Investments, mergers and acquisition trends in the salesforce ecosystem by True Blue Partners Nov 2017

M&A Trends in the Salesforce Ecosystem
Jonathan Ting
Analyst
jting@truebluepartners.com
669-231-8771
Sunil Grover
Managing Partner
sgrover@truebluepartners.com
669-231-8770
November 2017
Eric Wu
Analyst
ewu@truebluepartners.com
669-231-8772

© 2017 True Blue Partners, LLC. All rights reserved. |
Our services include: M&A advisory, private equity recapitalizations, and co-investments
Exclusively focused on Information Technology
- SaaS/Enterprise Application Software
- Managed Services
- System Integrators/IT Services
- Tech-enabled Services
- Technology Solutions
Serving entrepreneurs in the lower mid-market
High impact, value-added role
2
True Blue Partners Overview
Steadfast partners for entrepreneurs in information technology
Past clients

© 2017 True Blue Partners, LLC. All rights reserved. | 3
Deep Expertise in Information Technology
Proven track record in SaaS, Software, and IT Services M&A*
Has been acquired by Has been acquired by
Has been acquired by
Managed Services Unit
Has made an investment in
M&A experience from
multiple perspectives
- Sell side advisor
- Buy side advisor
- Buying for and selling to
financial buyers – new
platforms
- Buying for and selling to
strategic buyers
- Controlling owner
- Founder operator
- Minority owner
- Carve outs
- Tuck-ins
- Mid-market
- Bulge bracket
Has sold assets to Has been acquires by
Under LOI discussions
Project
Picasso
Has been recapitalized by
Has been acquired byHas been acquired by
Has acquired
Has acquired

In-depth ecosystem
reports and reviews
4
TBP is Highly Active in the Leading Software Ecosystems
Notable Transaction
Spotlights
Active presence at
events and conferences

At Dreamforce ‘17, the TBP team met with 28 executives
in the Salesforce space (26 CEO/Founders)
Detailed monitoring and reporting on M&A and
investment trends in the Salesforce ecosystem
Salesforce is a Key Focus Area for TBP
TBP’s Dreamforce ’17 attendance statistics
M&A
Capital
Raising
Channel
Development
Other
Discussion Topics
TBP Meetings at Dreamforce '17
VP Corp Dev
(software)
Ex-CEO (services)
CEOs (software)
CEOs (services)

ISVs built on Force.com are growing to unicorn valuations and exits
- Mature players are lowering their dependency on Salesforce/Force.com by expanding to other platforms
M&A for smaller Salesforce-focused System Integrators is gaining momentum
- Large Salesforce-only System Integrators have almost all been acquired
Salesforce’s acquisitions slowed post-Demandware
- The pause in M&A is consistent with past patterns of taking time to digest large acquisitions
Salesforce Ventures continues to invest actively in multiple markets at every level
- Force.com native apps
- AppExchange focused companies
- Broader strategic interests – Cloud technologies and applications
- Salesforce-focused System Integrators
Key Takeaways
6

1. M&A, Investments, and Exits in the Salesforce Ecosystem
2. Salesforce.com M&A Review
3. Valuations for Publicly Traded SaaS Companies
4. Appendix: SAP, Oracle, Microsoft
5. True Blue Partners Case Studies
7
Contents
Data Sources: Publicly available materials only
Company releases
CapitalIQ
Bloomberg
Gartner
Pitchbook
Online news sources

M&A, Investments, and Exits in the Salesforce Ecosystem
ISVs built on Force.com are growing to unicorn valuations and exits

Veeva (NYSE:VEEV) quadruples its market cap in 4 years ($2.4b in 2013 to $8.5b today)
ServiceMax was acquired by GE Digital for nearly $1b
Apttus raised another $55m at a $1.3b valuation in Sep 2017  total funding now over $300m
• Salesforce participated in Apttus’ latest investment round after its acquisition of SteelBrick, a direct competitor of Apttus
9
Force.com is all grown up!
Force.com-based business models have shown to be viable and lucrative
$1.5b valuation
$915m
@exit
$1.3b valuation
$8.4b market cap

Veeva IPOs at a $2.4b Valuation
Veeva is a hit in public markets – an illustrative pathway for value creation around Force.com
Recent Acquisitions
Company Date
Size
($m) Background
Sep 2015 130
Life sciences content
compliance management
Jul 2015 -
Mobile CRM, sales
management
Round Date
Size
($m) Investors
Angel Feb 2007 3.0 -
Venture Jun 2008 4.0 Emergence Capital Partners
- On October 16, 2013, Veeva Systems went IPO on the NYSE
with the ticker VEEV for $20.00/share
- The company raised $260m at a $2.4b valuation; the stock price
closed its 1st day at $37.16/share1
- Veeva grew at 93% CAGR in the four years leading up to IPO
- The company currently has an enterprise value of over $7.7b
Veeva is a strong SaaS company in all regards
- Capital efficient
- Strong revenue growth (320% over 4 years)
- Consistent EBITDA and GAAP earnings profitability
- Annual revenue per customer is extremely high
- Veeva $1.1m/customer
- Salesforce $56k/customer2
Veeva continues to remain the quintessential SaaS company,
proving the viability of the Force.com platform in the public
markets
Now, Veeva is expanding to the Microsoft ecosystem to reduce
its dependency on Salesforce
Peter Gassner
Founder, CEO
Gartner Peer Insights review
IPO Review Acquisitions
Private Placements
- Founded: 2007
- Headquarters: Pleasanton, CA
- Stock Symbol: NYSE:VEEV
- Revenue: $600m+
- Growth: 30% YoY
- Customers: 500+; life sciences, pharma, biotech
- Employees: 600 at IPO
- SaaS CRM and vertical solutions for life
sciences, pharma, and biotech industries
- Flagship CRM offering built natively on
Force.com
Veeva Overview
Client Base
$10
$20
$30
$40
$50
$60
$70
Share Pricing
$-
$200
$400
$600
$800
2014 2015 2016 2017 2018
LTM Revenue & EBITDA by Quarter
In millions
Revenue EBITDA
0x
5x
10x
15x
20x
Enterprise Value/Revenue
1http://www.businessinsider.com/veeva-systems-great-ipo-2013-10
2https://www.salesforce.com/company/news-press/press-releases/2017/05/170518.jsp

