1
Q4 2020
Sector
Update
Software
Important disclosures appear at the back of this report
GP Bullhound LLP is authorised and regulated by the Financial Conduct Authority
GP Bullhound Inc is a member of FINRA
2
Apaczka
ACQUIRED BY
Abris Capital
iCIMS
GP Bullhound is a leading technology advisory and investment firm highly focused on the SaaS sector.
After a tumultuous year punctuated by macro events that affected us all, we enter 2021 hopeful that there may be an end in sight to the pandemic.
COVID-19 has completely altered the landscape in which we live and work, and that has had a profound impact on the software ecosystem.
There were clear winners and losers from a vertical standpoint. However, the shift to digital that came from becoming more 'remote' and 'virtual' is
here to stay, and software companies are set to be the big beneficiaries of this trend. We saw deal activity pick-up significantly in Q3 and Q4 2020,
representing the bullish outlook of many software businesses keen to add products and services that will build-out their offerings in the new world we
live in. Salesforce's acquisition of Slack is the best example of this, bringing a COVID-19 winner into the Salesforce ecosystem and building out its
platform of cloud offerings designed to keep customers using more Salesforce products for longer.
We expect significant appetite for inorganic growth in 2021 as public valuations continue to increase, leading to more affordable deals and private
companies raising larger rounds to capitalise on COVID-19 tailwinds. We also expect to see a number of SaaS businesses go public to capitalise on
soaring investor demand and public valuations, with companies such as UiPath, Thoughtspot and Databricks looking to ride the digital transformation
mega trend. Assuming we continue to progress in an efficient manner towards the end of COVID-19, 2021 could be a blockbuster year for SaaS and
enterprise software companies globally.
Software perspectives
EXECUTIVE SUMMARY
EasyRecrue
ACQUIRED BY
Oxbotica
INVESTMENT BY
bp ventures
AllyO
ACQUIRED BY
HireVue
Sendinblue
INVESTMENT BY
Bridgepoint
Development & BPI
SilverTree Equity
Orbus Software
ACQUIRED BY
Nielsen Social
ACQUIRED BY
Talkwalker
Recent GP Bullhound credentials
3
Key sector takeaways
SaaS CEO commentary
1
Contents
2
Recent software transaction trends
Public market SaaS analysis
Key SaaS metrics
Appendix A: GP Bullhound SaaS index
3
4
5
6
Appendix B: Software public comparables by category
7
Appendix C: GP Bullhound credentials & team
8
Appendix D: GP Bullhound corporate overview
9
4
Section 1
Key sector takeaways
5
GP Bullhound’s views on current trends in software
KEY TRENDS
Big data gets a synthetic makeover
2
SMBs undergo radical digital transformation
3
Embedded analytics democratises data insights
4
Enterprises go serverless
5
Privacy takes precedence
1
6
GP Bullhound’s views on current trends in software
KEY TRENDS
▪ Concerns about user data privacy and security have been exacerbated by recent events at the highest levels of government and
technology. Recently introduced legislation and associated watchdog groups have taken aim at tech giants, with lawsuits and fines
becoming a common occurrence. In December, France issued more than $163m in fines against Google and Amazon over alleged
storing of personal data for advertising purposes on users’ computers without their knowledge or consent.
▪ Transparency regarding data collection and use will be a primary concern for software companies going forward. The
implementation of privacy measures in the development process, such as Privacy By Design (PbD), could become quite costly and
conflict with existing software engineering philosophies, such as DevOps.
▪ Software that relies on user data may have to be retrofitted to meet new privacy standards or pivot completely. Required disclosures
of data collection and use may also alter the quality of data collected or encourage users to go elsewhere altogether.
Sources: AP News, Krebson Security, Markets and Markets, MIT, TechCrunch, USA Today, Unite, Varonis, Wired, and The Wall Street Journal (as of 13 January 2021)
Big data gets a synthetic makeover
▪ Enterprises have invested heavily in big data over the past few years. This practice has come under scrutiny recently due to data
security concerns as well as increasing data storage costs. We believe that there will be a drastic change in the big data market that
is poised to grow by ~$91bn in 2020-2025 at an ~11% CAGR.
▪ Businesses that traditionally collected masses of data have begun to embrace new tools that allow them to mitigate security
concerns and data storage costs. One of these tools is synthetic data, which is a system that creates representative data sets from
much larger data sets. This synthetic data has the same mathematical and statistical properties as the original data set but at a
significantly smaller size.
▪ Synthetic data has two main benefits: it increases privacy, as actual user data is not used; and the load on infrastructure is reduced
greatly, as large masses of data do not need to be sent around the enterprise.
2
Privacy takes precedence
1
7
GP Bullhound’s views on current trends in software
KEY TRENDS
SMBs undergo radical digital transformation
▪ The COVID-19 pandemic has forced many small businesses to adopt software tools as they look for solutions to increase productivity
amid a difficult business climate.
▪ The Salesforce Small and Medium Business Trends report noted that digital-forward SMBs are better prepared for volatility in the
market as now more than half (55%) of businesses in the report credit technology as the driving force behind customer interactions.
▪ The overwhelming majority of consumers polled in the Salesforce report (88%) expect companies to accelerate digital initiatives due
to COVID-19, and 33% of SMB leaders said that the pandemic has accelerated their digitisation initiatives. These significant shifts in
consumer preferences and the broader digital ecosystem indicate that small businesses are likely to further digitally transform their
businesses to keep up with consumer preferences.
Sources: Allied Research, Business Insider, Finextra, KPMG, TechCrunch, TechTarget, and Verified Market Research (as of 13 January 2021)
Embedded analytics democratises data insights
▪ As companies strive to become data-driven in every sense of the term, the need to make well-informed, accurate business decisions
easier for all end-users has never been greater.
▪ Embedded analytics has become one of the leading solutions in the market, helping businesses generate critical insights faster and
more easily. It provides a highly accessible tool for data visualisation that lives within a business application/BI tool for a simple, yet
comprehensive, view of any data source. Removing the need for supplemental software allows end-users to live in a single
application while reducing the level of complexity involved with data curation.
▪ With a global market size of $39bn in 2020, the usage of embedded analytics is expected to increase to $102bn by 2027 with the
need for greater accessibility to customers and internal data across an organisation.
3
4
8
GP Bullhound’s views on current trends in software
KEY TRENDS
Enterprises go serverless
Sources: Amazon, Container Journal, and Security Boulevard (as of 13 January 2021)
5
▪ Many organisations lack the resources to properly deploy and maintain servers. In a time when convenience, agility and cost
efficiency from an IT standpoint are more important than ever, many infrastructure providers have seized the opportunity to take on
this burden and enable what is now known as ‘serverless computing’.
▪ This relatively recent development has been well received - the market is estimated to hit $21bn by 2025 thanks to an increasing
number of companies in the lower and middle markets that are opting to switch to this model.
▪ While serverless computing is something of a misnomer (servers are still involved), it allows companies to offload many of the costs,
activities and bottlenecks associated with deploying and maintaining servers. This means companies can save money, respond to
change faster, and focus on what they do best - developing and distributing software.
9
Section 2
SaaS CEO commentary
10
CPOMS
SAFEGUARDING, PASTORAL AND WELLBEING SOFTWARE PLATFORM KEEPING CHILDREN SAFE
John Wild
CEO
1.
Why is the CPOMS solution needed today?
Digitization in education is key to delivering a better but also more
efficient education. In most schools, recording and monitoring child
protection, safeguarding and wider pastoral care for children is still
mainly manual or paper-based. CPOMS enables a more rigorous and
data-driven approach, freeing up school staff to focus on teaching
and providing greater safety for children.
2.
What are the key benefits that your customers are seeing?
CPOMS’ software platform is an all-encompassing safeguarding
solution that is very intuitive and solves a key pain point for schools.
Apart from minimizing the administrative burden on school staff
through automation and reporting, the solution allows to build a full
profile on an individual and see the bigger picture to keep children
safe. CPOMS also enables digital knowledge sharing about children
between schools, resulting in more holistic and informed care.
3.
What are the next steps in the product evolution?
Our core product keeps evolving; however, we have also recently
launched CPOMS STAFFSAFE, which allows schools to capture
compliance and record welfare information on school personnel.
Q&A WITH MANAGEMENT
THE PLATFORM
To better protect children and assist with
the great work our schools are doing.
MISSION
Continue driving market penetration in the UK and increased focus
on internationalization. Provide a holistic software solution to keep
children and staff safe.
LONG-TERM VISION
More than 13,500 schools across the UK, Europe,
North America and Asia use the CPOMS platform,
with the growth in the number of schools at 230%+
over the past three years.
SCALE
11
Narrative Science
NEXT GEN DATA ANALYTICS AND STORYTELLING FOR BUSINESS USERS
Stuart Frankel
CEO
1.
Why is the Narrative Science solution needed today?
Every company is becoming a digital company, and data is the
foundation of this strategy. However, the business intelligence (BI)
tools we provide business users to consume and understand data
don’t work. These BI and analytics tools don’t work because they are
built for analysts, not business users. We built Lexio as the first
intelligent analytics tool for business users. If you can read, you can
use Lexio. No analysis, no searching, no frustration. Lexio is smart
enough to tell you what you need to know, when you need it, in a
way people understand - stories.
2.
What are the key benefits that your customers are seeing?
Our customers are seeing their teams making faster, more informed
decisions based on data. Business users are getting more relevant
insights through a consumer-like experience on any device. Analytics
teams are freed up from manual reporting and can spend more time
doing what they were hired to do. All of this happens by leveraging
our customers’ existing data investment, whether their data is sitting in
legacy data repositories or modern solutions like Snowflake, BigQuery,
and RedShift.
3.
What are the next steps in the product evolution?
We are making it easier for teams to collaborate and share insights
through Slack, Microsoft Teams, G-Suite, and voice-enabled
products, in addition to enhancing our mobile experience. We will
continue making Lexio more intelligent through investments in
advanced analytics and machine learning - expanding the volume
of business data Lexio turns
to stories.
Q&A WITH MANAGEMENT
THE PLATFORM
To make data understandable
for everyone.
MISSION
Our vision is a world where data insights come to everyone in a
simple, intelligent and universal way so anyone can drive change
through data-driven decisions.
LONG-TERM VISION
Over the past 10 years, our technology has written
millions of data stories for 100’s of customers,
including some of the world’s biggest brands such
as Mastercard, Johnson & Johnson, and USAA.
SCALE
12
Rafay
TURNKEY KUBERNETES & CONTAINER MANAGEMENT FOR ENTERPRISES
Haseeb Budhani
CEO
1.
Why is the Rafay solution needed today?
Modern applications are being orchestrated using a breakthrough,
open-source platform called Kubernetes. Making Kubernetes work
across the enterprise is a complex task that requires a massive
investment of time and manpower. Companies such as IBM/RedHat
(OpenShift) and SUSE (Rancher) have traditionally sold complex
software solutions to address this need, but these solutions take
months to operationalize and require enterprises to maintain large
DevOps teams even for a small number of applications. But now, the
number of modern applications is increasing significantly, and
enterprises are looking for a more cost-effective approach to
Kubernetes management that gets them to the finish line faster with
fewer expert-level resources. Rafay has entered this space with a
SaaS product that is the easiest-to-use, most secure Kubernetes
management platform in the market. Enterprise I&O teams use Rafay
to deliver modern app infrastructure automation in days without
needing large teams of Kubernetes experts.
2.
What are the key benefits that your customers are seeing?
Customers love the Rafay platform’s SaaS-based consumption
model, which has them up and running with new Kubernetes clusters
(on-prem or in the cloud) in a matter of minutes, not months. Because
the platform is built with infrastructure security in mind, security teams
are also usually major proponents of the solution.
3.
What are the next steps in the product evolution?
The platform continues to evolve to address critical I&O workflows
such as cluster backup/restore, vault integrations (e.g., with
Hashicorp Vault), and more. Over time, we see the platform evolving
to address compliance requirements around infrastructure and apps
that are being distributed across clouds, data centers, and the Edge.
Q&A WITH MANAGEMENT
THE PLATFORM
Be the leading SaaS-based solution that
enterprise infrastructure & operations
teams use to manage the lifecycle of
modern apps and modern
infrastructure.
MISSION
Address every aspect of the modern application DevOps toolchain
through an elegant automation framework that enterprise
infrastructure & operations teams can consume as a service to make
developers productive and happy, resulting in faster delivery of
modern applications to customers.
LONG-TERM VISION
Series-A company with ~50 employees.
The company has several publicly announced
enterprise customers and has also signed strategic
partnerships with Verizon and others.
