MERGE BRIEFING
Manchester, 27 November
2
Corum Speaker
Executive leader with 30+ years of expertise in
defining operational strategies.
Co-Founder & CEO of Cogniti Inc.
Former Managing Director and EVP of Software
Artistry
Former President of EMEA SSA Global
Former President of EMEA of Torex Holdings
Background includes successful endeavours in
EMEA, USA, Singapore, Australia, Russia, Brazil,
Argentina and SA.
Attended Harvard Business School
Peter Prince
Senior Vice President
3
Partial Co-Sponsor List
4
Global Presence 60% of transactions cross border
5
Research
Education
Valuation
World Tech M&A Leaders
6
Unsurpassed Buyer Access
Corum Buyer
Knowledgebase
Engagements
Internal
Research
External
Research
Education
Outside
Events
Transactions
Outside
Advisors
(WTC)
7
Detailed, professional
process
Team approach
Most senior
dealmakers
World Technology
Council
Sold more software-related firms than anyone
Achieving an Optimal Outcome
8
SPAIN / USA
USA / USA
NETHERLANDS / USA
NETHERLANDS / NETHERLANDS
GERMANY / GERMANY
USA / USA
Corum Recent Transactions
9
SWITZERLAND / USA
FINLAND / GERMANY
NETHERLANDS / USA
USA / USA
Corum Recent Transactions
10
AUSTRALIA / AUSTRALIA
USA / JAPAN
UK / CHINA
CANADA / CHINA
ITALY / AUSTRIA
KOREA / USA
Corum Recent Transactions
11
Agenda
Market Perspective
Top 10 Disruptive Technology Trends
M&A Activity & Valuations
Factors Driving Tech M&A
Achieving an Optimal Outcome
Avoiding Deal Disasters
Closing Thoughts
12
TOP TEN
DISRUPTIVE TRENDS
13
Leveraging Corum's Unique Position
Top 10 Disruptive
Technology Trends
1000s of
Buyer
Interactions
(Deals)
1000s of
companies
(Education)
1000s of
industry
transactions
(Research)
14
Why worry about these trends?
1. Trends create change
2. Change drives strategic imperative
3. Strategic imperative drives acquisitions
4. Well-positioned companies get sold
Are you part of any of these trends?
15
Corum Top Ten Technology Trends 2018
AI
Enablement
Composite
Commerce
IoT
Software
Digital Currency
Flow
Data Science
Monetization
Focused IT
Services
Smart
Logistics
Connected
Health
Regtech
Systems
Data
Security
CORECONTOUR
16
#1: AI Enablement
Putting AI to work by means of big data and feedback
Machine learning systems
need data & feedback loops.
Major AI platforms have
prioritized foundational
loops: search, language,
images, speech, etc.
Significant value lies in
unexploited feedback loops
and unique datasets.
Use cases exist across all
sectors, with deeper,
defensible niches more
valuable.
Corum Top Ten Disruptive Technology Trends 2018
17
A new generation of online/offline convergence
#2: Composite Commerce
Corum Top Ten Disruptive Technology Trends 2018
Technology and traditional in-
person commerce has been
coalescing for decades.
Amazon/Whole Foods
exemplified the phenomenon,
sparking new levels of
awarenessand deals.
Force multiplier for:
Online exchanges
Omnichannel sales/marketing
Visual intelligence systems
Smart Logistics
AR/VR
Much more
18
Emerging platforms, standards & analytics
#3: IoT Software
Even in the Internet of Things,
the value of code outstrips
the value of hardware.
Each 'thing' needs integrated
platforms, communication,
analytics, AI, security, etc.
Competing platforms and
associated ecosystems are
beginning to coalesce.
Defensible solutions to critical
problems provide a path to
significant M&A value.
Corum Top Ten Disruptive Technology Trends 2018
19
Decreasing friction in payments & exchange
#4: Digital Currency Flow
Blockchain is grabbing headlines,
but the key to the trend is
decreasing transaction friction.