David Schmaier Co-Founder, CEO Rip Gerber Chief Marketing and Alliance Officer
Craig Ramsey Co-Founder, Chairman Mark Armenante Co-Founder, Director
Young Sohn Co-Founder, Director James Ramsey Co-Founder, Director
11
Vlocity Follows Veeva’s Example and Builds on It
Tailored applications for multiple industries
Round Date
Size
($m) Investors
Venture Apr 2015 42.8 Salesforce Ventures (Lead)
Accenture plc (NYSE:ACN)
Series B Sep 2016 50.0 Sutter Hill Ventures (Lead)
Salesforce Ventures
Accenture plc (NYSE:ACN)
Kennet Partners Limited
New York Life Insurance Co.
TDF Ventures
Wildcat Venture Partners, LP
- Prior to co-founding Vlocity, David Schmaier was a founding executive at Siebel Systems, where he led all products
and go-to-market functions
- At Siebel, he and his team designed and tailored CRM software for 24 different industries, and as a result 80% of the
company’s revenues came from industry-specific applications
Moving the world to the cloud, one industry at a time
- At Dreamforce 2013, Schmaier noticed that there was a distinct lack of industry-specific solutions in the Salesforce
ecosystem, and he co-founded Vlocity with some of the original Veeva co-founders to remedy that
- Initially, Vlocity focused only on the Telecommunications, Insurance, Healthcare, and Public Sector verticals
- These four verticals share two key characteristics that make them perfect customers for Vlocity’s industry-specific
customer experience solutions: dependence on heavily customized legacy software that is becoming increasingly
expensive and difficult to update; and reputations for poor customer service
- It has since expanded outside the US to Europe, Latin America, India, and Australia, and plans to use its most recent
round of funding to continue its international expansion
- Roughly half of Vlocity’s revenue comes from international business2
An extensive partner network of SIs, consulting companies, and other ISVs
- Vlocity boasts a partner network including IBM, KPMG, Adobe, Capgemini, Cognizant, Docusign, PWC, and
FinancialForce
- Salesforce and Accenture, two of Vlocity’s key partners, both participated in both of Vlocity’s two funding rounds
- While Salesforce has historically invested mostly in companies with existing institutional investors, it not only
participated in Vlocity’s first round, it even led the round itself
Company Details Private Placements
- Founded: 2014
- Headquarters: San Francisco, CA
- Provides vertical-specific software applications for the
Communications & Media, BFSI, Energy, Healthcare, and Public
Sector industries
- Built natively on the Force.com platform
- Salesforce led Vlocity’s initial venture round
- Fastest growing Salesforce partner in 2015 and 20161
- Strategic partnerships with Salesforce, Accenture, and Deloitte
Vlocity Overview
Client Base
Key People
City of
Washington D.C.
1https://vlocity.com/community/vlocity-selected-by-enterprise-apps
2http://fortune.com/2016/09/20/vlocity-50-million/

Hari Subramanian Co-Founder
Athani Krishnaprasad Co-Founder
David Yarnold CEO
12
GE Digital Acquires ServiceMax for $915m
GE builds its cloud strategy and purchases a key Salesforce asset
Round Date
Size
($m) Lead Investor
Series A Nov 2008 2.0 Emergence Capital Partners
Series B Apr 2010 8.0 Trinity Ventures
Series C Jun 2011 14.0 Salesforce.com (NYSE:CRM)
Series D Nov 2012 27.0 Emergence Capital Partners
Series E Feb 2014 71.0 Mayfield Fund
Series F Aug 2015 82.0 PTC Inc. (NasdaqGS:PTC)
- In Nov 2016, GE Digital LLC announced its acquisition of ServiceMax, Inc. for $915m
- Prior to the acquisition, GE was both a customer and an investor in ServiceMax, having participated in the
company’s largest and final investment round
- ServiceMax is built natively on the Force.com platform
Bolstering GE’s industrial cloud capabilities
- GE Digital’s three focus areas will be service transformation, asset performance management, and the Predix IoT
platform; of the three, ServiceMax will become the core of GE’s offerings for service transformation
- The acquisition of ServiceMax offers GE the ability to automate and digitize the servicing processes for industrial
machinery and equipment, completing GE’s offering portfolio by combining traditional field service platforms, real-
time IoT data, and asset monitoring solutions
Previously irrelevant companies are becoming strategic acquirers of technology companies
- Honeywell International, another giant in the industrials space, recently acquired NextNine, a security management
software company, and Movilizer, a cloud-based field service management software company
- Similarly to GE and its Predix platform, Honeywell has introduced the Honeywell Connected Plant, an IoT solution
for industrial and manufacturing companies
- In Nov 2016, Siemens AG invested approximately $80m in Bentley Systems, a provider of infrastructure
management software
- Siemens has also directed its focus to software; it plans to become one of the top global software players by
leveraging its signature product lifecycle management software and its cloud-based IoT platform Mindsphere,
which is integrated with IBM’s Watson AI
AppExchange review
Acquisition Review Private Placements
- Founded: 1999
- Headquarters: Pleasanton, CA
- Est. 2016 Revenue: $60m1
- Provides cloud-based field service management
software
- Salesforce led ServiceMax’s Series C investment
round
ServiceMax Overview
Client Base
- Honeywell acquires Movilizer – Mar 2016
- Microsoft acquires FieldOne Services – Jul 2015
- Oracle acquires TOA Technologies – Jul 2014
Notable Relevant TransactionsKey People
1https://www.forbes.com/sites/susanadams/2016/11/14/forbes-billion-dollar-startup-servicemax-sells-to-general-electric-for-915-million/

Salesforce Acquires SteelBrick for $300m
Salesforce strategically acquires a partner to build capabilities for core client base
Recent Acquisitions
Company Date
Size
($m) Background
Sep 2015 -
SaaS enterprise
billing solution
Capital Raised - $60.7m
Round Date
Size
($m) Investors
Series A May 2014 6.5 Emergence Capital Partners
Series B Feb 2015 18.0
Shasta Ventures, Salesforce
Ventures, Emergence
Series C Oct 2015 48.0
Insight Venture Partners,
Salesforce Ventures, Shasta,
Emergence
- In Dec 2015, Salesforce.com announced its acquisition of SteelBrick Inc. for $300m
- SteelBrick had raised $77.7m over 5 investment rounds
- SteelBrick is built natively on the Force.com platform
- A strong differentiator is its ability to deploy 5-10x faster than competitors, making it “a much better fit for mid-
market and smaller companies” – Godard Abel, CEO1
Acquiring core partner capabilities without disrupting the ecosystem
- The acquisition of SteelBrick means Salesforce’s Sales Cloud now officially includes CPQ
- Salesforce has a history of investing in its partners and acquiring them selectively
- Salesforce had led a $41m Series B round for Apttus, a SteelBrick competitor, in Feb 2015 and continues to invest in
2017
- Apttus is focused on the large enterprise segment and diversified into Microsoft; Zuora’s broad capabilities, not built
on Salesforce platform, allow it to offer products surrounding SteelBrick – both will likely be unaffected by
acquisition but the same cannot be said for smaller CPQ-centric offerings on the AppExchange
M&A as a chess piece in Salesforce vs Oracle feud
- CEO of SteelBrick, Godard Abel, was also the CEO of BigMachines, another SaaS CPQ provider, prior to being
acquired by Oracle for an estimated $400m in 20132
- Top investors included JMI Equity, Vista Equity Partners, and Salesforce Ventures
- BigMachines’ Express version was built on Force.com; half of its customers were also Salesforce customers2
- This was Oracle’s 3nd acquisition of a Salesforce asset (Eloqua for $800m in Dec 2012 and Compendium in Oct 2013)
Max Rudman
Founder
AppExchange review
Acquisition Review Acquisitions
Private Placements
- Founded: 2009
- Headquarters: San Mateo, CA
- Revenue: $2m ARR in 2013
- Growth: 300% YoY growth in 1H 2015
- Customers: 350 (110 in 2013)
- Provides SaaS quote-to-cash, CPQ applications
- Currently on AppExchange as “Salesforce CPQ”
- $75 per user/month
SteelBrick Overview
Client Base
- Vendavo acquires Endeavor – Jul 2017
- Oracle acquires BigMachines – $400m – Oct 2013
- PROS acquires Cameleon Software – $33m – Oct 2013
Notable Relevant Transactions
Godard Abel
CEO
1https://www.forbes.com/sites/benkepes/2015/02/05/salesforce-picks-winners-backs-steelbrick-cpq-as-part-of-18m-series-b/#2d3de9f23cc5
2http://www.businessinsider.com/oracle-buys-bigmachines-for-400-million-2013-10

