Presented by Berkery Noyes 1 October 2011 Third Quarter Mergers and Acquisitions Update PRIVATE EQUITY IN INFORMATION INDUSTRY Financially Sponsored Transactions within the Information Industry Q3 Key Highlights • The most active acquirer through Q3 2011 was Thomas H. Lee Partners, L.P. with 13 acquisitions, 3 of which occurred in the third quarter: Collaborative Fusion, Inc., Syndicated Methods, Inc., and the telecommunications business of PivotPoint Solutions. • The largest announced transaction in Q3 2011 and through the third quarter was Kohlberg Kravis Roberts & Co. and Silver Lake Partners’ acquisition of GoDaddy.com for $2.25 billion. Q3 Key Trends • Total transaction volume in Q3 2011 increased by 17 percent over Q2 2011, from 92 to 108 transactions. • Total transaction value in Q3 2011 decreased by 3.5 percent over Q2 2011, from $8.5 billion to $8.2 billion. Multiples & Value Trends • Median EBITDA multiples from 2010 to the first nine months of 2011 went from 10.7 to 11.0, a 3 percent increase, while median revenue multiples stayed the same at 1.8. • Median value has improved from 2009 and 2010, due in part to the large value of transactions in Q2 and Q3 2011. Top Ten Deals through Q3 2011 • The top ten deals by value have changed since our half year report, with two acquisitions entering the list from Q3 2011: Kohlberg Kravis Roberts & Co. and Silver Lake Partners’ acquisition of GoDaddy.com and Providence Equity Partners Inc.’s acquisition of Blackboard Inc. • These two acquisitions, with an aggregate value of $3.96 billion, represent 18 percent of total transaction value in the 1st 3 Quarters of 2011, and 48 percent of Q3 2011 transaction value. Figure 1. 2010 - 2011 value and volume comparison by quarter. Figure 2. 2008 - 2011 median: Value, Revenue, EBITDA comparison through Q3 2011. Q3 Deal Date Target Name Buyer Value MM US$ 07/01/11 GoDaddy.com Kohlberg Kravis Roberts & Co., Silver Lake Partners $2,250 01/05/11 Acosta, Inc. Thomas H. Lee Partners, L.P. $2,000 04/26/11 Lawson Software Infor, a portfolio company of Golden Gate Capital $1,779 07/01/11 Blackboard Inc. Providence Equity Partners Inc. $1,712 04/04/11 Epicor Software Corporation Apax Partners $946 04/04/11 Activant Solutions, Inc. Apax Partners $890 03/25/11 Auto Assets Including AutoTrader.ca from Trader Corporation Apax Partners $724 02/09/11 Opodo eDreams, Go Voyages $614 05/10/11 CKx, Inc. Apollo Global Management, LLC $540 05/16/11 Primedia, Inc. TPG Capital $524 2011 Aggregate Transaction Value $21,766 Top 10 Aggregate Transaction Value $11,977 Top 10 Aggregate Value as a Percentage of All Transactions 55 % Top Ten Notable Transactions - 1st 3 Quarters 2011 Figure 3. Lists the top ten announced transactions in the 1st nine months of 2011 and calculates their aggregate transaction value as a percentage of the total aggre- gate transaction value. Note: Transactions data based on announcement date.