SCALE
SaaS-First Approach
Zero-Trust Architecture
Deep Interop with EKS, AKS &
GKE
Fleet Management for Cloud &
Edge
Gitops-based App
Deployment
Turnkey Enterprise Integrations
24/7 Enterprise Support
13
Section 3
Recent software transaction trends
14
Announcement
date
Buyer
Target
Target description
Value
($m)
Implied
EV/LTM Rev
Dec-21
Provider of on-demand software
and software-enabled solutions
for the rental housing industry
$10,200
8.80x
Dec-13
Offers technology skill
development solutions through its
cloud-based technology
learning platform
$3,500
10.50x
Dec-02
Provider of IT services including
software security, cloud
management and SaaS
management
$3,000
-
Dec-01
Platform that brings together
communication, people,
applications, and data for small-
and medium-sized businesses
$27,700
33.30x
Nov-30
Developer of a customer success
platform designed to drive
revenue and increase retention
$1,100
-
Nov-19
Developer of cloud-based fraud
detection and anti-money
laundering software
$2,750
-
Nov-02
Cloud-based solutions for
businesses including domain
hosting, website building, and
email marketing
$3,000
-
Oct-26
Cloud communications software
and solutions that enable digital
automation
$782
3.28x
Oct-1
Developer of open automation,
network control and optimisation
platforms
$1,600
9.58x
Sources: Capital IQ and Pitchbook as of 31 December 2020
Notable software M&A deals & private financings
STRONG M&A IN Q4 2020
Selected M&A transactions
Selected private financings
Announcement
date
Lead investor
Issuer
Issuer description
Value ($m)
Dec-23
Developer of a SQL query engine
designed to work with diverse data
sets without compromising on
performance
$118
Dec-17
Web-based software to aggregate
the most up-to-date public record
databases
$150
Dec-07
Cloud-based email utility software
solutions
$133
Nov-18
Provides cybersecurity solutions to
prepare for, prevent, investigate,
respond to, and remediate cyber-
attacks
$400
Nov-17
Provides a revenue delivery platform
for SaaS companies that enhances
growth in acquisition, renewals, and
expansion
$63
Nov-16
Mobile application and online
platform for runners and cyclists
worldwide
$110
Oct-29
Cloud email security platform for
Microsoft Office 365 & G Suite for
comprehensive email protection,
detection, and response
$60
Oct-28
Software platform for digital media
measurement, data and analytics
intended to simplify marketing
optimisation decisions
$350
Oct-27
Automated machine learning
platform that enables enterprise users
to build predictive models
$320
15
Source: Pitchbook as of 31 December 2020
Note: Data includes all SaaS M&A and private placement deals as defined by Pitchbook regardless of geography or transaction size
Global software transaction trends
STRONG M&A IN Q4 2020
Q4 SaaS M&A/buyouts continue strong uptrend after Q3
Global private placement volume steadily climbing QoQ
European M&A/buyouts recover after weak Q3
Asian private placement volume picks back up
0
100
200
300
400
500
600
700
$0M
$20B
$40B
$60B
$80B
$100B
$120B
2015 Q22015 Q32015 Q42016 Q12016 Q22016 Q32016 Q42017 Q12017 Q22017 Q32017 Q42018 Q12018 Q22018 Q32018 Q42019 Q12019 Q22019 Q32019 Q42020 Q12020 Q22020 Q32020 Q4M&A
Buyout
M&A deals
Buyout deals
0%
20%
40%
60%
80%
100%
2015 Q22015 Q32015 Q42016 Q12016 Q22016 Q32016 Q42017 Q12017 Q22017 Q32017 Q42018 Q12018 Q22018 Q32018 Q42019 Q12019 Q22019 Q32019 Q42020 Q12020 Q22020 Q32020 Q4U.S. & Canada
Europe
Asia
Other
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
$0M
$5B
$10B
$15B
$20B
$25B
$30B
$35B
$40B
2015 Q22015 Q32015 Q42016 Q12016 Q22016 Q32016 Q42017 Q12017 Q22017 Q32017 Q42018 Q12018 Q22018 Q32018 Q42019 Q12019 Q22019 Q32019 Q42020 Q12020 Q22020 Q32020 Q4Capital invested ($Bn)
Volume
0%
20%
40%
60%
80%
100%
2015 Q22015 Q32015 Q42016 Q12016 Q22016 Q32016 Q42017 Q12017 Q22017 Q32017 Q42018 Q12018 Q22018 Q32018 Q42019 Q12019 Q22019 Q32019 Q42020 Q12020 Q22020 Q32020 Q4U.S. & Canada
Europe
Asia
Other
16
Software IPO landscape
Sources: Company SEC filings from Edgar, Capital IQ as of 31 December 2020
(1) As of 31 December 2020 (2) Figures representative as of nine months ended 30 September 2020 (3) Figures representative as of six months ended 30 June 2020
Listed – Q4 2020
z
▪ Description (NYSE: AI): End-to-end
AI software provider that helps
enterprises build applications and
accelerate digital transformation
▪ Founded: 2009
▪
Listing date: 9 Dec. 2020
▪ Offering amount: $651m raised
▪ Enterprise value1: $13bn
▪ Offering price/share: $42.00
▪
LTM 12/31/20 Gross Revenue:
$165m
▪ Selected Metrics:
– 1.1bn predictions per day
– 86% subscription revenue
– 4.8m machine learning models
in production use
– 622m sensors generating data
for C3 suite
z
▪ Description (NYSE: MSP): Full-stack
provider of cloud-based software
and technology solutions purpose-
built for delivery by managed
service providers
▪ Founded: 2007
▪
Listing date: 21 Oct. 2020
▪ Offering amount: $594m raised
▪ Enterprise value1: $4.8bn
▪ Offering price/share: $27.00
▪
LTM 31/12/20 net revenue: $506m
▪ Selected metrics:
– 115%-dollar retention3
– 17k+ MSP partners3
– 1k+ MSP partners contributing
more than $100k ARR3
– 19% YoY subscription revenue
growth3
z
▪ Description (NASDAQ: MCFE):
Provider of digital security tools and
software for personal computers,
server devices and mobile devices
▪ Founded: 1987
▪
Listing date: 22 Oct. 2020
▪ Offering amount: $740m raised
▪ Enterprise value1: $7.1bn
▪ Offering price/share: $20.00
▪
LTM 31/12/20 net revenue: $2,811m
▪ Selected metrics:
– 98% TTM dollar retention as of
June 2020
– $6.02 average revenue per
customer as of June 2020
– 1,500+ core enterprise
customers (ACV greater than
$100k) as of June 2020
z
▪ Description (NASDAQ: ROOT):
Robust platform to help drivers find
and save money on car insurance.
The platform helps good drivers
find savings from their driving.
▪ Founded: 2015
▪
Listing date: 28 Oct. 2020
▪ Offering amount: $724m raised
▪ Enterprise value1: $4.5bn
▪ Offering price/share: $27.00
▪
LTM 31/12/20 net revenue: $402m
▪ Selected metrics:
– 340k policies in force
– $570m direct written premiums3
– 47% renewal of premiums3
– 136% YoY revenue growth3
17
Section 4
Public market SaaS analysis
18
1x
6x
11x
16x
21x
Dec-15
Dec-16
Dec-17
Dec-18
Dec-19
Dec-20
GPB SaaS Index - EV / LTM Revenues
GPB SaaS Index - EV/ NTM Revenues
Source: Capital IQ as of 31 December 2020
Note: GP Bullhound SaaS Index constituents can be found in Appendix A; (1) YTD GPB SaaS Index EV / LTM revenues growth rate
GP Bullhound SaaS index valuations
REVENUE MULTIPLE TRENDS – PAST 5 YEARS
Mean: 10.1x
Mean: 8.4x
Current SaaS valuations remain strong against the 5-year mean
Dec 2020: Multiples are up
70%+(1) YTD as COVID-19
continues to provide a bump
for public software multiples
As of 31 December, the SaaS Index is trading at 18.9x trailing 12-month revenues, which is 87% greater than the 5-year average
As of 31 December, the SaaS Index is trading at 15.1x next 12-month revenues, which is 79% greater than the 5-year average
Feb 2016: Overall market correction, global
economic weakness made its way into the US
causing SaaS companies to adjust their guidance
Dec 2018: Trade war with
China leads to the sell-off
of SaaS company stocks
19
Source: Capital IQ as of 31 December 2020
Note: GP Bullhound SaaS Index constituents can be found in Appendix A
GP Bullhound SaaS index performance
INDEX VALUE
111.4%
111.1%
113.8%
90%
100%
110%
120%
130%
Oct-20
Nov-20
Dec-20
GPB SaaS Index - Index Value
S&P 500
NASDAQ Composite
130.5%
119.6%
126.5%
90%
100%
110%
120%
130%
140%
Jul-20
Aug-20
Sep-20
Oct-20
Nov-20
Dec-20
GPB SaaS Index - Index Value
S&P 500
NASDAQ Composite
207.9%
116.3%
143.6%
60%
100%
140%
180%
220%
Jan-20
Apr-20
Aug-20
Dec-20
GPB SaaS Index - Index Value
S&P 500
NASDAQ Composite
L1M
L3M
L6M
L12M
101.8%
102.6%
104.3%
95%
100%
105%
110%
115%
Dec-20
Dec-20
Dec-20
GPB SaaS Index - Index Value
S&P 500
NASDAQ Composite
20
Investors are increasingly focused on KPIs outside of revenue
as they evaluate business models
Sources: Capital IQ, SEC Filings as of 31 December 2020
Note: (1) CY20E / CY19A; (2) (S&M LTM Dec. 2019 / ((LTM Dec. 2020 rev. – LTM Sep. 2019 rev.) * GM%)) / 12; (3) LTM Dec. 2020 operating cash flow / LTM Dec.
2020 revenue; and (4) as stated in company filings & earnings releases
PUBLIC SAAS METRIC BENCHMARKING
Revenue YoY growth(1)
Payback period(2)
Free cash flow margin(3)
Net dollar retention(4)
In months
55%
47% 47% 46%
44%
41% 40%
28% 27% 27%
23% 23% 22%
20% 19%
14%
11%
9%
0%
10%
20%
30%
40%
50%
60%
82.9
65.2 63.5
53.4
37.4 35.5 35.1 32.7
27.0 26.5 26.3 25.0
22.4 21.6 20.6 20.3 19.4
7.0
5.7
0
10
20
30
40
50
60
70
80
90
24% 23%
22% 21%
15% 15%
9% 9% 8%
6% 4% 4%
2%
0%
0%
-4%
-7%
-17%
-25%
-15%
-5%
5%
15%
25%
123%
123%
123%
122%
120%
119%
115%
115%
103%
100%
99%
99%
0%
20%
40%
60%
80%
100%
120%
140%
21
ZS
DDOG
DOCU
OKTA
NOW
COUP
VEEV
UPLD
BILL
TWLO
CSOD
CRM
ESTC
EVBG
RNG
PFPT
DT
MDB
WIX
LPSN
PD
QLYS
WDAY
PLAN
NET
TWOU
FIVN
MIME
QTWO
HUBS
CLDR
DBX
BOX
RP
SPT
ZEN
PCTY
MDLA
PAYC
PS
NEWR
JCOM
TENB
SPSC
WK
APPF
AYX
ECOM
EGHT
SUMO
ZUO
TLND
SCWX
BCOV
YEXT
PING
CDAY
-10%
-5%
0%
5%
10%
15%
20%
25%
30%
35%
40%
0%
10%
20%
30%
40%
50%
60%
Source: Capital IQ as of 31 December 2020
Note: Data based on GL Bullhound SaaS index, constituents can be found in Appendix A, excludes outliers and not meaningful figures
Rule of 40% – Public SaaS
2020 GROWTH VS. PROFITABILITY OF GPB SAAS INDEX CONSTITUENTS
2020 Unlevered FCF Margin2020 Revenue Growth
Rule of 40% line
22
Source: Capital IQ as of 31 December 2020
Note: Data based on GL Bullhound SaaS index, constituents can be found in Appendix A, excludes outliers and not meaningful figures
Rule of 40% – Public SaaS (cont’d)
COMPANIES HIGHER ON THE “RULE OF 40%” SCALE ARE GENERALLY VALUED HIGHER BY INVESTORS
2020 EV/Revenue Multiple2020 Revenue Growth + Unlevered FCF Margin
UPLD
CSOD
CRM
EVBG
PFPT
DT
WIX
LPSN
PD
QLYS
WDAY
TWOU
MIME
QTWO
CLDR
DBX
BOX
RP
SPT
ZEN
PCTY
MDLA
PS
NEWR
JCOM
TENB
SPSC
WK
APPF
AYX
ECOM
EGHT
SUMO
ZUO
TLND
SCWX
BCOV
YEXT
PING
CDAY
CSLT
SPLK
0x
2x
4x
6x
8x
10x
12x
14x
16x
18x
20x
0%
10%
20%
30%
40%
50%
60%
70%
Market Performers
Market Outperformers
Market Underperformers
23
Tech giants – show me the money
▪ R&D
▪ Debt paydown
▪ Capex
▪ Dividends
▪ Share buybacks
▪ Acquisitions
LTM (1) % of operating cash flow $m (2)
LTM – Q4 2019 % of operating cash flow $m (2)
▪ Companies maintained conservative fiscal policies through Q4 2020 due to the prolonged economic uncertainty associated with COVID-19.