Apttus Finances Series E at $1.3b Valuation
Migrating across platforms after Steelbrick acquisition for further growth
Capital Raised - $60.7m
Round Date
Size
($m) Investors
Series A Sep 2013 37.0
Salesforce Ventures,
ICONIQ, K1
Series B Feb 2015 41.0
ICONIQ, K1
Series C Sep 2015 108.0
ICONIQ, K1, Kuwait IA
Series D Sep 2016 88.0 ICONIQ, GII, K1
Series E Sep 2017 55.0
ICONIQ, PremjiInvest, K1
- The company has raised over $300m in total funding (being valued at $1.3b at the funding round) after self-funding
for the first seven years
- A portion of the $88m Series D went towards developing MAX, a machine learning-driven virtual CPQ assistant built
leveraging Microsoft’s Cortana AI and Azure components
- Apttus is a Force.com native application but actively moving into the Microsoft Dynamics ecosystem
Remaining IPO and acquisition ready
- Apttus has been openly considering and preparing for an IPO since 2016
- Early in 2017, the company claimed to have already completed 50-60% of IPO-related preparations1
- In reference to the latest $55m funding round, “we decided we needed a certain amount of equity on the balance
sheet. When a company is going public or up for acquisition, the investors want to be sure you are liquid.” – Kirk
Krappe, CEO2
Migrating out of Salesforce
- The company announced in Apr 2016 that it would begin supporting Microsoft Dynamics, and recently released
Quote-to-Cash for Manufacturing on Microsoft AppSource
- Apttus claims the Microsoft expansion strategy was already in place prior to Salesforce’s acquisition of SteelBrick
- The company says the acquisition will not affect Apttus’ business and standing with Salesforce; regardless,
companies need to be prepared for changes within the maturing ecosystem, and have strategies in place to mitigate
their risk
Neehar Giri
President, CSO
Acquisition Review Private Placements
- Founded: 2006
- Headquarters: San Mateo, CA
- Revenue: $150m+
- Growth: 60%+ YoY
- Customers: 600+
- Employees: 1,200
- Salesforce Quote-to-Cash software solutions
- No venture funding for first seven years
Apttus Overview
Client Base
- Salesforce acquires SteelBrick – $360m – Dec 2015
- Veeva IPO – $2.4b – Oct 2013
- Oracle acquires BigMachines – $400m – Oct 2013
Notable Relevant Transactions
Kirk Krappe
CEO, Chairman
AI assistant using
Microsoft technology
1https://www.cnbc.com/2017/01/11/apttus-ipo-software-firm-backed-by-salesforce-and-mark-zuckerberg-investment-adviser.html
2https://techcrunch.com/2017/09/13/apttus-scores-55m-as-it-closes-in-on-an-ipo/

The New Concept of Cloud Pools
Leveraging different public cloud resources to craft a best of breed platform
APIs
Data&Objects
AI/Machine
Learning
Salesforce Infrastructure and Network
UserManagement
&Identity
Salesforce Computing Layer
Business Workflow
Data&Objects
Data&Objects
AzureMachine
Learning
Azure Infrastructure and Network
UserManagement
&Identity
Azure Cloud Computing Layer
Business Workflow
Data&Objects
APIs
Computing
Apttus has ported its Salesforce-native application to Azure, rebuilding the application
functionality and data model to sit on top of Microsoft Dynamics elements1
Apttus ‘Snap Performance’ on Azure increases the speed of CPQ operations by up to 90%2
- Leveraging Azure’s ultra high-performance processing power to present results on Force.com
Apttus Snap
Performance
1https://diginomica.com/2017/07/03/apttus-ceo-on-poly-partnering-with-salesforce-microsoft/
2https://apttus.com/press_room/apttus-releases-snap-performance/

Only a portion of the Veeva application is built using the Salesforce platform
The proprietary core engine, the Vault Platform, is built using recognized open-source
components
- Multi-tenant architecture delivered on Salesforce means end-users receive a standard, consistent solution
16
Veeva Leverages Cloud Pools
Salesforce brand with a homemade recipe
APIs
Data&Objects
AI/Machine
Learning
Salesforce Infrastructure and Network
UserManagement
&Identity
Salesforce Computing Layer
Business workflow
Data&Objects
Linux Operating System
Database
Proprietary Vault Platform
Search Application
Server
Workflow
Review&
Approval
Version
Control
External
Collaboration

26k
88k
462k
734k
1m
1.7m
2m
2.7m
3m
3.5m
2006 2007 2009 2010 2011 2012 2013 2014 2015 2016
# of AppExchange Installs
17
AppExchange Continues to Gain Momentum
85 of the Fortune 100 now use apps from Salesforce’s AppExchange1
Sales
37%
Customer
Service
10%
Marketing
9%
IT &
Administration
19%
HR
3%
Finance
6%
ERP
2%
Collaboration
12%
Analytics
2%
Over 3,000 AppExchange Apps
65%+ of which are CRM focused
Salesforce generated $225m in revenues
from the AppExchange in 2015, meaning
apps on the AppExchange generated
$1.5b+ in total revenues2
1https://www.salesforce.com/blog/2016/01/appexchange-10-birthday.html
2https://www.recode.net/2016/1/14/11588810/salesforce-coms-appexchange-is-10-years-old-today

Salesforce doubled its number of investments
from 2014 to 2015
Salesforce Ventures now leads investment
initiatives
173 companies invested in  40+ exits
- 6 IPOs
- 22 exits to strategics
- 2 exits to private equity
- 9 exits to Salesforce itself, eg. Steelbrick and Quip
- 1 asset sale
Salesforce continues to make early-stage
investments to keep current on new
technologies
18
Salesforce Investments Overview
0
2
4
6
8
10
12
2010 2011 2012 2013 2014 2015 2016 2017
Salesforce Investments by Round
Seed Series A Series B Series C+ Growth, Other
4
13
15
13
17
3
1 1
12
43 43
37
0
10
20
30
40
50
2010 2011 2012 2013 2014 2015 2016 2017
YTD
Salesforce Investments
Salesforce.com
Salesforce Ventures
?

Majority of investment efforts remain around the core CRM capabilities, especially marketing
Salesforce has made investments into 8 service and implementation companies since 2016
19
Salesforce Investments are Broad, with a Focus on CRM
Salesforce-Invested Companies
2016-2017
AI, 4
CRM, 26
Cloud Technology, 5Collaboration, 7
(3 crowdsourcing platforms)
CPQ, 1
eCommerce, 2
ERP, 2
Fintech, 2
HR/HCM, 3
Other, 3
Services, 10
Supply Chain, 3
Vertical specific, 3
AI, 2
Big Data/Analytics, 1
Customer
Experience, 5
Customer Service, 2
Marketing, 11
Sales, 5

Majority of Investments are in the Salesforce Ecosystem
Nearly half of the top 50 Salesforce-invested companies are on the Salesforce AppExchange
Salesforce builds and strengthens its ecosystem by investing heavily in companies listed on the
AppExchange and with products built on the Force.com platform
Other investments, like Anaplan and MuleSoft, help Salesforce monitor the markets and
maintain a presence in emerging technologies