Includes alternative currencies;
not just crypto, but in-game
tokens, Starbucks cards, airline
miles, other loyalty programs, etc.
Digital transformation is driving
major consolidation in payments
space from megadeals on down.
Small efficiency improvements
with potential to scale make
attractive M&A targets.
Corum Top Ten Disruptive Technology Trends 2018
20
Maximizing return with real-time analytics
#5: Data Science Monetization
Proactive monetization is a more
valuable use of data science than
cost cutting & efficiency gains.
Robust analytic tools are no longer
optional, especially for consumer-
facing companies.
Game companies are leading the
way, with video ads close behind
and new opportunities in retail,
B2B value pricing, and beyond.

In a world of freemium, free-to-play
and declining ad effectiveness,
proven ability to turn users into
dollars is a valued asset.
Corum Top Ten Disruptive Technology Trends 2018
21
Differentiation drives new value in a sleepy sector
#6: Focused IT Services
Service firms specializing in a
technology, sector or problem
are seeing increased value.

Intricate platforms require
particular expertise for
application, maintenance, and
extension of tech stacks.
Buyers value deep domain
knowledge as a driver of
defensible long-term customer
relationships.
Firms on the forefront of key
trends & high-value verticals
seeing particular interest.
Corum Top Ten Disruptive Technology Trends 2018
22
Moving things & people with a new level of efficiency
#7: Smart Logistics
Movement of physical objects
must increasingly keep pace with
the movement of data.
At the convergence of trends in
AI, latent capacity utilization,
ecommerce, consumer demand.

Impact beyond traditional SCM,
in multiple verticals including:
Transportation
Manufacturing
Construction
Agriculture
Corum Top Ten Disruptive Technology Trends 2018
23
Linking people to their health services & data
#8: Connected Health
Technical, regulatory and
demographic changes drive
shift from system-centric to
patient-centric health IT.
Patients demand consumer-
grade connections to data
and providers.
Providers need tools that
help them compete.
Notable demand for
telemedicine, patient
engagement, mobility &
transparency solutions.
Corum Top Ten Disruptive Technology Trends 2018
24
Letting computers keep up with compliance
#9: Regtech Systems
The complexity of dealing with
regulatory change is increasing.
Rules in software becoming
intrinsic to laws, mandates &
agreements.
Solution sets backed by legal
requirements draw significant
acquirer interest.

Interconnected regulatory
systems make consolidation of
point solutions particularly
attractive.
Corum Top Ten Disruptive Technology Trends 2018
25
Building barriers in an age of blurred lines
#10: Data Security
New technologies creating new
risks from freer flowing data.
High impact breaches & attacks
(Equifax, Uber, WannaCry)
drive broad recognition of
security needs.
Dominant trend is anti-malware,
especially automation and AI-
enabled tools.
The Internet of Things opened
a new front, from IoT botnets to
hijacked smart speakers.