However, with the global (albeit slow) rollout of the vaccines underway, executives can finally see light at the end of the tunnel and are adjusting
strategies accordingly.
▪ We noted in our Q3 2020 report that companies able to weather the storm would continue to explore inorganic growth opportunities as many
suitable targets would be available at bargain prices. Recent M&A activity has shown this to be true and we expect this trend to continue into the
foreseeable future. For companies where M&A is not a priority or viable strategy, we are seeing significant capital allocation towards debt
repayment to deleverage the balance sheet and reduce the burden of interest payments.
0%
50%
100%
150%
200%
250%
300%
350%
0%
50%
100%
150%
200%
250%
300%
350%
$730
$5,750
$84,570
$3,430
$82,433
$91,096
$131,250
$2,645
$5,615
$984
$1,172
$30,802
$44,222
$1,150
$921
$10,562
$1,719
$139,964
$67,592
$70,100
$1,430
$71,062
$4,499
$199
Source: Capital IQ as of 31 December 2020
Note: Existing cash balances allow companies to spend over 100% of operating cash flow; (1) As of Q4 2020; (2) Dollar amounts represent total cash use
during the LTM period
24
Section 5
Key SaaS metrics
25
Key SaaS metrics
DEFINITIONS & CALCULATIONS
Metric
Definition
Calculation
Normalised measurement of recurring revenue, most frequently
measured with a constant value in each month of the subscription
period
MRR
All S&M expenses for new customers. Sometimes excludes
personnel management S&M costs
Customer acquisition cost
(CAC)
Amount of profit a customer is calculated to deliver to the
company over the lifetime of the customer
Customer lifetime value
(CLV)
The number of months a company requires to pay back its cost of
customer acquisition
Payback period
Churn (gross & net)
Gross churn is the number of customers lost in a given period or
cohort regardless of account expansion or growth
Net churn is the number of customers gained or lost in a given
period or cohort after taking into consideration new, reactivated,
or expanded accounts
MRR
26
Investors focus on key SaaS metrics, long-term business model
viability and valuations
DEFINITIONS & CALCULATIONS
▪ Monthly recurring revenues (MRR), annual recurring revenue (ARR), annual run rate revenue (ARRR) are the key metrics that investors
will focus on
– Note: ARRR = ARR + non-recurring revenue items
– Also important to understand: the % on-demand SaaS vs. traditional licence, and the mix between software and services
▪
Important to show continued growth in top -line revenue (both for reported financials and the above metrics)
MRR / ARR / ARRR
▪ Customer acquisition cost (CAC) payback period is typically stated in months. Represents the time taken to fully pay back sales and
marketing investment to acquire a single customer
▪ Growth is the key target for SaaS companies, but sales and marketing investments should ultimately be profitable. CAC payback
periods:
– For SMEs, CAC payback period should be 6-12 months
– For enterprise customers, CAC payback period could be 9-15 months
– A CAC payback period of >24months should be a cause for concern
▪ Customer lifetime value = NPV of recurring gross profit of a customer less the initial cost of customer acquisition
▪
For SMEs, CLV should be 3-4 years
–
For enterprise customers, CLV should be 5-7 years
CAC vs. CLV
▪
Logo churn: Churn of absolute number of customers. Top companies have a logo churn of <7%.
▪ MRR churn: Churn of customer MRR that has been lost over given period of time. Top companies have a MRR churn of <5%; including
upgrades/customer expansion, churn is ideally negative (negative net churn).
▪ MRR renewal: Total MRR of renewed customers/total MRR of existing customers at year beginning. Top companies have a MRR renewal
of 105-110% due to upsells to its installed base.
▪ Net revenue retention:
– Key metric for performance of SaaS business
– >100% upsells more than make up for churn
– ARR as a percentage of upsells: 15%+
Churn & renewal rates
▪ Growth is of paramount importance, with excess cash being used to fuel growth
▪
Important, therefore, to understand the cash burn in the business and planning for capital efficient hyper-growth
Free cash flow /
burn rate
27
Section 6
Appendix A: GP Bullhound SaaS index
28
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
Public comps – GP Bullhound SaaS index
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
Salesforce
US
49,000
$222.53
36.8%
18.8%
(9.5%)
$203,714
$200,445
$9,492
9.9x
9.5x
7.9x
NM
31.6x
28.3x
23.4%
77.9%
30.1%
Shopify
CA
5,000
1,131.95
184.7%
19.3%
3.8%
138,858
133,639
6,121
54.4x
46.8x
35.3x
NM
NM
NM
80.8%
53.0%
14.9%
ServiceNow
US
12,643
550.43
95.0%
35.9%
3.0%
107,361
106,613
2,952
25.3x
23.8x
19.1x
NM
NM
61.8x
29.4%
82.1%
31.7%
Square
US
3,835
217.64
247.9%
107.4%
3.2%
98,142
97,929
2,881
12.8x
10.5x
7.5x
NM
NM
NM
98.8%
29.4%
4.6%
Zoom
US
3,871
337.32
395.8%
33.0%
(29.5%)
96,476
94,674
1,872
48.4x
36.7x
27.1x
NM
NM
NM
314.3%
69.2%
35.0%
Snowflake
US
2,253
281.40
NA
NA
(13.6%)
79,664
75,116
4,754
NM
NM
68.6x
NM
NM
NM
119.0%
64.5%
(36.9%)
Atlassian
AU
5,285
233.87
94.3%
29.7%
3.9%
58,281
57,097
2,184
36.0x
32.2x
28.4x
NM
NM
NM
35.5%
NA
24.8%
Workday
US
12,400
239.61
45.7%
27.9%
6.6%
57,703
56,985
2,948
13.7x
13.2x
11.3x
NM
50.8x
45.9x
18.6%
76.7%
26.1%
Twilio
US
3,664
338.50
244.4%
54.3%
5.8%
51,117
48,481
3,299
31.4x
29.1x
22.0x
NM
NM
NM
47.0%
55.2%
8.7%
Unity
US
3,719
153.47
NA
NA
1.0%
41,556
39,923
1,759
56.2x
52.7x
41.8x
NM
NM
NM
39.9%
79.2%
(4.8%)
DocuSign
US
3,909
222.30
200.0%
29.1%
(2.4%)
41,472
41,559
599
32.0x
29.1x
22.0x
NM
NM
NM
46.8%
78.4%
13.9%
Veeva
US
3,501
272.25
93.6%
16.1%
(1.7%)
41,237
39,705
1,590
28.8x
27.4x
23.1x
NM
67.0x
59.8x
31.2%
74.2%
40.9%
Palantir
US
2,464
23.55
NA
NA
(13.1%)
41,025
39,423
1,800
39.4x
36.8x
27.9x
NM
NM
NM
44.3%
76.2%
13.8%
RingCentral
US
2,363
378.97
124.7%
33.0%
27.6%
33,968
34,686
746
34.4x
29.7x
24.2x
NM
NM
NM
42.6%
76.4%
13.4%
Okta
US
2,604
254.26
120.4%
27.0%
3.8%
32,918
32,335
2,536
42.1x
39.3x
30.1x
NM
NM
NM
40.4%
77.7%
2.9%
Datadog
US
1,403
98.44
160.6%
13.2%
(0.5%)
29,978
29,116
1,495
54.0x
49.4x
36.3x
NM
NM
NM
62.5%
79.1%
11.2%
Splunk
US
5,800
169.89
13.4%
(14.5%)
(16.8%)
27,475
28,160
1,994
12.4x
13.0x
10.8x
NM
NM
NM
(8.3%)
78.7%
(4.1%)
Zscaler
US
2,020
199.71
329.5%
82.4%
28.2%
26,799
26,311
1,416
54.8x
50.0x
37.6x
NM
NM
NM
46.2%
NA
13.4%
Paycom
US
3,765
452.25
70.8%
46.0%
8.4%
26,064
25,960
156
31.9x
31.1x
25.8x
NM
NM
65.9x
13.1%
85.7%
38.8%
Coupa
US
1,693
338.91
131.7%
22.3%
3.0%
24,461
24,618
1,354
50.3x
47.0x
36.9x
NM
NM
NM
34.5%
71.3%
16.9%
Cloudflare
US
1,697
75.99
345.4%
111.4%
1.2%
23,352
22,718
1,055
58.4x
53.7x
40.2x
NM
NM
NM
47.5%
77.3%
2.4%
MongoDB
US
2,334
359.04
172.8%
58.6%
25.0%
21,638
21,720
966
40.0x
37.7x
29.5x
NM
NM
NM
36.7%
72.4%
(7.5%)
HubSpot
US
3,981
396.44
150.1%
76.7%
0.5%
18,192
17,795
1,185
21.8x
20.5x
16.8x
NM
NM
NM
28.6%
82.2%
11.6%
Zendesk
US
3,980
143.12
86.8%
61.7%
7.2%
16,699
16,507
943
16.9x
16.1x
13.0x
NM
NM
NM
25.5%
78.1%
10.8%
Ceridian
US
5,011
106.56
57.0%
34.4%
10.5%
15,750
16,205
555
19.3x
19.4x
16.9x
NM
NM
NM
1.6%
42.6%
19.0%
Wix.com
IL
2,498
249.96
104.2%
(2.4%)
(2.1%)
13,908
13,282
998
14.6x
13.6x
10.5x
NM
NM
NM
28.3%
70.1%
10.2%
Elastic
US
2,029
146.13
127.3%
58.5%
18.0%
12,772
12,454
351
24.4x
22.9x
18.6x
NM
NM
NM
41.4%
NA
(7.6%)
Dynatrace
US
2,243
43.27
71.0%
6.6%
13.8%
12,206
12,486
248
20.2x
19.3x
16.1x
NM
64.4x
58.6x
26.5%
NA
30.0%
Five9
US
1,210
174.40
165.9%
57.6%
12.4%
11,507
11,383
781
28.5x
27.0x
22.8x
NM
NM
NM
28.7%
64.3%
18.5%
Appian
US
1,275
162.09
324.2%