Salesforce Ventures Invests in Validated Companies
Salesforce Ventures invests mostly in companies that already have other institutional investors
Salesforce Ventures invested in 24 new
portfolio companies in 2017; of the 24,
17 had previously raised capital from
institutional investors.
Below are the 7 companies that did not
have any institutional investors prior to
Salesforce. Of them, Appiphony was the
only one that Salesforce Ventures
invested in alone.
7
17
No prior institutional investors
Prior institutional investors
Announced Transaction
Date Target Investors Round Type Value ($m)
10/30/2017 transcosmos online
communications inc.
transcosmos inc. (TSE:9715); LINE Corporation (TSE:3938);
Salesforce Ventures
Venture -
08/30/2017 TalkIQ, Inc. Scale Venture Partners; Felicis Ventures; LINE Corporation
(TSE:3938); Danhua Capital; Aspect Ventures; Salesforce
Ventures
Series A 14.0
07/28/2017 Hustle, Inc. Foundation Capital; Matrix Partners; Index Ventures; Omidyar
Network; Kapor Capital; Social Capital; The Designer Fund;
Canvas Management Company, L.L.C.; Salesforce Ventures; New
Media Ventures; GSV Acceleration; Higher Ground Labs
Series A 8.0
07/18/2017 Appiphony, LLC Salesforce Ventures Venture -
07/18/2017 Workato, Inc. Storm Ventures LLC; Salesforce Ventures; Workday Ventures Series A 10.0
06/14/2017 ZenIQ, Inc. Costanoa Venture Capital; Salesforce Ventures Seed 4.6
02/27/2017 Workfit Inc. Battery Ventures; Greycroft Partners LLC; Salesforce Ventures Seed 5.5
21

Total Funding of Salesforce-Invested Companies
Top 100 most $ raised since 2010
Over $1Bn equity investments in the ecosystem
Company________________________ Brief________________________________
Seed,
Venture,
Series A Series B Series C Series D Series E Series F Series G Growth __Total
Apttus Corporation Quote-to-cash software 37.00 41.00 108.00 55.25 241.25
Anaplan, Inc. Planning and performance mgmt - 33.00 100.00 89.17 222.17
MuleSoft, Inc. (NYSE:MULE) Integration software - 37.00 50.55 128.00 215.55
InsideSales.com, Inc. Sales lead mgmt - 100.00 77.65 - 177.65
SIGFOX SA Low energy device IoT - 160.00 160.00
MongoDB, Inc. (NasdaqGM:MDB)Open-source database - 150.00 150.00
Twilio Inc. (NYSE:TWLO) Communications software - 130.00 130.00
Domo, Inc. BI, analytics - 125.00 125.00
FinancialForce.com, inc. ERP - 110.00 110.00
Gainsight, Inc. Customer success mgmt - 51.70 51.50 103.20
ServiceMax, Inc. Field service mgmt - 8.00 14.00 71.00 93.00
Vlocity, Inc. CRM 42.80 50.00 92.80
DocuSign, Inc. Document mgmt - 60.00 - 27.00 87.00
Box, Inc. (NYSE:BOX) Cloud storage - 81.00 81.00
NewVoiceMedia Limited Contact center software - 50.00 30.19 80.19
Evariant, inc. Healthcare CRM - 18.30 54.70 73.00
Sansan, Inc. Contact mgmt - 14.42 16.90 37.89 69.21
HubSpot, Inc. (NYSE:HUBS) Inbound marketing/sales software - 32.00 35.20 67.20
QuBit Digital Ltd Marketing analytics - 26.01 40.13 66.14
SteelBrick Holdings, Inc. Quote to cash software - 18.00 47.82 65.82
Optimizely, Inc. Customer experience software - 58.50 58.50
Pendo.io, Inc. Customer experience software 11.26 20.00 25.00 56.26
BloomReach, Inc. Marketing analytics - 56.00 56.00
Buildscale Inc. Video marketing software - 18.00 35.00 53.00
Radius Intelligence Inc. Marketing software - 50.00 50.00
Classy, Inc. Online fundraising platform - 30.00 18.00 48.00
Kenandy, Inc. ERP 10.50 30.00 - 40.50
MapAnything, Inc. Field mgmt software 7.30 33.10 40.40
Andela Inc. Developer training - 40.00 40.00
Skyhigh Networks, Inc. Identity/access mgmt - 40.00 40.00
AppExchange
Built on Force.com

Company________________________ Brief________________________________
Seed,
Venture,
SessionM, Inc. Customer engagement software - 35.00 35.00
FinanceApp AG Insurance software 33.50 33.50
Janrain, Inc. Identity/access mgmt - 33.00 33.00
BizReach, Inc. Job board - 32.90 32.90
DEMANDBASE, INC. Account-based marketing - 30.00 30.00
Invoca, Inc. Customer call analytics - 30.00 30.00
Onfido Ltd. Identify verification - 30.00 - 30.00
Relationship Science LLC Relationship network marketing - 30.00 30.00
Helpshift, Inc. Mobile customer service app - 25.00 25.00
Cogito Corporation Customer call analytics 5.50 19.10 24.60
CartoDB Inc Location intelligence software - 23.00 23.00
NS1 DNS and traffic mgmt 23.00 23.00
Wrap Media, LLC Mobile engagement software 9.00 12.70 21.70
Talkdesk, Inc Call center software 21.00 21.00
CloudCraze Software LLC eCommerce software - 20.00 20.00
CrowdFlower, Inc. Data mining, crowdsourcing - 20.00 20.00
Poplicus, Inc. Governement marketing analytics - 20.00 20.00
Samanage Ltd. IT service mgmt software - 20.00 20.00
ThousandEyes, Inc. Network monitoring - 20.00 20.00
AutopilotHQ Inc. Visual marketing automation 7.00 12.00 19.00
RedKix Team collaboration software 17.00 17.00
Privitar Ltd Privacy engineering solution 16.00 16.00
Urban Airship, Inc. Mobile engagement platform 15.10 15.10
Bugcrowd Inc. Developer crowdsourcing - 15.00 15.00
FullStory, Inc. Customer experience software - 15.00 15.00
Highspot, Inc. Sales enablement tools - 15.00 15.00
Layer, Inc. Customer engagement platform - 15.00 15.00
Wyng Inc. Social marketing platform - 15.00 15.00
Nymi Inc. Wearable user authentication 14.00 14.00
TalkIQ, Inc. Customer call analytics 14.00 14.00
AppExchange
Built on Force.com

Company_______________________ Brief_________________________________
Seed,
Venture,
APX Labs, LLC Industrial AR software - 13.00 13.00
Dispatch Inc. Autonomous delivery carts 12.00 12.00
Xactly Corporation Sales performance mgmt - 12.00 12.00
Toreta, Inc. Restaurant reservation mgmt 11.85 11.85
Angaza Design, Inc. Pay-as-you-go energy solution - 10.51 10.51
Daily Inches Inc. Content marketing solution - 10.25 10.25
FollowAnalytics, Inc. Mobile communication automation 10.00 10.00
Nektoon AG Contextual search tool - 10.00 10.00
Workato, Inc. Workflow automation 10.00 10.00
Moneytree KK Personal finance mgmt - 8.93 8.93
Full Circle Insights, Inc. Marketing analytics 3.80 4.70 8.50
Amplero, Inc. AI marketing analytics 8.08 8.08
Hustle, Inc. P2P messaging platform 8.00 8.00
Automile Inc. Fleet mgmt 7.50 7.50
OwnBackup Ltd Cloud backup and recovery solution - 7.50 7.50
IntroHive, Inc. CRM automation - 7.30 7.30
Simplus Quote to cash implementation 7.30 7.30
Universal Avenue AB Revenue and financial reporting 7.00 7.00
Chute Corporation Visual marketing automation 2.70 4.10 6.80
Gusto HR mgmt software 6.10 6.10
BrightFunnel, Inc. Marketing attribution and analytics 6.00 6.00
Simpplr Inc. Employee collaboration 6.00 6.00
CoolaData Ltd. Behavioral analytics platform 5.60 5.60
Workfit Inc. AI virtual assistant 5.50 5.50
toBe Marketing Co., Ltd. Client mgmt, marketing automation 5.47 5.47
OpenDataSoft -SAS API development 5.45 5.45
Ark.com, Inc. Social search engine 5.04 5.04
AirPR, Inc. PR measurement solution - 5.00 5.00
Jitterbit, Inc. Integration software 5.00 5.00
RevUp Software Inc. Fundraising solution 5.00 5.00
AppExchange
Built on Force.com