Corum Top Ten Disruptive Technology Trends 2018
26
MARKET OVERVIEW
VALUATIONS
27
$3
Trillion
$1
Trillion
Cash Available for Acquisitions
Strategic Tech
Buyers
Private Equity
28
Top Strategic Acquirers 2017
32
27
18
13
13
12
12
12
12
12
12
11
11
29
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
Top Private Equity Acquirers 2017
38
28
23
21
17
16
16
15
15
14
14
14
13
12
30
Horizontal Application Software Market
Public Valuation Multiples
1.50 x
2.00 x
2.50 x
3.00 x
3.50 x
4.00 x
4.50 x
5.00 x
5.50 x
6.00 x
6.00 x
8.00 x
10.00 x
12.00 x
14.00 x
16.00 x
18.00 x
20.00 x
22.00 x
24.00 x
EV/S
EV/EBITDA
Oct-17
Nov-17
Dec-17
Jan-18
Feb-18 Mar-18
Apr-18 May-18
Jun-18
Jul-18
Aug-18
Sep-18
Oct-18
EV/EBITDA 21.12 x
20.23 x
20.56 x
20.78 x
19.66 x
19.25 x
19.18 x
19.65 x
19.73 x
21.01 x
22.35 x
22.46 x
22.16 x
EV/S
4.35 x
4.30 x
4.33 x
4.60 x
4.47 x
4.51 x
4.57 x
4.75 x
4.75 x
5.03 x
5.28 x
5.32 x
5.32 x
31
Subsector
Sales
EBITDA
Examples
Business
Intelligence
4.05x
23.63x
Marketing
5.06x
23.54x
CRM
7.31x
95.06x
ERP
4.68x
18.08x
Human
Resources
7.10x
37.04x
SCM
5.72x
28.59x
Payments
5.33x
24.03x
Other
3.44x
20.00x
Horizontal Application Software Valuations
32
Vertical Application Software Market
Public Valuation Multiples
1.50 x
2.00 x
2.50 x
3.00 x
3.50 x
4.00 x
4.50 x
5.00 x
5.50 x
6.00 x
6.00 x
8.00 x
10.00 x
12.00 x
14.00 x
16.00 x
18.00 x
20.00 x
22.00 x
EV/S
EV/EBITDA
Oct-17
Nov-17
Dec-17
Jan-18
Feb-18
Mar-18
Apr-18
May-18
Jun-18
Jul-18
Aug-18
Sep-18
Oct-18
EV/EBITDA 18.47 x
19.87 x
19.89 x
20.43 x
19.70 x
18.31 x
19.29 x
20.25 x
20.62 x
20.46 x
20.48 x
19.93 x
18.05 x
EV/S
5.15 x
4.88 x
5.31 x
5.35 x
4.82 x
4.67 x
4.50 x
4.72 x
4.76 x
4.74 x
4.96 x
4.97 x
4.36 x
33
Subsector
Sales
EBITDA
Examples
A/E/C
7.92x
26.89x
Automotive
4.05x
15.33x
Energy &
Environment
2.62x
13.96x
Financial
Services
6.22x
20.17x
Government
2.01x
13.34x
Healthcare
3.55x
25.78x
Real Estate
4.24x
18.05x
Vertical Other
3.03x
15.58x
Vertical Application Software Valuations
34
Consumer Application Software Market
Public Valuation Multiples
1.00 x
1.50 x
2.00 x
2.50 x
3.00 x
3.50 x
4.00 x
4.50 x
5.00 x
7.00 x
9.00 x
11.00 x
13.00 x
15.00 x
17.00 x
19.00 x
21.00 x
EV/S
EV/EBITDA
Oct-17
Nov-17
Dec-17
Jan-18
Feb-18 Mar-18
Apr-18 May-18
Jun-18
Jul-18
Aug-18
Sep-18
Oct-18
EV/EBITDA 14.49 x
16.65 x
18.01 x
18.88 x
18.64 x
19.04 x
17.90 x
16.90 x
17.76 x
17.72 x
17.35 x
19.07 x
16.25 x
EV/S
2.63 x
2.91 x
3.89 x
3.93 x
3.46 x
4.04 x
3.56 x
3.30 x
3.21 x
3.08 x
3.12 x
3.22 x
2.84 x
35
Subsector
Sales
EBITDA
Examples
Casual Gaming
2.84x
17.07x
Core Gaming
2.86x
9.69x
Other
1.78x
79.87x
Consumer Application Software Valuations
36
Internet Market
Public Valuation Multiples
1.00 x
1.50 x
2.00 x
2.50 x
3.00 x
3.50 x
4.00 x
4.50 x
5.00 x
5.50 x
7.00 x
12.00 x
17.00 x
22.00 x
27.00 x
32.00 x
EV/S
EV/EBITDA
Oct-17
Nov-17
Dec-17
Jan-18
Feb-18
Mar-18
Apr-18
May-18
Jun-18
Jul-18
Aug-18
Sep-18
Oct-18
EV/EBITDA 26.95 x
25.76 x
26.58 x
28.79 x
21.30 x
18.16 x
21.77 x
21.09 x
22.44 x
22.28 x
18.84 x
18.61 x
16.55 x
EV/S
4.89 x
4.11 x
4.64 x
4.78 x
4.76 x
4.84 x
4.37 x
4.26 x
4.11 x
4.09 x
4.58 x
4.47 x
3.85 x
37
Subsector
Sales
EBITDA
Examples
Diversified
Internet
4.35x
16.56x