216.3%
15.8%
11,354
11,164
251
38.3x
37.6x
32.9x
NM
NM
NM
14.1%
70.3%
(7.8%)
29
Public comps – GP Bullhound SaaS index (cont’d)
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
Paylocity Holding
US
3,600
$205.91
70.4%
41.1%
4.7%
$11,170
$11,109
$240
19.9x
19.1x
16.0x
NM
70.2x
62.9x
16.8%
NA
27.2%
Bill.com
US
618
136.50
258.7%
51.3%
11.2%
11,079
10,436
700
68.8x
59.1x
47.2x
NM
NM
NM
62.3%
NA
(7.3%)
Sinch
SE
757
163.16
432.0%
90.4%
24.3%
10,558
10,440
236
14.2x
11.1x
6.5x
NM
NM
60.2x
72.5%
27.7%
11.2%
Anaplan
US
1,601
71.85
37.1%
58.6%
2.7%
10,195
9,953
297
23.5x
22.4x
18.1x
NM
NM
NM
27.7%
76.9%
(4.3%)
Dropbox
US
2,801
22.19
23.9%
1.9%
11.1%
9,178
9,074
1,227
4.9x
4.8x
4.3x
40.4x
16.3x
13.8x
14.9%
79.2%
29.1%
RealPage
US
7,500
87.24
62.3%
34.2%
26.5%
8,619
9,339
612
8.4x
8.1x
7.3x
49.3x
29.3x
25.7x
17.0%
63.1%
27.5%
Alteryx
US
1,519
121.79
21.7%
(25.9%)
1.6%
8,109
8,166
723
16.6x
16.9x
14.3x
NM
NM
NM
15.7%
91.8%
13.7%
Proofpoint
US
3,368
136.41
18.8%
22.8%
31.8%
7,872
7,696
1,020
7.6x
7.4x
6.5x
NM
41.7x
40.1x
17.6%
80.0%
17.7%
BlackLine
US
1,207
133.38
158.7%
60.9%
8.5%
7,637
7,533
526
22.4x
21.6x
18.3x
NM
NM
NM
20.4%
82.3%
13.7%
Q2
US
1,574
126.53
56.1%
47.5%
11.6%
6,818
6,906
396
18.1x
17.1x
14.1x
NM
NM
NM
27.8%
53.5%
5.6%
AppFolio
US
1,420
180.04
63.7%
10.7%
10.5%
6,180
6,039
177
19.8x
19.4x
17.2x
NM
NM
NM
21.6%
62.2%
17.0%
Jfrog
US
590
62.83
NA
NA
(10.7%)
5,730
5,152
578
37.1x
34.4x
26.4x
NM
NM
NM
42.9%
82.4%
10.5%
Tenable
US
1,373
52.26
118.1%
75.3%
45.1%
5,389
5,182
269
12.4x
11.9x
10.0x
NM
NM
NM
23.2%
83.4%
6.8%
Everbridge
US
1,306
149.07
90.9%
7.7%
17.4%
5,211
5,207
469
20.6x
19.4x
15.5x
NM
NM
NM
33.4%
71.5%
2.6%
Medallia
US
1,579
33.22
6.8%
31.6%
(5.1%)
4,998
4,807
654
10.5x
10.1x
8.7x
NM
NM
NM
17.7%
68.7%
7.4%
Qualys
US
1,459
121.87
46.2%
17.2%
28.3%
4,755
4,363
319
12.4x
12.0x
10.7x
35.7x
25.9x
23.6x
12.8%
80.7%
46.4%
Asana
US
701
29.55
NA
NA
5.7%
4,703
4,782
424
23.7x
21.6x
16.3x
NM
NM
NM
55.2%
87.1%
(63.7%)
j2 Global
US
3,090
97.69
4.2%
54.5%
9.0%
4,454
5,472
568
3.8x
3.8x
3.4x
9.9x
9.1x
8.3x
6.0%
83.7%
41.3%
BigCommerce
US
690
64.15
NA
NA
(20.5%)
4,436
4,296
179
30.6x
29.1x
24.5x
NM
NM
NM
31.9%
77.9%
(18.2%)
Workiva
US
1,670
91.62
117.9%
71.3%
22.2%
4,416
4,218
524
12.5x
12.1x
10.5x
NM
NM
NM
16.9%
74.9%
2.2%
Cloudera
US
2,713
13.91
19.6%
9.4%
19.1%
4,350
3,992
395
4.7x
4.6x
4.2x
NM
18.4x
16.2x
8.8%
82.2%
25.1%
LivePerson
US
1,213
62.23
68.2%
50.2%
6.5%
4,162
4,166
199
12.1x
11.5x
9.3x
NM
NM
NM
24.7%
72.3%
8.2%
New Relic
US
2,251
65.40
(0.5%)
(5.1%)
9.5%
4,094
3,760
840
5.9x
5.8x
5.2x
NM
49.1x
52.9x
14.1%
NA
11.7%
SPS Commerce
US
1,363
108.59
95.9%
44.6%
5.4%
3,834
3,594
261
11.9x
11.6x
10.1x
55.1x
42.1x
37.0x
11.0%
69.0%
27.6%
Rackspace
US
6,800
19.06
NA
NA
6.1%
3,818
7,722
253
2.9x
2.9x
2.6x
13.5x
10.1x
9.6x
10.5%
37.7%
28.2%
8x8
US
1,675
34.47
88.4%
115.4%
74.4%
3,665
3,908
153
8.5x
7.7x
6.7x
NM
NM
NM
34.3%
NA
(2.5%)
Mimecast
GB
1,800
56.84
31.0%
36.4%
26.4%
3,632
3,662
231
7.9x
7.6x
6.7x
64.8x
32.7x
32.8x
18.2%
NA
23.4%
PagerDuty
US
669
41.70
78.3%
45.7%
21.2%
3,417
3,107
556
15.5x
14.7x
11.9x
NM
NM
NM
27.3%
86.5%
(7.6%)
Sumo Logic
US
796
28.58
NA
NA
9.1%
2,924
2,517
407
13.1x
12.5x
10.7x
NM
NM
NM
29.4%
75.1%
(14.7%)
2U
US
4,799
40.01
66.8%
5.4%
23.8%
2,883
2,755
481
3.8x
3.6x
3.0x
NM
NM
NM
33.5%
70.6%
1.4%
30
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
Public comps – GP Bullhound SaaS index (cont’d)
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
Box
US
2,046
$18.05
7.6%
(13.1%)
(3.4%)
$2,864
$3,013
$275
4.0x
3.9x
3.6x
NM
16.2x
15.1x
10.4%
73.2%
24.2%
Cornerstone OnDemand
US
2,000
44.04
(24.8%)
14.2%
(0.2%)
2,845
3,995
171
5.8x
5.5x
4.8x
46.1x
15.6x
14.4x
26.6%
73.8%
35.2%
Pluralsight
US
1,600
20.96
21.8%
16.1%
28.0%
2,507
2,714
405
7.2x
7.0x
6.1x
NM
NM
NM
22.7%
80.7%
(2.2%)
Sprout Social
US
623
45.41
182.9%
68.2%
(11.6%)
2,404
2,262
167
18.3x
17.2x
13.5x
NM
NM
NM
28.1%
74.2%
(15.4%)
Ping Identity
US
953
28.64
17.9%
(10.8%)
27.3%
2,323
2,320
173
9.3x
9.3x
8.0x
NM
72.9x
58.7x
2.6%
81.0%
12.8%
Yext
US
1,200
15.72
9.0%
(5.4%)
(17.3%)
1,922
1,843
209
5.4x
5.2x
4.5x
NM
NM
NM
17.6%
76.6%
(5.6%)
Zuora
US
1,249
13.93
(2.8%)
9.3%
22.3%
1,660
1,554
179
5.2x
5.1x
4.7x
NM
NM
NM
9.5%
62.4%
0.3%
Upland Software
US
832
45.89
28.5%
32.0%
0.3%
1,352
1,688
233
6.0x
5.9x
5.9x
35.0x
17.4x
18.5x
28.3%
67.1%
34.0%
Talend
FR
1,376
38.34
(2.0%)
10.6%
2.2%
1,218
1,235
161
4.5x
4.4x
3.8x
NM
NM
NM
14.3%
79.6%
(5.9%)
SecureWorks
US
2,685
14.22
(14.6%)
24.4%
26.0%
1,169
1,012
188
1.8x
1.8x
1.7x
NM
30.0x
33.0x
1.3%
59.8%
6.0%
Brightcove
US
616
18.40
111.7%
133.5%
10.2%
732
720
30
3.8x
3.7x
3.4x
NM
39.7x
33.3x
4.9%
62.2%
9.4%
Benefitfocus
US
1,560
14.48
(34.0%)
34.6%
0.6%
466
639
176
2.3x
2.4x
2.2x
NM
16.6x
14.9x
(9.6%)
52.5%
14.4%
ChannelAdvisor
US
642
15.98
76.8%
0.9%
8.3%
463
409
66
2.9x
2.9x
2.7x
16.9x
12.0x
11.3x
9.8%
80.0%
23.9%
Castlight Health
US
463
1.30
(2.3%)
56.6%
3.2%
200
170
47
1.2x
1.2x
1.3x
NM
20.8x
NM
(1.1%)
66.4%
5.8%
Average
20.6x
19.1x
16.1x
36.7x
33.3x
34.7x
32.0%
71.6%
10.8%
Median
15.5x
14.7x
12.4x
38.1x
29.6x
32.9x
26.6%
75.1%
11.4%
31
Section 7
Appendix B: Software public comparables by
category
32
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
Public comps – Large cap consolidators
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
Microsoft
US
163,000
$222.42
41.0%
9.3%
3.9%
$1,681,606 $1,626,873
$137,949
11.1x
10.8x
9.8x
23.9x
23.5x
21.6x
12.1%
NA
46.0%
Intel
US
110,800
49.82
(16.8%)
(16.7%)
3.0%
204,162
221,991
18,253
2.8x
2.9x
3.1x
6.0x
6.7x
7.3x
4.7%
56.6%
44.1%
Salesforce
US
49,000
222.53
36.8%
18.8%
(9.5%)
203,714
200,445
9,492
9.9x
9.5x
7.9x
NM
31.6x
28.3x
23.4%
77.9%
30.1%
Oracle
US
135,000
64.69
22.1%
17.0%
12.1%
190,450
223,458
38,610
5.7x
5.7x
5.5x
12.9x
11.5x
11.0x
(0.5%)
NA
49.3%
Cisco
US
77,500
44.75
(6.7%)
(4.1%)
4.0%
189,092
174,669
30,016
3.6x
3.6x
3.5x
11.5x
9.9x
9.8x
(7.0%)
NA
36.9%
SAP
DE
101,450
131.60
(2.5%)
(5.7%)
8.3%
156,184
163,964
9,352
5.0x
4.9x
4.9x
19.5x
14.0x
14.1x
8.1%
72.4%
34.9%
IBM
US
352,600
125.88
(6.1%)
4.2%
1.9%
112,166
167,084
15,593
2.3x
2.3x
2.2x
10.6x
11.0x
8.8x
(2.4%)
48.6%
20.5%
Hewlett Packard
US
59,400
11.85
(25.3%)
21.8%
7.3%
15,328
28,171
4,233
1.1x
1.1x
1.0x
6.6x
6.1x
5.5x
(4.7%)
NA
17.1%
Average
4.3x
4.3x
4.0x
11.2x
13.0x
12.1x
3.1%
63.9%
33.3%
Median
3.6x
3.6x
3.5x
11.1x
11.0x
9.8x
(0.5%)
64.5%
34.9%
33
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
Public comps – Advertising technology
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
Alphabet
US
132,121
$1,752.64
30.9%
23.6%
(0.1%)
$1,185,281 $1,079,780
$132,596
6.3x
6.0x
5.0x
22.5x
17.0x
14.1x
10.4%
53.4%
35.5%
Adobe
US
22,634
500.12
51.6%
14.9%
4.5%
239,917
238,633
5,992
18.5x
18.6x
15.7x
47.8x
38.6x
31.7x
14.7%
88.1%
48.2%
Salesforce
US
49,000
222.53
36.8%
18.8%
(9.5%)
203,714
200,445
9,492
9.9x
9.5x
7.9x
NM
31.6x
28.3x
23.4%
77.9%
30.1%
Trade Desk
US
1,310
801.00
208.3%
97.0%
(11.1%)
37,618
37,373
557
51.1x
46.3x
34.8x
NM
NM
NM
22.2%
77.3%
30.9%
Hubspot
US
3,981
396.44
150.1%
76.7%
0.5%
18,192
17,795
1,185
21.8x
20.7x
16.9x
NM
NM
NM
27.3%
82.1%
11.5%
Teradata
US
8,535
22.47
(16.1%)
8.0%
2.5%
2,456
2,606
533
1.4x
1.4x
1.4x
17.7x
7.0x
6.2x
(4.2%)
57.9%
20.4%
TechTarget
US
649
59.11
126.5%
96.8%
12.6%
1,661
1,650
62
11.9x
11.4x
8.7x
57.8x
33.7x
26.7x
8.3%
74.9%
33.8%
Criteo
FR
2,755
20.51
18.3%
80.1%
5.9%
1,236
925
627
0.4x
1.2x
1.2x
4.1x
4.1x
4.3x
(64.7%)
85.2%
28.6%
ChannelAdvisor
US
642
15.98
76.8%
0.9%
8.3%
463
409
66
2.9x
2.9x
2.7x
16.9x
12.0x
11.3x
9.8%
80.0%
23.9%
Average
13.8x
13.1x
10.5x
27.8x
20.6x
17.5x
5.3%
75.2%
29.2%
Median
9.9x
