Marketing

• Digital Media

• Gaming

• Content

• Ecommerce

• Consumer Applications

• Enterprise Applications

• Gaming

• Payments

Software Internet Mobile

Vista Point Advisors is a boutique investment bank focused on capital raises and M&A advisory for growing technology companies

internet industry update q3 2013 - vista point...

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