Top Salesforce Co-Investors
Displaying 2010-2017 number of funding rounds. Validation from a broad range of investors.
0 2 4 6 8 10 12
Wilson Sonsini Goodrich & Rosati (3)
Zetta Venture Partners (2)
Andreessen Horowitz (4)
Bain Capital Ventures (3)
Bay Partners (2)
DCM (2)
Fidelity Investments (4)
Greycroft Partners (3)
Greylock Partners (4)
ICONIQ Capital (1)
Ignition Partners (3)
K1 Investment Management (1)
Promus Ventures (2)
SBI Investment (4)
SMBC Venture Capital (3)
Trinity Ventures (2)
Hummer Winblad Venture Partners (2)
Insight Venture Partners (4)
Intel Capital (5)
Microsoft Accelerator (5)
Sequoia Capital (4)
U.S. Venture Partners (3)
Shasta Ventures (3)
Y Combinator Management (6)
Accel Partners (6)
Draper Fisher Jurvetson (6)
Emergence Capital Partners (4)
GV (8)
New Enterprise Associates (5)
Scale Venture Partners (5)
SV Angel (7)
MeriTech Capital Partners (5)
Sapphire Ventures (5)
Battery Ventures (7)
Kleiner Perkins Caufield & Byers (6)
Lightspeed Venture Partners (5)
Bessemer Venture Partners (8)
Angel, Seed, Accelerator Early Stage (Venture, A)
Late Stage (B…) Growth
(#) unique
companies
invested

Enterprise EV/
Date Acquirer Target TBP Commentary Market Segment Value ($m) Revenue
Apr 2017 Community Brands VanDamme Associates, Inc. Association management software solutions CRM Capabilities - -
Apr 2017 Insight Venture Partners Spanning Cloud Apps Cloud backup and recovery solutions;
spun off from Dell EMC
Security - -
Oct 2016 Showpad BVBA Taptera Inc. Mobile enterprise software solutions CRM Capabilities - -
Aug 2016 ONSOLVE, LLC MIR3, Inc. Mass and emergency notification software User Experience - -
Jun 2016 Callidus Software Inc.
(NasdaqGM:CALD)
Badgeville, Inc. Cloud user behavior management software CRM Capabilities 7.5 -
May 2016 Nortek Inc. Nuiku Inc Natural language processing platform;
raised $1.6m in 2013
BI & Data Analytics 3.6 -
May 2016 TrackMaven, Inc. 10Stories, Inc. Marketing attribution and analytics platform CRM Capabilities - -
Apr 2016 Marlin Equity Partners,
LLC
Aprimo LLC Cloud channel marketing automation platform; divested by
Teradata; Teradata acquired Aprimo in 2011 for $525m
BI & Data Analytics 92.0 -
Jul 2015 Nintex USA LLC Drawloop Technologies, Inc. Cloud document management solutions;
top 10 paid app on AppExchange at time of acquisition
Document & Content
Management
- -
Dec 2012 Oracle Corporation
(NYSE:ORCL)
Eloqua, Inc. Cloud-based marketing automation and revenue performance
management software
Marketing Automation 957.9 9.7x
Feb 2012 Vocus Inc. iContact, LLC Email marketing solutions;
sold by JMI Equity and Updata Partners
Marketing Automation 235.9 4.6x
Jan 2012 Blackbaud, Inc.
(NasdaqGS:BLKB)
Convio, Inc. Constituent engagement solutions CRM Capabilities 326.3 3.4x
Mean 5.9x
Median 4.6x
26
Salesforce Ecosystem Software Acquisitions
AppExchange
Built on Force.com

European ISVs in the Salesforce Ecosystem are targeting US to expand their footprint
While securing capital is a priority for some, majority looking to develop channel partnerships
- Implementation partners can leverage incremental revenue opportunities and Force.com mindshare with clients
27
Europe-based ISVs are Expanding to the US
Partnership opportunities for IT Service providers

Salesforce SIs Have Become Hot Targets for Large Buyers
(eCommerce focus)
28

Nov 14, 2017 PwC acquires cDecisions
- UK-based Salesforce implementation and consulting
- Est. 30 employees
- PwC had recently acquired S African-based SF reseller and consulting
partner Agilitude in Sep 2017 (est. 25 employees, $2m revenue) and
Canadian-based SF consulting partner Cinovate in Dec 2015 (est. 15
employees, <$1m revenue)
29
3 SI Acquisitions Happened Around Dreamforce
An opportunity to consolidate the lower-mid Salesforce SI market
acquires
acquires
acquires
Nov 02, 2017 DEG acquires Moku Collective
- California-based Demandware/eCommerce solutions and consulting
- Est. 40 employees
- DEG 2016 revenue $38m, 87% 3-yr growth rate
- DEG had recently acquired a Salesforce Commerce Cloud Partner, We
Do Commerce, in Apr 2017
Nov 01, 2017 Simplus acquires CRM Manager
- Pittsburg-based Salesforce implementation and consulting
- 2013 revenue $3.5m, 25 employees
- Est. 40 employees
- This acquisition marks Simplus’ 4th Salesforce partner acquisition
since receiving $7.3m Series A funding in Sep 2016 ($14m total
funding to date)

Raising growth equity capital to grow through M&A and consolidate mid-market competitors is a
tried-and-true strategy within the Salesforce ecosystem
30
Executing a Growth Equity-Driven Consolidation Strategy
Appirio and Cloud Sherpas both leveraged inorganic growth strategies to reach large exits
Company Date Description
Mar 2014
Developer and design
network
Sep 2013
Developer and design
crowdsourcing
Nov 2012 HCM consulting
Dec 2011 Salesforce consulting
Apr 2011
Cloud training and
learning programs
Mar 2011 Salesforce consulting
Feb 2011
Salesforce and CRM
consulting
Nov 2017 Salesforce consulting
Aug 2017 Salesforce consulting
Apr 2017 eCommerce consulting
Sep 2016 Quote-to-cash consulting
Jan 2013 ServiceNow consulting
Jan 2013
Salesforce and Oracle
CRM consulting
Dec 2012 Salesforce consulting
Mar 2012 Salesforce consulting
Jul 2011 Google consulting
Jul 2011 Google Apps partner
Jul 2011 Google Apps partner
$40m round led by Greenspring Assoc (Dec 2012)
$20m round led by Columbia Capital (Mar 2012)
$1.6m round led by Hallett Capital (Nov 2010)
$60m round led by General Atlantic (Mar 2012)
$10m round led by GGV Capital (Feb 2009)
$7.3m round let by EPIC Ventures (Sep 2016)