9.5x
7.9x
20.1x
17.0x
14.1x
10.4%
77.9%
30.1%
34
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
Public comps – Business intelligence/analytics
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
Alphabet
US
132,121
$1,752.64
30.9%
23.6%
(0.1%)
$1,185,281 $1,079,780
$132,596
6.3x
6.0x
5.0x
22.5x
17.0x
14.1x
10.4%
53.4%
35.5%
Adobe
US
22,634
500.12
51.6%
14.9%
4.5%
239,917
238,633
5,992
18.5x
18.6x
15.7x
47.8x
38.6x
31.7x
14.7%
88.1%
48.2%
SAP
DE
101,450
131.60
(2.5%)
(5.7%)
8.3%
156,184
163,964
9,352
5.0x
4.9x
4.9x
19.5x
14.0x
14.1x
8.1%
72.4%
34.9%
IBM
US
352,600
125.88
(6.1%)
4.2%
1.9%
112,166
167,084
15,593
2.3x
2.3x
2.2x
10.6x
11.0x
8.8x
(2.4%)
48.6%
20.5%
Snowflake
US
2,253
281.40
NA
NA
(13.6%)
79,664
75,116
4,754
NM
NM
68.6x
NM
NM
NM
119.0%
64.4%
(36.9%)
Palantir
US
2,464
23.55
NA
NA
(13.1%)
41,025
39,423
1,800
39.4x
36.8x
27.9x
NM
NM
NM
44.3%
76.2%
13.8%
Splunk
US
5,800
169.89
13.4%
(14.5%)
(16.8%)
27,475
28,160
1,994
12.4x
13.0x
10.8x
NM
NM
NM
(8.3%)
78.7%
(4.1%)
Fair Isaac
US
3,302
511.04
36.4%
22.2%
8.1%
14,870
15,649
157
12.1x
11.9x
11.6x
42.3x
32.6x
35.8x
9.9%
NA
36.6%
NetApp
US
10,800
66.24
6.4%
49.3%
24.3%
14,797
13,911
3,653
2.5x
2.5x
2.4x
12.9x
10.9x
10.2x
(1.0%)
NA
23.1%
Elastic
US
2,029
146.13
127.3%
58.5%
18.0%
12,772
12,454
351
24.4x
22.9x
18.6x
NM
NM
NM
41.4%
NA
(7.6%)
Alteryx
US
1,519
121.79
21.7%
(25.9%)
1.6%
8,109
8,166
723
16.6x
16.9x
14.3x
NM
NM
NM
15.7%
91.8%
13.7%
Verint
US
6,200
67.18
21.4%
48.7%
17.9%
4,416
4,889
631
3.9x
3.8x
3.6x
26.1x
14.7x
13.9x
(1.8%)
69.7%
25.9%
Workiva
US
1,670
91.62
117.9%
71.3%
22.2%
4,416
4,218
524
12.5x
12.1x
10.5x
NM
NM
NM
16.9%
74.9%
2.2%
Cloudera
US
2,713
13.91
19.6%
9.4%
19.1%
4,350
3,992
395
4.7x
4.6x
4.2x
NM
18.4x
16.2x
8.8%
82.2%
25.1%
LivePerson
US
1,213
62.23
68.2%
50.2%
6.5%
4,162
4,166
199
12.1x
11.5x
9.3x
NM
NM
NM
24.7%
72.5%
8.2%
New Relic
US
2,251
65.40
(0.5%)
(5.1%)
9.5%
4,094
3,760
840
5.9x
5.8x
5.2x
NM
49.1x
52.9x
14.1%
NA
11.7%
MicroStrategy
US
2,073
388.55
172.4%
228.5%
13.4%
3,601
3,654
53
7.6x
NA
NA
60.5x
NA
NA
(100.0%)
NA
NA
Sumo Logic
US
796
28.58
NA
NA
9.1%
2,924
2,517
407
13.1x
12.5x
10.7x
NM
NM
NM
29.4%
75.1%
(14.7%)
Inovalon
US
2,517
18.17
(3.5%)
(5.7%)
(2.7%)
2,824
3,744
120
5.7x
5.7x
5.0x
21.0x
16.4x
14.1x
2.5%
75.5%
34.6%
Blackbaud
US
3,611
57.56
(27.7%)
0.8%
4.5%
2,779
3,303
31
3.6x
3.7x
3.7x
29.0x
14.4x
14.9x
(0.1%)
58.8%
25.5%
Teradata
US
8,535
22.47
(16.1%)
8.0%
2.5%
2,456
2,606
533
1.4x
1.4x
1.4x
17.7x
7.0x
6.2x
(4.2%)
57.9%
20.4%
Yext
US
1,200
15.72
9.0%
(5.4%)
(17.3%)
1,922
1,843
209
5.4x
5.2x
4.5x
NM
NM
NM
17.6%
76.4%
(5.6%)
Talend
FR
1,376
38.34
(2.0%)
10.6%
2.2%
1,218
1,235
161
4.5x
4.4x
3.8x
NM
NM
NM
14.3%
79.6%
(5.9%)
Expert System
IT
245
3.17
(7.7%)
(6.6%)
10.0%
161
156
36
3.9x
4.2x
3.8x
NM
NM
NM
(11.3%)
93.9%
2.9%
Hottolink
JP
138
4.90
47.2%
4.9%
(12.1%)
75
73
16
1.9x
NA
NA
8.2x
NA
NA
(100.0%)
NA
NA
Gridsum
CN
929
1.63
33.6%
132.8%
(5.2%)
57
134
1
2.9x
NA
NA
NM
NA
NA
(100.0%)
NA
NA
Average
9.1x
9.6x
10.8x
26.5x
20.4x
19.4x
2.4%
73.2%
13.4%
Median
5.7x
5.7x
5.0x
21.7x
15.6x
14.1x
9.3%
75.1%
13.8%
35
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
Public comps – Communication
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
Microsoft
US
163,000
$222
41.0%
9.3%
3.9%
$1,681,606 $1,626,873
$137,949
11.1x
10.8x
9.8x
23.9x
23.5x
21.6x
12.1%
NA
46.0%
Cisco
US
77,500
44.75
(6.7%)
(4.1%)
4.0%
189,092
174,669
30,016
3.6x
3.6x
3.5x
11.5x
9.9x
9.8x
(7.0%)
NA
36.9%
Zoom
US
3,871
337.32
395.8%
33.0%
(29.5%)
96,476
94,674
1,872
48.4x
36.7x
27.1x
NM
NM
NM
314.3%
69.2%
35.0%
Atlassian
AU
5,285
233.87
94.3%
29.7%
3.9%
58,281
57,097
2,184
36.0x
32.2x
28.4x
NM
NM
NM
35.5%
NA
24.8%
Twilio
US
3,664
338.50
244.4%
54.3%
5.8%
51,117
48,481
3,299
31.4x
29.1x
22.0x
NM
NM
NM
47.0%
55.2%
8.7%
RingCentral
US
2,363
378.97
124.7%
33.0%
27.6%
33,968
34,686
746
34.4x
29.7x
24.2x
NM
NM
NM
42.6%
76.4%
13.4%
NICE Systems
IL
5,996
279.96
80.5%
50.2%
16.4%
17,562
17,022
1,543
10.4x
10.3x
9.4x
38.9x
30.9x
28.3x
4.9%
71.1%
33.4%
Citrix
US
8,400
130.10
17.3%
(12.0%)
5.0%
16,018
17,021
925
5.3x
5.3x
5.1x
21.4x
14.6x
15.1x
6.6%
85.7%
36.3%
Nuance
US
7,100
44.09
147.3%
74.2%
2.2%
12,561
13,861
372
9.4x
9.9x
10.0x
56.7x
38.6x
39.7x
(23.2%)
NA
25.7%
Sinch
SE
757
163.16
432.0%
90.4%
24.3%
10,558
10,440
236
14.2x
11.1x
6.5x
NM
NM
60.2x
72.5%
27.7%
11.2%
Everbridge
US
1,306
149.07
90.9%
7.7%
17.4%
5,211
5,207
469
20.6x
19.4x
15.5x
NM
NM
NM
33.4%
71.5%
2.6%
Asana
US
701
29.55
NA
NA
5.7%
4,703
4,782
424
23.7x
21.6x
16.3x
NM
NM
NM
55.2%
87.1%
(63.7%)
j2 Global
US
3,090
97.69
4.2%
54.5%
9.0%
4,454
5,472
568
3.8x
3.8x
3.4x
9.9x
9.1x
8.3x
6.0%
83.7%
41.3%
LivePerson
US
1,213
62.23
68.2%
50.2%
6.5%
4,162
4,166
199
12.1x
11.5x
9.3x
NM
NM
NM
24.7%
72.3%
8.2%
8x8
US
1,675
34.47
88.4%
115.4%
74.4%
3,665
3,908
153
8.5x
7.7x
6.7x
NM
NM
NM
34.3%
NA
(2.5%)
Average
18.2x
16.2x
13.1x
27.0x
21.1x
26.2x
43.9%
70.0%
17.2%
Median
12.1x
11.1x
9.8x
22.6x
19.1x
21.6x
33.4%
71.9%
24.8%
36
Public comps – ERP & enterprise application
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
Salesforce
US
49,000
$222.53
36.8%
18.8%
(9.5%)
$203,714
$200,445
$9,492
9.9x
9.5x
7.9x
NM
31.6x
28.3x
23.4%
77.9%
30.1%
Oracle
US
135,000
64.69
22.1%
17.0%
12.1%
190,450
223,458
38,610
5.7x
5.7x
5.5x
12.9x
11.5x
11.0x
(0.5%)
NA
49.3%
SAP
DE
101,450
131.60
(2.5%)
(5.7%)
8.3%
156,184
163,964
9,352
5.0x
4.9x
4.9x
19.5x
14.0x
14.1x
8.1%
72.4%
34.9%
Shopify
CA
5,000
1131.95
184.7%
19.3%
3.8%
138,858
133,639
6,121
54.4x
46.8x
35.3x
NM
NM
NM
80.8%
53.1%
14.9%
Snowflake
US
2,253
281.40
NA
NA
(13.6%)
79,664
75,116
4,754
NM
NM
68.6x
NM
NM
NM
119.0%
64.4%
(36.9%)
Workday
US
12,400
239.61
45.7%
27.9%
6.6%
57,703
56,985
2,948
13.7x
13.2x
11.3x
NM
50.8x
45.9x
18.6%
76.7%
26.1%
Palantir
US
2,464
23.55
NA
NA
(13.1%)
41,025
39,423
1,800
39.4x
36.8x
27.9x
NM
NM
NM
44.3%
76.2%
13.8%
Constellation Software
CA
19,000
1297.22
33.4%
15.1%
4.8%
27,490
27,564
574
7.2x
7.0x
6.0x
43.2x
22.9x
20.8x
12.4%
NA
30.7%
Yonyou Networks
CN
17,852
6.72
114.2%
7.6%
1.1%
21,975
21,909
706
19.0x
15.7x
13.5x
NM
NM
NM
17.9%
62.9%
13.2%
Tyler Technologies
US
5,511
436.52
45.5%
25.8%
2.1%
17,604
17,048
574
15.2x
15.1x
14.1x
NM
52.0x
47.7x
3.6%
52.0%
29.1%
Zendesk
US
3,980
143.12
86.8%
61.7%
7.2%
16,699
16,507
943
16.9x
16.1x
13.0x
NM
NM
NM
25.5%
78.1%
10.8%
Aveva Group
GB
4,600
43.72
(29.1%)
(13.7%)
(3.4%)
12,546
12,552
103
12.5x
11.7x
11.2x
70.0x
39.3x
33.8x
(2.1%)
NA
29.8%
Five9
US
1,210
174.40
165.9%
57.6%
12.4%
11,507
11,383
781
28.5x
27.0x
22.8x
NM
NM
NM
28.7%
64.3%
18.5%
Appian
US
1,275
162.09
324.2%
216.3%
15.8%
11,354
11,164
251
38.3x
37.6x
32.9x
NM
NM
NM
14.1%
70.3%
(7.8%)
Guidewire Software
US
2,759
128.73
17.3%
16.1%
5.1%
10,782
10,091
1,162
13.4x
13.4x
13.3x
NM
NM
NM
7.2%
NA
13.1%
Anaplan
US
1,601
71.85
37.1%
58.6%
2.7%
10,195
9,953
297
23.5x
22.4x
18.1x
NM
NM
NM
27.7%
77.4%
(4.3%)
Sage Group
GB
11,647
7.95
(19.9%)
(4.5%)
(1.5%)
8,708
8,925
1,075
3.6x
3.5x
3.5x
12.4x
13.6x
15.5x
0.3%
NA
25.4%
RealPage
US
7,500
87.24
62.3%
34.2%
26.5%
8,619
9,339
612
8.4x
8.1x
7.3x
49.3x
29.3x
25.7x
17.0%
63.1%
27.5%
Wisetech
AU
1,800
23.72
44.5%
77.6%
4.5%
7,646
7,507
156
25.3x
21.2x
17.2x
NM
69.4x
47.8x
27.1%
NA
30.5%
JFrog
US
590
62.83
NA
NA
(10.7%)
5,730
5,152
578
37.1x
34.4x
26.4x
NM
NM
NM
42.9%
82.4%
10.5%
Everbridge
US
1,306
149.07
90.9%
7.7%
17.4%
5,211
5,207
469
20.6x
19.4x
15.5x
NM
NM
NM
33.4%
71.5%
2.6%
Asana
US
701
29.55
NA
NA
5.7%
4,703
4,782
424
23.7x
21.6x
16.3x
NM
NM
NM
55.2%
87.1%
(63.7%)
j2 Global
US
3,090
97.69
4.2%
54.5%
9.0%
4,454
5,472
568
3.8x
3.8x
3.4x
9.9x
9.1x
8.3x
6.0%
83.7%
41.3%
Workiva
US