eCommerce
0.52x
22.09x
Social Network
7.61x
13.91x
Travel & Leisure
5.98x
20.28x
Internet Application Software Valuations
38
Infrastructure Software Market
Public Valuation Multiples
2.00 x
2.50 x
3.00 x
3.50 x
4.00 x
4.50 x
5.00 x
5.50 x
6.00 x
8.00 x
10.00 x
12.00 x
14.00 x
16.00 x
18.00 x
20.00 x
EV/EBITDA
EV/S
Oct-17
Nov-17
Dec-17
Jan-18
Feb-18 Mar-18
Apr-18 May-18
Jun-18
Jul-18
Aug-18
Sep-18
Oct-18
EV/EBITDA 14.66 x
16.09 x
18.15 x
18.22 x
16.23 x
15.90 x
16.39 x
17.13 x
16.92 x
17.06 x
17.75 x
17.67 x
17.75 x
EV/S
3.95 x
4.09 x
4.44 x
4.78 x
4.84 x
5.02 x
4.98 x
4.87 x
4.80 x
4.78 x
4.88 x
5.01 x
4.43 x
39
Subsector
Sales
EBITDA
Examples
Endpoint
3.79x
17.24x
IT Services
Management
4.49x
15.28x
Network
Management
3.82x
13.50x
Security
6.94x
32.31x
Storage
& Hosting
3.29x
43.83x
Other
4.48x
10.70x
Infrastructure Software Market
40
IT Services Developed Markets
Public Valuation Multiple
0.40 x
0.60 x
0.80 x
1.00 x
1.20 x
1.40 x
1.60 x
5.00 x
6.00 x
7.00 x
8.00 x
9.00 x
10.00 x
11.00 x
12.00 x
13.00 x
14.00 x
EV/S
EV/EBITDA
Oct-17
Nov-17
Dec-17
Jan-18
Feb-18
Mar-18
Apr-18 May-18
Jun-18
Jul-18
Aug-18
Sep-18
Oct-18
EV/EBITDA 12.86 x
12.26 x
12.21 x
12.96 x
12.32 x
12.15 x
12.31 x
12.16 x
11.94 x
12.90 x
12.87 x
12.88 x
11.02 x
EV/S
1.36 x
1.34 x
1.31 x
1.53 x
1.32 x
1.34 x
1.38 x
1.32 x
1.18 x
1.31 x
1.34 x
1.32 x
1.22 x
41
IT Services Emerging Markets
Public Valuation Multiples
0.40 x
0.90 x
1.40 x
1.90 x
2.40 x
2.90 x
3.40 x
3.90 x
5.00 x
7.00 x
9.00 x
11.00 x
13.00 x
15.00 x
17.00 x
19.00 x
21.00 x
23.00 x
25.00 x
EV/S
EV/EBITDA
Oct-17
Nov-17
Dec-17
Jan-18
Feb-18
Mar-18
Apr-18
May-18
Jun-18
Jul-18
Aug-18
Sep-18
Oct-18
EV/EBITDA 21.18 x
23.26 x
22.67 x
23.09 x
21.70 x
22.02 x
21.30 x
20.22 x
22.01 x
20.61 x
22.04 x
21.93 x
19.64 x
EV/S
3.40 x
3.55 x
3.71 x
3.33 x
3.32 x
3.20 x
3.22 x
3.27 x
3.44 x
3.61 x
3.70 x
3.66 x
3.26 x
42
Subsector
Sales
EBITDA
Examples
Developed
1.22x
11.02x
Emerging
3.26x
19.64x
IT Services Valuations
43
Since November 2017
303 announced Tech Deals
Deal size *ranges from sub 0.1M - 4.0B for disclosed
amounts; Median is 20M
Revenue multiples range from 0.2x 10.5x for disclosed
amounts
31% of sellers offered a SaaS platform
57% of deals had international buyers
Key Markets:
ERP; content creation and management; security software
Key Verticals:

Insurance software and services; financial services
Education
UK and Ireland Sellers Brief Overview
* for published deal values
44
Deal Spotlights
Dovetail Digital [London] acquired by EMIS Group [Leeds] Nov. 2018
Transaction value: 1.5 million
Blockchain-based data management software for healthcare patients and providers
Rant & Rave [Coventry] acquired by Upland Software [USA] Oct. 2018
Transaction value: 50 million
Customer and employee analytics and engagement SaaS
MetaPack [London] acquired by Stamps.com [USA] Jul. 2018
Transaction value: 174.1 million; 4.5x revenue
Parcel shipping and tracking management SaaS
Avecto [Manchester] acquired by Bomgar Corporation [Francisco Partners] [USA]
Jul. 2018
User privileged access management (PAM) and privileged identity management (PIM) software
NCC Group (Web performance division) [Manchester] acquired by Eggplant [Carlyle