Select Salesforce SI Acquisitions
Over 15 Salesforce SI acquisitions in 2017 alone
Transaction EV/
Date Acquirer Target TBP Commentary Value ($m) Revenue
Nov 2017 PwC cDecisions UK-based SF consulting and implementation; 30-40 employees - -
Nov 2017 DEG Digital Moku Collective SF Commerce Cloud and ecommerce consulting;
DEG's 3rd acquisition of 2017
- -
Nov 2017 Simplus CRM manager SF and InsideSales.com consulting and managed services; SF Ventures portfolio
company since 2010, SF Silver Partner; Simplus' 3rd acquisition of 2017
- -
Oct 2017 VISEO NAIT Consulting Services SF consulting in Singapore; 100 employees - -
Sep 2017 Wunderman Pierry Inc. Digital marketing consulting on SF; 2016 revenue $14.5m;
#6 "2016 Fastest Growing Companies" by SF Business Times
- -
Sep 2017 Capgemini Lyons Consulting Group SF Commerce Cloud, SAP Hybris, Magento consulting; 300 employees;
148% growth rate in 2016, 275% in 2015
- -
Aug 2017 CGI Summa Technologies IT consulting; SF gold partner; 200 employees; 2016 revenue $35m;
2014-2017 growth rate 44%; in line with US expansion strategy
- -
Jul 2017 Persistent Systems PARX SF cloud-only consulting in Germany, Austria, Switzerland; 70-100 employees;
$8.5m cash + $7.5m earnout over 3 years
16.0 -
Jun 2017 Accenture Phase One Consulting
Group
Federal industry SF consulting; 100-150 employees;
sold by RLJ Equity who acquired Phase One in Jan 2015
- -
Apr 2017 Simplus EDL Consulting SF and Oracle CPQ consulting; 25 employees; originally split off as the services arm
of CloudCraze; Simplus is funded by Salesforce Ventures
- -
Jan 2017 Salesforce.com Sequence LLC User experience design agency - -
Jan 2017 VPR Consulting CodeSWAT Euro-based SF and MSFT solutions and services; ~200 employees ; VPR CEO's
mission is to be "#1 provider of end-to-end services for the Salesforce ecosystem"
- -
Jan 2017 4C Consulting CloudSocius SF consulting in UK, Europe, Middle East; 60-80 employees;
4C now boasts 180 employees and is backed by Trocadero Capital Partners
- -

Select Salesforce SI Acquisitions
Appirio was one of the last large-scale Salesforce SIs to be acquired
Transaction EV/
Date Acquirer Target TBP Commentary Value ($m) Revenue
Oct 2016 Wipro Appirio SF and Workday consulting; 2015 revenue $200m; one of the older SF and Workday
partners; investors included Salesforce Ventures
500.0 2.6x
Sep 2016 Salesforce.com Gravity Tank, Inc. Brand experience consulting agency - -
May 2016 Salesforce.com YOUR SL GmbH SF implementation and consulting - -
Apr 2016 IBM BlueWolf SF consulting; 500 employees; 50% recurring revenues;
sold by RLH Equity Partners
200.0 -
Mar 2016 Publicis.Sapient Vertiba SF consulting; 2014 revenue $7.6m; 2012-2015 growth rate 316%;
ranked fastest growing IT services company in CO by Inc. 500
- -
Jan 2016 Mindtree Magnet360 SF consulting; 160 employees; $37m cash + $13m earnout; revenue $25m+;
20% growth rate; Salesforce funded
50.0 2.0x
Sep 2015 AST Serene Oracle and SF cloud CRM and data management consulting; $30m annual revenue;
225 employees
- -
Sep 2015 Salesforce.com ÄKTA Mobile application development and UI/UX consulting - -
Oct 2015 West Monroe Partners Etherios SF consulting; spin off from Digi International (NASDAQ:DGII); $9m cash + $5m
delayed
- -
Sep 2015 Accenture Cloud Sherpas Google, SF, ServiceNow cloud consulting; 1,000 employees;
investors included Salesforce Ventures
406.6 -
Jun 2015 Salesforce.com Kerensen Consulting SAS IT services and consulting 24.2 1.4x
May 2013 Perficient Clear Task SF consulting; $7.9m cash/stock + $3.7m earnout & WC; TBP revenue est ~$4m;
"Impressive bill rates and margins" - Perficient CEO
11.6 1.4x

Salesforce.com M&A Review
Salesforce’s acquisitions slowed post-Demandware

Salesforce Acquisitions Overview
0
1
3 3
5
7
1
0
1H 2014 2H 2014 1H 2015 2H 2015 1H 2016 2H 2016 1H 2017 2H 2017
Salesforce Acquisitions
20 acquisitions over the last 3 years
- Including transformative acquisition of Demandware
Over >$4b in transactions in 2016 alone
2016 acquisition spree + losing LinkedIn to Microsoft +
investor pressure over a potential Twitter acquisition
caused M&A to come to a grinding halt
34

• Although its CRM offering already leads the market, Salesforce continues to make CRM-focused
acquisitions to maintain its lead
• Salesforce has also been making acquisitions in spaces adjacent to CRM, expanding its
footprint while staying true to its core competencies
• Quip and SteelBrick are both used by sales teams in the same way a CRM is, but Quip is a collaboration solution at its core and
SteelBrick’s CPQ is closely related to Finance and ERP solutions
35
Salesforce Acquisitions by Product Cloud
Redefining the bounds of CRM

$0
$10
$20
$30
$40
$50
$60
$70
$80
2010 2011 2012 2013 2014 2015 2016 2017
EnterpriseValue($b)
36
Salesforce Enterprise Value and Acquisitions
1-year pauses between large acquisitions
CRM, 14
Big Data /
Analytics, 8
Collaboration, 7
Services, 5
Security, 2
Other, 7
Acquisitions by Segment
$163m
$217m $2,640m
$391m
$745m
$300m
$582m
$768m
$3,036m
Logo size is representative of transaction size

Valuations for Publicly Traded SaaS Companies

Salesforce.com vs. Other Enterprise Software Providers
Salesforce valuation premium has narrowed in the past 24 months as others are catching up
0.0x
2.0x
4.0x
6.0x
8.0x
10.0x
12.0x
14.0x
2010 2011 2012 2013 2014 2015 2016 2017
Total Enterprise Value/Revenue
Salesforce.com, inc. (NYSE:CRM) Oracle Corporation (NYSE:ORCL)
Microsoft Corporation (NasdaqGS:MSFT) SAP SE (DB:SAP)
NASDAQ Composite Index (^COMP)
38

Valuation Drivers in SaaS
Still driven by revenue multiples
Key Drivers
• Revenue Size
• Revenue Growth Rate
• Change in Revenue Growth Rate
• Size and dynamics of target market
• Leadership premium in targeted market
• Gross margins as a proxy for future profits
• EBIDA margins as a proxy for sales model efficiency
Key Takeaways
• No magic formula
• Knowledge of target market dynamics and positioning is key
• Past performance is taken as the best predictor of future results
• Valuations driven by clarity and certainty of where the business is going

Size and Valuations
The largest players tend to also be market leaders and command leadership premiums
Premium for companies with EV>$10B; discount for companies EV < $1B
Plotting Enterprise Value (EV) by Revenue Multiple shows an asymptotic curve
Public SaaS companies include:
APPF, APTI, AYX, BLKB, BNFT, BOX, BV, CALD, CHUB.K, COUP, CRM, CSOD, ECOM, ELLI, EVBG, FIVN, HDP, HUBS, INST, TSX:KXS, NEWR, NOW, OKTA, PAYC, PCTY, PFPT, QLYS, RNG, RP, SPSC, SSTI, TEAM,
TLND, TTD, TWOU, ULTI, UPLD, VEEV, VRNS, WDAY, WK, NZSE:XRO, YEXT, ZEN, ZIXI
4.7x
8.0x
9.0x
12.0x
4.3x
7.5x
8.2x
11.7x
0.0x
2.0x
4.0x
6.0x
8.0x
10.0x
12.0x
<$1b $1 - $2.5b $2.5 - $10b >$10b
EV/LTMRevenue
Enterprise Value
Mean Median
0.0x
2.0x
4.0x
6.0x
8.0x
10.0x
12.0x
14.0x
16.0x
18.0x
- 2,000 4,000 6,000 8,000 10,000 12,000
EV/LTMRevenue
Enterprise Value ($m)