1,670
91.62
117.9%
71.3%
22.2%
4,416
4,218
524
12.5x
12.1x
10.5x
NM
NM
NM
16.9%
74.9%
2.2%
SPS Commerce
US
1,363
108.59
95.9%
44.6%
5.4%
3,834
3,594
261
11.9x
11.6x
10.1x
55.1x
42.1x
37.0x
11.0%
69.0%
27.6%
Sumo Logic
US
796
28.58
NA
NA
9.1%
2,924
2,517
407
13.1x
12.5x
10.7x
NM
NM
NM
29.4%
75.1%
(14.7%)
Blackbaud
US
3,611
57.56
(27.7%)
0.8%
4.5%
2,779
3,303
31
3.6x
3.7x
3.7x
29.0x
14.4x
14.9x
(0.1%)
58.8%
25.5%
Enghouse
CA
1,763
48.38
30.3%
(9.2%)
(6.2%)
2,678
2,514
189
6.6x
6.2x
5.7x
23.7x
17.3x
17.2x
30.7%
NA
35.7%
Technology One
AU
848
6.33
8.6%
4.2%
(6.2%)
2,032
1,958
90
9.2x
8.5x
7.8x
31.2x
26.6x
20.4x
13.3%
NA
31.9%
Prosegur
ES
153,363
2.98
(27.8%)
27.9%
6.2%
1,502
2,912
1,381
0.6x
0.7x
0.6x
3.0x
5.9x
5.0x
(7.2%)
24.2%
11.3%
QAD
US
1,902
63.18
24.1%
53.1%
10.2%
1,257
1,147
143
3.8x
3.8x
3.5x
NM
42.5x
36.1x
(2.4%)
58.4%
8.9%
Model N
US
781
35.68
1.7%
2.6%
3.5%
1,242
1,160
200
7.2x
7.1x
6.6x
NM
55.3x
55.1x
13.0%
NA
12.8%
BasWare
FI
1,323
51.38
92.8%
52.9%
11.7%
741
795
45
4.5x
4.3x
3.9x
68.1x
32.6x
27.2x
11.6%
56.1%
13.1%
American Software
US
442
17.17
15.4%
8.9%
4.6%
560
467
94
4.1x
4.2x
4.0x
59.9x
34.7x
31.8x
(0.0%)
NA
12.0%
ChannelAdvisor
US
642
15.98
76.8%
0.9%
8.3%
463
409
66
2.9x
2.9x
2.7x
16.9x
12.0x
11.3x
9.8%
80.0%
23.9%
Freelancer
AU
390
0.37
(7.4%)
35.5%
(1.1%)
169
161
26
4.0x
NA
NA
NM
NA
NA
(100.0%)
NA
NA
Average
14.5x
13.9x
13.3x
33.6x
29.8x
26.4x
17.7%
68.4%
15.1%
Median
11.9x
11.6x
10.5x
29.0x
29.3x
25.7x
13.7%
71.5%
14.9%
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
37
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
Public comps – Financial applications
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
Intuit
US
10,600
$379.85
45.0%
28.2%
7.9%
$104,856
$101,697
$5,793
13.0x
12.6x
10.5x
39.7x
32.4x
28.9x
13.6%
NA
38.7%
Fidelity National
US
55,000
141.46
1.7%
5.5%
(4.7%)
87,777
105,790
2,366
8.4x
8.4x
7.7x
23.8x
20.0x
17.1x
22.3%
34.7%
41.8%
Fiserv
US
44,000
113.86
(1.5%)
16.6%
(1.1%)
76,336
97,655
937
6.5x
6.6x
6.2x
20.2x
17.8x
15.5x
45.6%
44.4%
36.9%
MSCI
US
3,545
446.53
73.0%
33.8%
9.1%
37,015
39,252
1,303
23.7x
23.2x
21.0x
42.9x
40.4x
36.2x
8.7%
82.9%
57.3%
SS&C
US
22,800
72.75
18.5%
28.8%
5.6%
18,621
25,575
185
5.5x
5.5x
5.4x
14.8x
13.9x
13.4x
0.0%
57.4%
39.6%
Fair Isaac
US
3,302
511.04
36.4%
22.2%
8.1%
14,870
15,649
157
12.1x
11.9x
11.6x
42.3x
32.6x
35.8x
9.9%
NA
36.6%
Black Knight
US
4,900
88.35
37.0%
21.8%
(3.6%)
13,733
16,623
31
13.9x
13.5x
11.8x
40.9x
27.4x
23.5x
4.7%
38.0%
49.2%
Jack Henry & Associates
US
6,717
161.99
11.2%
(12.0%)
0.7%
12,362
12,237
195
7.2x
7.1x
6.7x
27.4x
22.4x
21.1x
5.7%
NA
31.7%
Bill.com
US
618
136.50
258.7%
51.3%
11.2%
11,079
10,436
700
68.8x
59.1x
47.2x
NM
NM
NM
62.3%
NA
(7.3%)
Temenos
CH
7,351
139.76
(11.6%)
(10.1%)
10.3%
10,118
11,156
113
12.2x
12.4x
11.3x
46.8x
28.3x
25.7x
(7.6%)
81.9%
43.9%
Q2 Holdings
US
1,574
126.53
56.1%
47.5%
11.6%
6,818
6,906
396
18.1x
17.1x
14.1x
NM
NM
NM
27.8%
53.5%
5.6%
SimCorp
DK
1,906
148.81
30.8%
37.9%
13.2%
5,899
5,915
38
11.5x
10.4x
9.5x
47.4x
34.7x
30.4x
11.6%
62.9%
30.0%
Envestnet
US
4,190
82.29
18.2%
11.9%
2.5%
4,440
4,923
363
5.1x
5.0x
4.5x
34.9x
21.7x
20.0x
10.2%
69.3%
22.9%
Oracle Financial
IN
8,001
43.95
14.2%
16.3%
7.0%
3,780
3,213
575
4.8x
4.6x
4.2x
10.2x
9.2x
8.5x
3.8%
NA
49.8%
Bottomline Technologies
US
2,000
52.74
(1.6%)
3.9%
15.6%
2,379
2,395
197
5.4x
5.3x
4.9x
56.6x
24.5x
22.1x
4.1%
NA
21.8%
IRESS
AU
2,011
8.19
(10.7%)
8.3%
7.0%
1,561
1,648
69
4.4x
3.9x
3.5x
21.8x
16.8x
15.5x
18.9%
21.2%
23.0%
Ebix
US
7,975
37.97
13.6%
69.8%
11.6%
1,176
1,841
113
3.3x
3.3x
2.7x
12.9x
NA
NA
(3.3%)
50.1%
0.0%
Average
13.2x
12.3x
10.7x
32.2x
24.4x
22.4x
14.0%
54.2%
30.7%
Median
8.4x
8.4x
7.7x
34.9x
23.4x
21.6x
9.9%
53.5%
36.6%
38
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
Public comps – Human capital management
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
ServiceNow
US
12,643
$550.43
95.0%
35.9%
3.0%
$107,361
$106,613
$2,952
25.3x
23.8x
19.1x
NM
NM
61.8x
29.4%
82.1%
31.7%
ADP
US
58,000
176.20
3.3%
18.3%
1.3%
75,557
76,361
1,617
5.4x
5.3x
5.1x
20.0x
20.9x
20.5x
3.7%
NA
25.2%
Workday
US
12,400
239.61
45.7%
27.9%
6.6%
57,703
56,985
2,948
13.7x
13.2x
11.3x
NM
50.8x
45.9x
18.6%
76.7%
26.1%
Paycom
US
3,765
452.25
70.8%
46.0%
8.4%
26,064
25,960
156
31.9x
31.1x
25.8x
NM
NM
65.9x
13.1%
85.8%
38.8%
Paylocity
US
3,600
205.91
70.4%
41.1%
4.7%
11,170
11,109
240
19.9x
19.1x
16.0x
NM
70.2x
62.9x
16.8%
NA
27.2%
TriNet
US
2,800
80.60
42.4%
32.3%
7.5%
5,371
5,409
624
1.4x
5.3x
5.3x
12.4x
11.9x
13.5x
(73.3%)
74.8%
44.0%
Upland Software
US
832
45.89
28.5%
32.0%
0.3%
1,352
1,688
233
6.0x
5.9x
5.9x
35.0x
17.4x
18.5x
28.3%
67.1%
34.0%
Benefitfocus
US
1,560
14.48
(34.0%)
34.6%
0.6%
466
639
176
2.3x
2.4x
2.2x
NM
16.6x
14.9x
(9.6%)
52.5%
14.4%
Freelancer
AU
390
0.37
(7.4%)
35.5%
(1.1%)
169
161
26
4.0x
NA
NA
NM
NA
NA
(100.0%)
NA
NA
Average
12.2x
13.3x
11.3x
22.5x
31.3x
38.0x
(8.1%)
73.2%
30.2%
Median
6.0x
9.6x
8.6x
20.0x
19.1x
33.2x
13.1%
75.7%
29.4%
39
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
Public comps – Infrastructure
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
ServiceNow
US
12,643
$550.43
95.0%
35.9%
3.0%
$107,361
$106,613
$2,952
25.3x
23.8x
19.1x
NM
NM
61.8x
29.4%
82.1%
31.7%
VMware
US
29,450
140.26
(7.6%)
(9.4%)
0.3%
58,878
61,033
3,898
5.3x
5.2x
4.8x
25.9x
13.3x
13.4x
8.3%
85.2%
39.2%
Atlassian
AU
4,907
233.87
94.3%
29.7%
3.9%
58,281
57,255
2,184
36.1x
32.3x
28.5x
NM
NM
NM
35.5%
NA
24.8%
Unity
US
3,719
153.47
NA
NA
1.0%
41,556
39,923
1,759
56.2x
52.7x
41.8x
NM
NM
NM
39.9%
79.2%
(4.8%)
Splunk
US
5,800
169.89
13.4%
(14.5%)
(16.8%)
27,475
28,160
1,994
12.4x
13.0x
10.8x
NM
NM
NM
(8.3%)
78.7%
(4.1%)
Akamai Technologies
US
7,724
104.99
21.5%
(2.0%)
1.4%
17,092
17,246
1,444
5.5x
5.4x
5.1x
17.5x
12.4x
11.6x
9.9%
64.3%
43.7%
Citrix
US
8,400
130.10
17.3%
(12.0%)
5.0%
16,018
17,021
925
5.3x
5.3x
5.1x
21.4x
14.6x
15.1x
6.6%
85.7%
36.3%
F5 Networks
US
6,079
175.94
26.0%
26.1%
8.1%
10,838
10,402
1,210
4.4x
4.3x
4.1x
20.3x
12.9x
11.4x
5.4%
NA
33.6%
Trend Micro
JP
6,854
57.55
11.7%
3.1%
5.9%
7,979
6,149
1,800
3.8x
3.7x
3.5x
11.2x
11.8x
11.0x
10.3%
79.4%
31.1%
Proofpoint
US
3,368
136.41
18.8%
22.8%
31.8%
7,872
7,696
1,020
7.6x
7.4x
6.5x
NM
41.7x
40.1x
17.6%
80.0%
17.7%
Juniper Networks
US
9,419
22.51
(8.6%)
(1.5%)
3.4%
7,422
7,448
1,848
1.7x
1.7x
1.6x
10.9x
8.2x
8.0x
(0.7%)
59.2%
20.5%
Nutanix
US
6,160
31.87
2.0%
34.4%
16.4%
6,423
6,254
1,318
4.8x
4.9x
4.7x
NM
NM
NM
3.0%
NA
(21.6%)
Pure Storage
US
3,850
22.61
32.1%
30.5%
23.8%
6,168
5,871
1,201
3.5x
3.5x
3.1x
NM
56.5x
37.6x
1.1%
70.0%
6.3%
JFrog
US
590
62.83
NA
NA
(10.7%)
5,730
5,152
578
37.1x
34.4x
26.4x
NM
NM
NM
42.9%
82.4%
10.5%
FireEye
US
3,400
23.06
39.5%
89.4%
53.4%
5,211
5,298
942
5.7x
5.7x
5.4x
NM
39.1x
36.4x
5.0%
70.4%
14.5%
Qualys
US
1,459
121.87
46.2%
17.2%
28.3%
4,755
4,363
319
12.4x
12.0x
10.7x
35.7x
25.9x
23.6x
12.8%
80.7%
46.4%
Rapid7
US
1,544
90.16
60.9%
76.7%
20.3%
4,674
4,814
321
12.3x
11.8x
9.9x
NM
NM
NM
24.6%
73.8%
3.6%
New Relic
US
2,251
65.40
(0.5%)
(5.1%)
9.5%
4,094
3,760
840
5.9x
5.8x
5.2x
NM
49.1x
52.9x
14.1%
NA
11.7%
Rackspace
US
6,800
19.06
NA
NA
6.1%
3,818
7,722
253
2.9x
2.9x
2.6x
13.5x
10.1x
9.6x
10.5%
37.7%
28.2%
Mimecast
GB
1,800
56.84
31.0%
36.4%
26.4%
3,632
3,662
231
7.9x
7.6x
6.7x
64.8x
32.7x
32.8x
18.2%
NA
23.4%
Software AG
DE
4,642
40.78
16.9%
0.9%
(5.4%)
3,017
2,734
638
2.7x
2.7x
2.7x
12.9x
12.3x
11.8x
2.5%
76.3%
21.7%
Sumo Logic
US
796
28.58
NA
NA
9.1%
2,924
2,517
407
13.1x
12.5x
10.7x
NM
NM
NM
29.4%
75.1%
(14.7%)
Commvault
US
2,533
55.37
24.0%
43.1%
15.9%
2,610
2,236
394
3.3x
3.3x
3.1x
NM
NA
16.8x
(0.5%)