Group] [USA] March 2018
Transaction value: 7.5 million
Web performance division of NCC, offering AI-enabled application performance monitoring SaaS
45
Deal Spotlights
Keywords Studios [Ireland] bought 4 gaming-related firms in England:
The TrailerFarm [Brighton] September 2018
Transaction value: 1 million
Online video trailers for the marketing of video games
Studio Gobo [Hove] August 2018
Transaction value: 15 million
Outsourced video game development services
Fire Without Smoke [London] May 2018
Transaction value: 4.7 million
Digital and traditional marketing services for the video game sector
Cutting Edge Group (music-focused branding & services assets)
[London] April 2018
Transaction value: 4.5 million
Music-focused branding and services assets of Cutting Edge Group, which offers
music services for the film, television, gaming and advertising industries
46
1. Disruptive trends Strategic imperative to buy
2. Cash Strategic & financial buyers
3. Low cost debt for leveraged buyouts
4. Many new buyers (IPOs, non-tech)
5. Strong financial markets
5 Reasons Tech M&A Will Remain Strong
47
1. Geopolitical Disruption
2. Currency Crisis
3. Inflation Increasing
4. Rising Interest Rates
5. Stock Market Adjustment
6. M&A Cycle Ends
6 Global M&A Concerns
48
1. Consolidation of Market Segment
2. Game-changing Tech Paradigm Shift
3. Personal/Partner/Management Health
4. Conflict Founders/Investors/Personal
5. Litigation/Negligence/Criminal Acts
6. Death or Incapacitation
6 Personal/Company M&A Concerns
49
M&A Follows Cycles
1995
2000
2005
2010
2015
2005
2010
2018
50
ACHIEVING AN
OPTIMAL OUTCOME
51
Buyer
Seller
The Inherent Problem in M&A
Price
Structure
Liabilities
Taxes
Non Competes
You will be diametrically opposed on everything
while negoiating with your future boss
52
More time regulatory & compliance environment
More tasks than people realize
Busy buyers reviewing 100s of opportunities
More & tougher outside professionals
More complex due diligence required
Not just a checklist collaborative process
Deal fatigue Letter of Intent (LOI) to close
The M&A Process is Tougher
53
Your Goal: an Optimal Outcome
54
Valuation
Maximization
55
55
Creating the best transaction
structure
56
Minimizing
personal liability/risk
57
Reducing tax
liability and holdbacks
58
Structuring ideal
employment/non-competes
59
Providing for
proper integration
60
8 Stages for an
Optimal Outcome
Integration
Closing
Due
Diligence
Negotiation
Discovery
Contact
Research
Preparation
61
Stage 1: Preparation
Integration
Closing
Due
Diligence
Negotiation
Discovery
Contact
Research
Preparation
Set tasks, timeline
Allocate staff resources
Conduct internal due diligence
Compile business/marketing plan
Ready financials/projections
Ready presentation materials
Begin collecting due diligence materials
62
Stage 2: Research
Integration
Closing
Due
Diligence
Negotiation
Discovery
Contact
Research
Preparation
Prepare buyers list (A&B level, financial, non tech)
Perform strategic analysis on each buyer
Prepare preliminary valuation
Determine proper contact (Execs, EA's, advisors)
Outside advisor/board/investor influencers
Prepare position statement for each buyer
63
Stage 3: Contact