41
Revenue Growth and Valuations
Revenue growth rate a big impact on valuation
Trends in revenue growth also very important. i.e. growing at a increasing or decreasing rate?
3.3x
6.3x
7.7x
9.6x
3.4x
6.3x
7.3x
8.8x
0.0x
2.0x
4.0x
6.0x
8.0x
10.0x
12.0x
<10% 10-20% 20-30% >30%
EV/LTMRevenue
Revenue Growth
Mean Median

Gross Margin and Valuations
Gross margin as a proxy for revenue mix and quality (ex. subscription vs. services vs. reselling)
6.3x
7.2x
8.4x
9.1x
6.6x 6.7x
8.0x
10.4x
0.0x
2.0x
4.0x
6.0x
8.0x
10.0x
12.0x
<60% 60-70% 70-80% >80%
EV/LTMRevenue
Gross Margin
Mean Median

Enterprise Gross EBITDA '15-'16 Revenue LTM Revenue EV/LTM
Segment Company Value Margin Margin Growth Growth Revenue
Marketing HubSpot, Inc. 2,748.4 79.3% (10.4%) 48.9% 39.5% 8.0x
Marketing Yext, Inc. 1,041.3 73.0% (35.8%) 49.5% 67.8% 7.2x
Marketing The Trade Desk, Inc. 1,902.7 79.0% 24.7% 78.3% 60.5% 6.8x
Marketing Bazaarvoice, Inc. 341.8 61.9% (1.5%) 4.5% 1.2% 1.7x
Contact Center Phones RingCentral, Inc. 3,478.7 75.9% (2.5%) 28.2% 29.8% 7.5x
Contact Center Phones Five9, Inc. 1,367.8 59.5% 2.9% 25.8% 22.8% 7.2x
CRM Veeva Systems Inc. 7,872.6 69.3% 25.0% 30.6% 30.7% 12.8x
CRM Zendesk, Inc. 3,263.3 70.2% (22.2%) 49.4% 38.3% 8.2x
CRM Salesforce.com, inc. 76,003.3 73.0% 4.9% 24.1% 25.6% 8.1x
CRM Callidus Software Inc. 1,775.1 61.0% (2.7%) 19.4% 21.4% 7.4x
CRM ChannelAdvisor Corporation 173.9 77.6% (5.3%) 12.5% 8.4% 1.4x
Mean 33.8% 31.5% 6.9.x
Median 28.2% 29.8% 7.4.x
ERP Xero Limited 3,053.1 78.9% (11.1%) 54.5% 37.5% 12.9x
ERP Workday, Inc. 21,193.4 70.2% (12.4%) 47.5% 37.3% 11.4x
ERP Workiva Inc. 870.9 71.3% (16.8%) 23.0% 16.0% 4.4x
HCM Paycom Software, Inc. 4,712.2 85.3% 21.2% 46.5% 32.8% 11.6x
HCM Paylocity Holding Corporation 2,412.8 58.7% 7.1% 51.1% 26.3% 7.6x
HCM Instructure, Inc. 955.2 71.2% (32.3%) 51.5% 44.9% 6.5x
HCM The Ultimate Software Group, Inc. 5,771.6 62.0% 7.7% 26.4% 21.4% 6.4x
HCM Cornerstone OnDemand, Inc. 2,028.9 69.6% (10.4%) 24.6% 12.0% 4.4x
HCM Benefitfocus, Inc. 870.5 51.1% (1.1%) 26.0% 12.3% 3.4x
Supply Chain Kinaxis Inc. 1,309.7 69.4% 19.9% 27.0% 17.5% 10.3x
Supply Chain Coupa Software Incorporated 1,598.7 67.8% (21.1%) 64.6% 45.4% 10.0x
Supply Chain CommerceHub, Inc. 906.2 79.6% 26.1% 14.8% 10.7% 8.4x
Supply Chain SPS Commerce, Inc. 619.5 66.5% 10.9% 21.9% 15.6% 2.9x
Mean 36.9% 25.3% 7.7.x
Median 27.0% 21.4% 7.6.x
43
Valuations of Companies Grouped by Target Markets
Valuation drivers in action: Veeva growing at a consistent pace with high EBITDA margin = Valuation Premium
Yext growing at an increasing rate but at highly negative EBITDA margin = no Premium
Bazaarvoice growing at a low and declining pace = Valuation Discount
The 5 highest and lowest values in each column are highlighted in green and red, respectively.

Real Estate AppFolio, Inc. 1,435.2 61.2% 7.0% 40.8% 36.7% 10.7x
Real Estate Ellie Mae, Inc. 2,685.5 63.7% 20.5% 41.9% 21.7% 6.7x
Real Estate RealPage, Inc. 3,943.4 58.7% 14.0% 21.3% 16.9% 6.2x
Physical Security Everbridge, Inc. 701.1 69.5% (12.5%) 30.9% 34.4% 7.3x
Physical Security ShotSpotter, Inc. 144.9 51.0% 4.3% 31.5% 214.7% 6.6x
Nonprofit Space 2U, Inc. 3,161.6 80.6% (7.2%) 37.1% 34.2% 12.3x
Nonprofit Space Blackbaud, Inc. 5,051.8 54.4% 18.0% 14.6% 8.6% 6.6x
Mean 31.1% 52.5% 8.1.x
Median 31.5% 34.2% 6.7.x
IT Process Management Atlassian Corporation Plc 11,226.8 79.8% (3.5%) 43.0% 37.6% 16.6x
IT Process Management Okta, Inc. 2,624.6 67.4% (45.0%) 109.5% 128.6% 12.8x
IT Process Management ServiceNow, Inc. 21,197.4 73.5% (0.3%) 38.3% 37.3% 12.0x
IT Process Management Upland Software, Inc. 485.4 65.0% 13.6% 6.9% 22.6% 5.4x
IT Management New Relic, Inc. 2,820.2 81.3% (15.1%) 64.2% 37.8% 9.2x
IT Management Talend S.A. 1,075.7 76.9% (15.8%) 39.5% 42.6% 7.8x
IT Management Box, Inc. 2,899.7 73.0% (26.0%) 39.9% 29.6% 6.4x
IT Management Hortonworks, Inc. 1,310.7 67.5% (84.8%) 51.3% 40.5% 5.5x
IT Management Apptio, Inc. 773.7 67.7% (11.3%) 24.2% 19.4% 4.3x
Security Alteryx, Inc. 1,381.7 83.2% (14.9%) 59.4% 54.7% 11.7x
Security Qualys, Inc. 1,898.5 78.0% 25.8% 20.5% 15.8% 8.6x
Security Proofpoint, Inc. 4,004.7 72.2% (7.1%) 41.5% 38.7% 8.4x
Security Varonis Systems, Inc. 1,316.4 90.2% (6.3%) 29.3% 29.0% 6.6x
Security Zix Corporation 218.8 81.3% 22.5% 9.9% 9.4% 3.4x
Mean 41.2% 38.8% 8.5.x
Median 39.7% 37.5% 8.1.x
44
Valuations of Companies Grouped by Target Markets
No one-size-fits-all magic formula to determine valuation multiples
The 5 highest and lowest values in each column are highlighted in green and red, respectively.