NA
0.0%
Progress Software
US
1,538
45.19
8.8%
16.6%
12.7%
2,038
2,129
230
4.9x
4.7x
4.1x
14.0x
NA
NA
10.1%
87.6%
0.0%
NetScout Systems
US
2,502
27.42
13.9%
7.3%
17.1%
2,017
2,118
428
2.4x
2.5x
2.5x
14.0x
NA
NA
(5.8%)
NA
0.0%
Micro Focus
GB
11,900
5.79
(58.9%)
8.3%
23.1%
1,939
6,716
808
2.1x
2.3x
2.4x
6.7x
5.9x
6.3x
(8.4%)
NA
38.2%
Talend
FR
1,376
38.34
(2.0%)
10.6%
2.2%
1,218
1,235
161
4.5x
4.4x
3.8x
NM
NM
NM
14.3%
79.6%
(5.9%)
SecureWorks
US
2,685
14.22
(14.6%)
24.4%
26.0%
1,169
1,012
188
1.8x
1.8x
1.7x
NM
30.0x
33.0x
1.3%
59.8%
6.0%
A10 Networks
US
810
9.86
43.5%
44.8%
23.6%
756
627
159
2.8x
2.8x
2.6x
29.0x
14.1x
11.6x
6.4%
78.2%
19.6%
Brightcove
US
616
18.40
111.7%
133.5%
10.2%
732
720
30
3.8x
3.7x
3.4x
NM
39.7x
33.3x
4.9%
62.2%
9.4%
Average
9.9x
9.5x
8.1x
21.3x
23.9x
23.9x
11.3%
74.0%
15.6%
Median
5.1x
5.0x
4.7x
15.7x
14.4x
15.9x
9.1%
78.5%
16.1%
40
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
Public comps – IT security
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
Cisco
US
77,500
$44.75
(6.7%)
(4.1%)
4.0%
$189,092
$174,669
$30,016
3.6x
3.6x
3.5x
11.5x
9.9x
9.8x
(7.0%)
NA
36.9%
Palo Alto Networks
US
8,376
355.39
53.7%
54.7%
20.9%
34,411
34,636
3,218
9.7x
9.2x
7.7x
NM
36.6x
34.0x
20.2%
NA
25.2%
Okta
US
2,604
254.26
120.4%
27.0%
3.8%
32,918
32,335
2,536
42.1x
39.3x
30.1x
NM
NM
NM
40.4%
77.7%
2.9%
Splunk
US
5,800
169.89
13.4%
(14.5%)
(16.8%)
27,475
28,160
1,994
12.4x
13.0x
10.8x
NM
NM
NM
(8.3%)
78.7%
(4.1%)
Verisign
US
872
216.40
12.3%
4.6%
7.8%
24,693
25,337
1,150
20.2x
20.0x
18.8x
29.3x
29.1x
26.9x
2.6%
85.8%
68.9%
Fortinet
US
8,075
148.53
39.1%
8.2%
20.5%
24,111
22,503
1,657
9.2x
8.8x
7.6x
44.4x
29.8x
25.9x
19.1%
79.0%
29.4%
Check Point Software
IL
5,258
132.91
19.8%
23.7%
12.9%
18,634
14,738
1,607
7.2x
7.2x
7.0x
16.0x
14.0x
13.8x
3.2%
89.7%
51.2%
Trend Micro
JP
6,854
57.55
11.7%
3.1%
5.9%
7,979
6,149
1,800
3.8x
3.7x
3.5x
11.2x
11.8x
11.0x
10.3%
79.4%
31.1%
Proofpoint
US
3,368
136.41
18.8%
22.8%
31.8%
7,872
7,696
1,020
7.6x
7.4x
6.5x
NM
41.7x
40.1x
17.6%
80.0%
17.7%
CyberArk
IL
1,380
161.59
38.6%
62.8%
40.7%
6,259
5,635
884
12.5x
12.6x
11.6x
NM
62.6x
NM
3.4%
85.2%
20.1%
FireEye
US
3,400
23.06
39.5%
89.4%
53.4%
5,211
5,298
942
5.7x
5.7x
5.4x
NM
39.1x
36.4x
5.0%
70.4%
14.5%
Varonis Systems
US
1,574
163.61
110.5%
84.9%
35.6%
5,191
5,139
326
19.0x
18.2x
15.2x
NM
NM
NM
10.9%
86.4%
(1.2%)
Qualys
US
1,459
121.87
46.2%
17.2%
28.3%
4,755
4,363
319
12.4x
12.0x
10.7x
35.7x
25.9x
23.6x
12.8%
80.7%
46.4%
Rapid7
US
1,544
90.16
60.9%
76.7%
20.3%
4,674
4,814
321
12.3x
11.8x
9.9x
NM
NM
NM
24.6%
73.8%
3.6%
Verint
US
6,200
67.18
21.4%
48.7%
17.9%
4,416
4,889
631
3.9x
3.8x
3.6x
26.1x
14.7x
13.9x
(1.8%)
69.7%
25.9%
Mimecast
GB
1,800
56.84
31.0%
36.4%
26.4%
3,632
3,662
231
7.9x
7.6x
6.7x
64.8x
32.7x
32.8x
18.2%
NA
23.4%
Sumo Logic
US
796
28.58
NA
NA
9.1%
2,924
2,517
407
13.1x
12.5x
10.7x
NM
NM
NM
29.4%
75.1%
(14.7%)
Secureworks
US
2,685
14.22
(14.6%)
24.4%
26.0%
1,169
1,012
188
1.8x
1.8x
1.7x
NM
30.0x
33.0x
1.3%
59.8%
6.0%
F-Secure
FI
1,693
4.69
37.3%
45.2%
(5.1%)
742
750
50
2.9x
2.8x
2.6x
27.9x
16.3x
16.9x
9.7%
77.9%
17.2%
Zix
US
566
8.63
27.3%
25.1%
19.9%
474
760
24
3.6x
3.5x
3.1x
17.4x
14.7x
13.1x
25.4%
54.4%
23.7%
Cheetah Mobile
CN
2,209
1.80
(50.4%)
4.7%
(24.4%)
252
33
235
0.1x
0.1x
0.1x
NM
NA
NA
(2.3%)
70.5%
0.0%
Average
10.4x
10.1x
8.7x
30.3x
28.5x
24.7x
12.1%
76.3%
19.4%
Median
8.5x
8.2x
7.3x
27.9x
29.5x
25.9x
10.6%
78.3%
18.9%
41
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
Public comps – Marketing applications
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
SAP
DE
101,450
$131.60
(2.5%)
(5.7%)
8.3%
$156,184
$163,964
$9,352
5.0x
4.9x
4.9x
19.5x
14.0x
14.1x
8.1%
72.4%
34.9%
Five9
US
1,210
174.40
165.9%
57.6%
12.4%
11,507
11,383
781
28.5x
27.0x
22.8x
NM
NM
NM
28.7%
64.3%
18.5%
BigCommerce
US
690
64.15
NA
NA
(20.5%)
4,436
4,296
179
30.6x
29.1x
24.5x
NM
NM
NM
31.9%
77.9%
(18.2%)
LivePerson
US
1,213
62.23
68.2%
50.2%
6.5%
4,162
4,166
199
12.1x
11.5x
9.3x
NM
NM
NM
24.7%
72.5%
8.2%
Sprout Social
US
623
45.41
182.9%
68.2%
(11.6%)
2,404
2,262
167
18.3x
17.2x
13.5x
NM
NM
NM
28.1%
74.2%
(15.4%)
ChannelAdvisor
US
642
15.98
76.8%
0.9%
8.3%
463
409
66
2.9x
2.9x
2.7x
16.9x
12.0x
11.3x
9.8%
80.0%
23.9%
Average
18.5x
17.5x
14.6x
16.9x
12.0x
11.3x
24.6%
73.8%
3.4%
Median
18.3x
17.2x
13.5x
16.9x
12.0x
11.3x
28.1%
74.2%
8.2%
42
Source: Capital IQ as of 31 December 2020
Note: Multiples in excess of 75.0x or less than 0.0x are considered not-material (NM) and are not included in average calculation
Public comps – Storage
Share
Price
Market
Cap
EV
Cash
EV/Revenue
EV/EBITDA
CY
Revenue
Growth
Company Name
HQ Employee 12/31/20
LTM
L6M
L1M
(m)
(m)
(m)
LTM
CY20E
CY21E
LTM
CY20E
CY21E
20/19
Gross
EBITDA
Share Price Performance
CY20E
Margins
Microsoft
US
163,000
$222.42
41.0%
9.3%
3.9%
$1,681,606 $1,626,873
$137,949
11.1x
10.8x
9.8x
23.9x
23.5x
21.6x
12.1%
NA
46.0%
Amazon
US
798,000
3,256.93
76.3%
18.1%
2.8%
1,634,168
1,662,580
68,402
4.8x
4.4x
3.7x
38.0x
30.2x
24.0x
35.5%
40.0%
14.5%
Alphabet
US
132,121
1,752.64
30.9%
23.6%
(0.1%)
1,185,281
1,079,780
132,596
6.3x
6.0x
5.0x
22.5x
17.0x
14.1x
10.4%
53.4%
35.5%
Verizon
US
133,200
58.75
(4.3%)
6.6%
(2.7%)
243,113
374,069
9,011
2.9x
2.9x
2.8x
7.9x
8.0x
7.7x
(2.7%)
59.9%
36.5%
Salesforce
US
49,000
222.53
36.8%
18.8%
(9.5%)
203,714
200,445
9,492
9.9x
9.5x
7.9x
NM
31.6x
28.3x
23.4%
77.9%
30.1%
Oracle
US
135,000
64.69
22.1%
17.0%
12.1%
190,450
223,458
38,610
5.7x
5.7x
5.5x
12.9x
11.5x
11.0x
(0.5%)
NA
49.3%
IBM
US
352,600
125.88
(6.1%)
4.2%
1.9%
112,166
167,084
15,593
2.3x
2.3x
2.2x
10.6x
11.0x
8.8x
(2.4%)
48.6%
20.5%
NetApp
US
10,800
66.24
6.4%
49.3%
24.3%
14,797
13,911
3,653
2.5x
2.5x
2.4x
12.9x
10.9x
10.2x
(1.0%)
NA
23.1%
Dropbox
US
2,801
22.19
23.9%
1.9%
11.1%
9,178
9,074
1,227
4.9x
4.8x
4.3x
40.4x
16.3x
13.8x
14.9%
79.2%
29.1%
Iron Mountain
US
25,000
29.48
(7.5%)
13.0%
7.2%
8,495
19,496
152
7.1x
4.7x
4.6x
13.6x
13.5x
12.5x
54.0%
57.7%
35.0%
Nutanix
US
6,160
31.87
2.0%
34.4%
16.4%
6,423
6,254
1,318
4.8x
4.9x
4.7x
NM
NM
NM
3.0%
NA
(21.6%)
Box
US
2,046
18.05
7.6%
(13.1%)
(3.4%)
2,864
3,013
275
4.0x
3.9x
3.6x
NM
16.2x
15.1x
10.4%
73.2%
24.2%
CommVault
US
2,533
55.37
24.0%
43.1%
15.9%
2,610
2,236
394
3.3x
3.3x
3.1x
NM
NA
16.8x
(0.5%)
NA
0.0%
Brightcove
US
616
18.40
111.7%
133.5%
10.2%
732
720
30
3.8x
3.7x
3.4x
NM
39.7x
33.3x
4.9%
62.2%
9.4%
Average
4.8x
4.5x
4.1x
19.9x
18.7x
16.3x
11.5%
61.3%
22.0%
Median
4.8x
4.4x
3.7x
13.3x
16.2x
13.9x
4.9%
59.9%
24.2%
43
Section 8
Appendix C: GP Bullhound credentials & team
44
ACQUIRED BY
ACQUIRED BY
INVESTMENT BY
ACQUIRED BY
INVESTMENT BY
ACQUIRED BY
GP Bullhound’s recent activity in the software space
SELECTED SOFTWARE CREDENTIALS
ACQUIRED BY
INVESTMENT BY
ACQUIRED BY
ACQUIRED BY
ACQUIRED BY
ACQUIRED BY
ACQUIRED BY
ACQUIRED BY
ACQUIRED BY
ACQUIRED BY
INVESTMENT BY
ACQUIRED BY
ACQUIRED BY
ACQUIRED BY
ACQUIRED BY
ACQUIRED BY
ACQUIRED BY
INVESTMENT BY
45
Authors
Brandon Overmyer
VICE PRESIDENT
Brandon.Overmyer@gpbullhound.com
Eric Crowley
DIRECTOR
Eric.Crowley@gpbullhound.com
Jonathan Cantwell
PARTNER
Jonathan.Cantwell@gpbullhound.com
Marvin Maerz
VICE PRESIDENT
Marvin.Maerz@gpbullhound.com
Matthew Young
ANALYST
Matthew.Young@gpbullhound.com
Pierce Lewis-Oakes
ASSOCIATE
Pierce.Lewis-Oakes@gpbullhound.com
Daniel Roberts
ANALYST
Daniel.Roberts@gpbullhound.com
Adam Segall
ANALYST
Adam.Segall@gpbullhound.com
Okan Inaltay
ASSOCIATE
Okan.Inaltay@gpbullhound.com
46
Section 9
Appendix D: GP Bullhound corporate overview
47
We partner with global tech
leaders to build the future
Creative services to update
Confidential
48
GP BULLHOUND