Integration
Closing
Due
Diligence
Negotiation
Discovery
Contact
Research
Preparation
Create introductory correspondence
Draft/customize executive summary
Execute NDAs and non-solicitations
Screen initial interest, valuation expectations
Establish log on all communications
Refine position/process based on feedback
64
Stage 4: Discovery
Integration
Closing
Due
Diligence
Negotiation
Discovery
Contact
Research
Preparation
Coordinate conference calls, site visits, and meetings
Establish technology review process
Prepare formal valuation report
Develop synergy and contribution analysis
Set up NDA with customers, contractors, etc.
Finish due diligence on buyer
65
Stage 5: Negotiation
Integration
Closing
Due
Diligence
Negotiation
Discovery
Contact
Research
Preparation
Organize and host final visits
Provide structure & valuation guidance
Create an auction environment
Negotiate with top bidder(s)
Sign Letter of Intent (L.O.I.)

Inform other bidders of No Shop
66
Stage 6: Due Diligence
Integration
Closing
Due
Diligence
Negotiation
Discovery
Contact
Research
Preparation
Verification of financial statements/projections
Determine if outside advisors/opinions needed
Establish confidential data room
Technical/Legal/Ownership due diligence
Written explanation of business model/methodologies
Complete definitive agreement/ attachments
67
Stage 7: Closing
Integration
Closing
Due
Diligence
Negotiation
Discovery
Contact
Research
Preparation
Final reps & warranties
Determine escrow hold-backs
Final opinion(s)
Sign contracts
Arrange payment/distribution
Regulatory filings
Disclosure schedules
68
Stage 8: Integration
Integration
Closing
Due
Diligence
Negotiation
Discovery
Contact
Research
Preparation
Advanced planning during negotiation
Determine synergies
Best practices analysis

Interim transition team
Employee retention plan
Set up monitoring/reporting
69
1 to 5+
offers
1 to 5+
20 to 200
global buyer
candidates
20 to 200
3 to 8
qualified
parties
5 to 15
NDAs
Optimal Outcome by the numbers
700 to 1000
communications
of various kinds
700 to 1000
10 to 30
expressions
of interest
10 to 30
5 to 15
3 to 8
70
With a Professional Global Search
9 12 months
required to complete because of workload,
regulatory & compliance concerns, third party
due diligence (DD) investigations and buyer
organizational complexity.
you can generate interest very quickly, but buyers
are constrained in how fast they can move.
71
Resell/License
Do you want to buy
my company?
J.V./Alliance
M&A Uniquely Allows Entry to Top Execs
CEO
MKT
FIN
MANF
DIV
DIV
DIV
DIV
DIV
DIV
DIV
DIV
DIV
The only time you can go straight to the top
72
5 Major Benefits of a Professional Process
Model
The
preparation
process will
help forge a
better
business
model for
your firm
1
Research
Your
strategic
position will
improve from
the research/
positioning
process
2
Market
Feedback
Buyer
contact will
provide
invaluable
data/insights
to help
improve your
value
3
Relation-
ships
Not everyone
is a buyer,
but you open
many doors
which will
yield
business
4
Exit
The merger,
asset sale, or
financial
recap of your
company
5
72
Any of these benefits will
justify the time and expense
of a global partner search.