FUND III
GP BULLHOUND
FUND IV
GP BULLHOUND
FUND V
GP BULLHOUND
FUND IV
GP BULLHOUND
FUND IV
A leading technology advisory and investment firm
ABOUT GP BULLHOUND
(1) League table data represents selected transaction advisors. Time period is 2016-Q4 2019. Global M&A transactions
between $10m and $300m
ESSENCE
BALTIC CLASSIFIEDS
GROUP
FALCON.IO
JELLYFISH
SPOTIFY
SLACK
UNITY
GLOVO
INNOGAMES
DELIVERY HERO
SIGNAVIO
PRODIGY FINANCE
TECHNOLOGY
PREDICTIONS
TITANS
OF TECH
SUMMIT
MARBELLA
INVESTOR
ALLSTARS
Mergers & Acquisitions
Investments
Capital Transactions
Insights & Events
We are the no. 1 global advisor (1) to leading technology
companies in competitive international sale and acquisition
processes.
The firm has completed 420 successful M&A transactions to date,
worldwide, with a total value of over $18bn.
Through our investment team, we provide investors with access to
category leading technology companies.
Our assets under management total more than €365m and our
limited partners include institutions, family offices and
entrepreneurs.
We are a leading global advisor to companies and their owners
on capital related transactions including venture capital, growth
capital, acquisition funding, secondary block trades and initial
public offerings.
The firm has completed 120 rounds of financing for technology
companies to date, with a total value of $2bn.
Our events and speaking activities bring together thousands of
leading digital entrepreneurs and technology investors
throughout the year.
Our thought-leading research is read by thousands of decision-
makers globally and is regularly cited in leading newspapers and
publications.
MARIADB
FILTER
ECOVADIS
NORTHERN
TECH AWARDS
49
Confidential
Confidential
50
Natalie Dean
VP FINANCE
Reda Ben Larbi
ANALYST
Per Roman
MANAGING PARTNER
Adam Birnbaum
DIRECTOR
Olivia Hornstein
OFFICE MANAGER
Vincent Wei
ASSOCIATE
Gaia Cibrario
ANALYST
Candice Mostisser
ANALYST
Alon Kuperman
EXECUTIVE
DIRECTOR
Manon Rodier
ANALYST
Jaime Moreno
DIRECTOR STRATEGY
Julian Riedlbauer
PARTNER
Gioia Cerbelli
ASSOCIATE
Susanna Andersson
OFFICE MANAGER
Maria Sosna
OFFICE MANAGER
Hampus Hellermark
ASSOCIATE
Alessandro Casartelli
EXECUTIVE
DIRECTOR
Miguel Kindelán
EXECUTIVE
DIRECTOR
Erik Andershed
DATA SCIENTIST
Joel-Oskar Raisanen
ANALYST
Ian Carroll
DIRECTOR FINANCE
Ravi Ghedia
DIRECTOR
Sven Raeymaekers
PARTNER
Claudio Alvarez
PARTNER
Victoria Martin
PERSONAL
ASSISTANT
Greg Smith
PARTNER
Fraenze Gade
VP EVENTS
Charlotte Carew-Gibbs
HR MANAGER
Ed Prior
ASSOCIATE
Bulat Mardanov
ASSOCIATE
Sir Martin Smith
CHAIRMAN
Seth Alpert
SENIOR ADVISOR
Joy Sioufi
EXECUTIVE
DIRECTOR
Jon Cantwell
PARTNER
Ben Prade
EXECUTIVE
DIRECTOR
Alexis Majos
ANALYST
Staffan Ingeborn
NON-EXECUTIVE
DIRECTOR
Johannes Akermark
DIRECTOR
Victoria Palma Ehrichs
PERSONAL
ASSISTANT
Marvin Maerz
VICE PRESIDENT
Hugh Campbell
MANAGING PARTNER
Robert Ahldin
SENIOR ADVISOR
Kevin Siagam
ASSOCIATE
Okan Inaltay
ASSOCIATE
Javed Huq
DIRECTOR
Manish Madhvani
MANAGING PARTNER
Geneshe Edelman
OFFICE MANAGER
Joyce Byrne
OFFICE MANAGER
Joy Abiola
VICE PRESIDENT
Dipam Patel
VICE PRESIDENT
Elsa Hu
EXECUTIVE
DIRECTOR
Iman Crisby
EXECUTIVE
DIRECTOR MARKETING
Karl Blomsterwall
ASSOCIATE
Johan Roslund
VICE PRESIDENT
Sandra Núñez
GRAPHIC DESIGNER
Brandon Overmyer
VICE PRESIDENT
Simon Nicholls
PARTNER
Joakim Dal
PARTNER
Alec Dafferner
PARTNER
Guillaume Bonneton
PARTNER
Alexis Scorer
EXECUTIVE
DIRECTOR
Oliver Schweitzer
EXECUTIVE
DIRECTOR
Felix Bratell
VICE PRESIDENT
Evgeny Yakovlev
ANALYST
Bev Boettcher
OFFICE MANAGER
Ashleigh MacDonald
FINANCE MANAGER
Caoimhe Bradley
OFFICE MANAGER
Jade Williams
PERSONAL
ASSISTANT
Maria Lazareva
PERSONAL
ASSISTANT
Joaquin del Rio Briones
ANALYST
Pierce Lewis-Oakes
ASSOCIATE
Andrea López
DESIGN COORDINATOR
Carl Wessberg
PARTNER
Freddie Dodge
ANALYST
Cecilia Roman
SENIOR ADVISOR
Praveena Muthukumar
VP FINANCE
Adam Page
VICE PRESIDENT
Matthew Young
ANALYST
Eric Crowley
DIRECTOR
Carolin Drewes
ASSOCIATE
Felix Lutjen
ANALYST
Dave Nish
VP TECHNOLOGY
Jaime Sendagorta
VICE PRESIDENT
Carlos de la Esperanza
ANALYST
Jennifer Eller
RESEARCH EDITOR
Daniel Roberts
ANALYST
Jesper Rothe
ANALYST
Inge Heydorn
PARTNER
Anna Arce-Leplau
FUND OPERATIONS
MANAGER
Jason Nordlicht
ASSOCIATE
Joe Tabberer
VICE PRESIDENT
Joffrey Ezerzer
ASSOCIATE
Matthew Choi
DIRECTOR
Mona Hautala
ANALYST
Laurence Devriese
ANALYST
Sacha Bouaziz
ANALYST
Stefano Caprirolo
ANALYST
Marty Flaherty
DIRECTOR
Sofie Richter
ANALYST
Luis Rosales
ANALYST
Adam Segall
ANALYST
Confidential
51
Global marquee transactions
Baltic Classifieds Group
ACQUIRED BY
GP Bullhound Fund III
EcoVadis
GP Bullhound Fund III
Innogames
INVESTED IN
INVESTMENT BY
INVESTED IN
INVESTMENT BY
UNDISCLOSED
REALISED
(DIRECT LISTING)
$200M
ACTIVE
€260M VALUATION
Apax Partners
Spotify
CVC Growth Partners
Klarna
Modern Times Group
GP Bullhound Fund IV
INVESTED IN
Jellyfish
Filter
INVESTMENT BY
ACQUIRED BY
Slack
Fimalac Group
Merkle
REALISED
(DIRECT LISTING)
£500M
UNDISCLOSED
Sendinblue
INVESTMENT BY
$160M
Bridgepoint Development & BPI
GP Bullhound Fund IV
INVESTED IN
Unity
ACTIVE
$13.6BN NYSE IPO
Confidential
52
Sharing insights & connecting brilliant people in the tech world
GP BULLHOUND INSIGHTS & EVENTS
Titans of Tech
PANDEMIC PROOF?
Technology
Software
Digital Services
Fintech
PREDICTIONS
GLOBAL MARKET
PERSPECTIVES
GLOBAL MARKET
PERSPECTIVES
GLOBAL MARKET
PERSPECTIVES
Summit
MARBELLA
Northern Tech
Investor
Conference
Market Update
AWARDS
ALLSTARS
RECEPTIONS
WEBINARS
Confidential
53
Corporate responsibility at GP Bullhound
Our ESG initiatives are a continuously evolving process that we are incredibly passionate about. Applying these principles
will allow better long-term financial returns for companies and investors, and a closer alignment with the values of our team
and society. We believe tech contributes to the greater good and provides solutions to solve many of the world’s problems
and injustices.
ENVIRONMENT & SUSTAINABILITY
ETHICS & COMPLIANCE
LABOUR & HUMAN RIGHTS
INVESTING & ADVISING RESPONSIBLY
With our CSR group and carbon footprint program we work towards
mitigating our environmental impact by reducing our energy
consumption and waste generation, digitalising communications
and materials, optimising our archiving with Data Life Cycle
Management and server virtualisation, and prioritising sustainable
procurement.
We have formal compliance policies in place against corruption,
bribery and to ensure third-party information security.
As a way to contribute to a better world now and tomorrow, we
give back a share of our success by supporting charitable non-profit
organisations, with emphasis in areas where tech intersects with
human rights, education, health, diversity and the environment.
With 20 nationalities represented within our team, we champion
diversity, respect, education and equal chances for all. Our
employee benefits include parental leave, flexible work, healthcare
coverage, training and mentoring, and company stock ownership.
Our cultural board and Women @GPB groups work on enhancing
company culture and gender diversity.
We consider multiple criteria when selecting the companies we work
with, such as their impact on the environment and society, their
approach to talent, equality, regulatory compliance, as well as
financial health and political risk.
GP Bullhound is a member of the British, Swedish and Hong Kong
Private Equity and Venture Capital Associations, and follows and
supports the UN Principles for Responsible Investment.
54
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