73
74
Sold again in 2 years for $100 million (6x)
75
Sold for $56M (.6x) missed the window
Market cons lidatedCompany A bought Company B!
76
AVOIDING THE
DEAL DISASTERS
77
Lessons From Experience
This M&A process workload and pitfall analysis is based
on data supplied by the World Technology Council
(WTC), Corum's 500-member advisory board of past
sellers, industry experts, buyers and investors.
Top 60 Documents and Projects
Top 6 Value Destroyers
Sellers' Single Biggest Mistake
Top 10 Deal Killers
78
Corporate Preparation
Business Plan
Marketing Plan
Org Chart
Staff Bios
NDA
Non Solicitation
Executive Summary

Introduction Letter
Financials (3 years)
Recast Financials
Financial Package
3 Year Projections
Pipeline Analysis
Lead Process
Pricing Analysis
Market Research
Competitive Research
Buyer Research

Ind. Buyer Strategy
Top 60 Documents & Projects (1-20)
Items in RED require professional skills, confidential M&A data, inside buyer
knowledge, extensive transaction experience, or outside advisors
79
Corporate Presentation
Comparable Transactions

Industry Comps
DCF Analysis
Replacement Cost
Terminal Value
Valuation Report
All Agreements
All Litigation Threats
Shareholder Qualification
HR Needs
Audit
Activity Log
Terms Sheet(s)
Synergy Analysis
Dilution Analysis
Tax Analysis
Taxable Assets
Negotiation
LOI
Top 60 Documents & Projects (21-40)
Items in RED require professional skills, confidential M&A data, inside buyer
knowledge, extensive transaction experience, or outside advisors
80
Stand Still Prep.
Outside Opinions
DD Checklist
DD Timeline
Merger Agreement
Asset Schedule
Fairness Opinion
Employ. Agreement
Non Competes
Patent Analysis
Customer Overview
Client Sign-off
Bulk Sale
Sovereign Approval
Proxies
Security Agreements
Registration
Shareholder Exp. Distr.
Announcements

Integration Process
Top 60 Documents & Projects (41-60)
Items in RED require professional skills, confidential M&A data, inside buyer
knowledge, extensive transaction experience, or outside advisors
81
1. Confidentialityinternal/external
2. Theft of technology
3. Loss of staff (non-solicitation)
4. Wear on CEO/management
5. Business drop-offlack of focus
6. Going to market too late
Top 6 Value Destroyers
82
They are trying to lock you up
Often demand exclusive negotiations
Don't want you talking to others
Want to pay less than true value
Remember your fiduciary obligation!
Seller's biggest single mistake
dealing with only one buyer
83
Top 10 Deal Killers
1. Dealing with only one buyer
2. Misalignment: shareholders/empl/mgmt
3. Contact at the wrong level
4. Improper research of potential buyers
5. Misunderstanding buyer process/models
84
Top 10 Deal Killers
6. Inability to portray value properly
7. Improper due diligence preparation
8. Not qualifying buyers properly
9. Not orchestrating all buyers properly
10.Ego Greed Arrogance
85
THE MOST IMPORTANT TRANSACTION OF YOUR LIFE
CLOSING THOUGHTS
86
This seller
is serious.
Leverage using a Professional Intermediary
I may not
be the only
bidder.
Potential
Acquirer
Seller
Intermediary
Wonderful
if I buy you,
terrible if I
don't.
87
Tech M&A Guideline Percentages
Buyer solicitations that result in transaction
Average improvement from first offer with an
auction process
How often another firm is willing to pay more
than the initial bidder
Deals involving only one bidder that are
suboptimal
Failure rate in "self-managed" tech M&A
88
After the Deal Celebration
89
Contact Information
Visit our website at: www.corumgroup.com
Corum Group International
S..r.l.
Buechenstr. 9
8185 Winkel
Switzerland
+41 43 888 7590
Peter Prince, Sr. Vice President
London Office
Email: peterp@corumgroup.com
Office: +44 20-7661-8961
Mobile: +44 (0) 776 666 1429