Revenue Size Impact
Clear valuation premiums for companies with larger revenue bases
$2.5b - $10b Enterprise Value
Veeva Systems Inc. Healthcare & life sciences CRM 7,872.65 544.04 617.44 24% 69% 12.8x 11.7x
The Ultimate Software Group, Inc. HCM 5,771.61 781.29 899.85 20% 62% 6.4x 6.2x
Blackbaud, Inc. Non-profit management 5,051.81 730.82 769.63 8% 54% 6.6x 6.4x
Paycom Software, Inc. Payroll & HCM 4,712.21 329.14 406.83 31% 85% 11.6x 10.9x
Proofpoint, Inc. Cyber security 4,004.72 375.50 476.70 36% 72% 8.4x 7.9x
RealPage, Inc. Property management 3,943.36 568.13 632.35 18% 59% 6.2x 5.9x
RingCentral, Inc. Communications & collaboration 3,478.72 379.72 465.49 31% 76% 7.5x 7.0x
Zendesk, Inc. Customer service 3,246.00 312.00 395.69 37% 70% 8.2x 7.6x
2U, Inc. Education technology 3,161.60 205.86 257.42 39% 81% 12.3x 11.1x
Xero Limited SMB accounting 3,052.12 190.46 249.99 39% 79% 12.2x 11.5x
Box, Inc. Cloud storage 2,899.74 398.61 452.90 27% 73% 6.4x 5.7x
New Relic, Inc. Performance management 2,776.75 242.64 306.22 35% 81% 9.1x 8.5x
HubSpot, Inc. Inbound sales & marketing 2,697.98 270.97 345.52 37% 79% 7.8x 7.3x
Ellie Mae, Inc. Mortgage processing 2,633.66 360.29 400.34 14% 64% 6.6x 6.4x
Okta, Inc. Identity & access management 2,624.63 160.33 205.11 53% 67% 12.8x 10.7x
Mean 30% 71% 9.0x 8.3x
Median 31% 72% 8.2x 7.6x
'16-'17E LTM Enterprise Value /
Enterprise CY2016 LTM Revenue Gross LTM 2017E
Company________________________________ Brief_____________________________________ ______Value ___Revenue __Revenue __Growth __Margin _Revenue _Revenue
>$10b Enterprise Value
Salesforce.com, inc. CRM 76,003.31 8,391.98 9,387.93 24% 73% 8.1x 7.3x
ServiceNow, Inc. IT service management 21,197.45 1,390.51 1,772.32 38% 73% 12.0x 11.0x
Workday, Inc. HCM 21,193.39 1,569.41 1,853.25 34% 70% 11.4x 10.1x
Atlassian Corporation Plc Software development & collaboration 11,226.76 531.23 676.97 38% 80% 16.6x 15.3x
Mean 33% 74% 12.0x 10.9x
Median 36% 73% 11.7x 10.6x

Revenue Size Impact
The gaps between valuation ranges widen as size decreases
<$1b Enterprise Value
Instructure, Inc. Learning management 934.38 110.88 146.52 41% 71% 6.4x 6.0x
CommerceHub, Inc. eCommerce 874.73 100.55 107.27 11% 80% 8.2x 7.8x
Workiva Inc. Enterprise management 860.38 178.65 199.74 16% 71% 4.3x 4.2x
Benefitfocus, Inc. HCM Benefits 870.49 233.34 252.62 10% 51% 3.4x 3.4x
Apptio, Inc. Enterprise management 745.00 160.57 180.47 16% 68% 4.1x 4.0x
Everbridge, Inc. Event management & enterprise safety 714.37 76.85 96.46 35% 70% 7.4x 6.9x
SPS Commerce, Inc. Supply chain EDI 627.43 193.30 213.43 14% 67% 2.9x 2.9x
Upland Software, Inc. Enterprise management 473.36 74.77 89.48 29% 65% 5.3x 4.9x
Bazaarvoice, Inc. Content marketing 318.23 201.74 203.30 2% 62% 1.6x 1.6x
Zix Corporation Email cyber security 220.42 60.14 64.44 9% 81% 3.4x 3.4x
ChannelAdvisor Corporation eCommerce 171.23 113.20 120.19 8% 78% 1.4x 1.4x
ShotSpotter, Inc. Public safety gunshot detection 143.65 15.51 21.80 52% 51% 6.6x 6.1x
Mean 20% 68% 4.6x 4.4x
Median 15% 69% 4.2x 4.1x
'16-'17E LTM Enterprise Value /
Enterprise CY2016 LTM Revenue Gross LTM 2017E
Company________________________________ Brief_____________________________________ ______Value ___Revenue __Revenue __Growth __Margin _Revenue _Revenue
$1b - $2.5b Enterprise Value
Paylocity Holding Corporation Payroll & HCM 2,354.48 264.09 316.49 26% 59% 7.4x 7.1x
Cornerstone OnDemand, Inc. Learning & talent management 2,028.86 423.12 459.06 14% 70% 4.4x 4.2x
Qualys, Inc. Cyber security 1,881.44 197.93 220.14 16% 78% 8.5x 8.2x
The Trade Desk, Inc. Programmatic advertising 1,902.75 202.93 277.98 51% 79% 6.8x 6.2x
Callidus Software Inc. Sales performance management 1,703.56 206.72 239.66 21% 61% 7.1x 6.8x
Coupa Software Incorporated Spend management 1,552.56 133.78 159.15 33% 68% 9.8x 8.7x
AppFolio, Inc. SMB property & law management 1,399.57 105.59 133.92 34% 61% 10.5x 9.9x
Five9, Inc. Call center 1,376.14 162.09 189.03 22% 60% 7.3x 7.0x
Alteryx, Inc. Data analytics 1,336.18 85.79 117.98 50% 83% 11.3x 10.4x
Kinaxis Inc. Supply chain 1,279.44 115.95 129.16 15% 69% 9.9x 9.6x
Hortonworks, Inc. Data management 1,241.62 184.46 238.76 39% 67% 5.2x 4.8x
Varonis Systems, Inc. Cyber security 1,316.39 164.46 198.56 28% 90% 6.6x 6.3x
Talend S.A. Data management 1,123.50 105.98 137.53 40% 77% 8.2x 7.6x
Yext, Inc. Business listing 1,019.64 124.26 145.43 37% 73% 7.0x 6.0x
Mean 31% 71% 7.9x 7.3x
Median 31% 69% 7.4x 7.0x

Appendix: SAP, Oracle, Microsoft

SAP’s Strategy to Convert the Existing Client Base
IoT and blockchain are major areas of focus moving forward
Post Acquisition SAP in Gartner Magic Quadrants
Procure-to-Pay Suites Talent, Learning & Performance
Management Software
SAP Ariba+Fieldglass
SAP SuccessFactors
Focused on large acquisitions of core application
offerings to sit on top of the HANA platform
- Though few, each acquisition is highly impactful and
asserts a dominant SAP presence in the domain
Concerns over S/4HANA’s high cost, lack of
offerings, and integration of product suites have
been slowing the adoption from existing
customers, although recent growth seems
positive
- ’17Q1 reported 400 new S/ 4HANA users and nearly
half are new customers
- Total of 5,800 S/4HANA customers to date
-30.00%
-20.00%
-10.00%
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
SAP Share Price Change
NASDAQ Composite Index (^COMP) - Index Value
SAP SE (DB:SAP) - Share Pricing
Acquires PLAT.ONE
eCommerce Platform
SAP Hybris

Oracle is leveraging a growth-through-acquisition
strategy to grow the cloud business
- In competing against AWS, acquisition efforts have shifted
towards back-end cloud technologies to build out a complete
database 12c PaaS offering
Large acquisitions of MICROS, Textura, and OPOWER
add a strong presence in industries that are slow to
adopt the cloud – betting on them will mean a ‘decade
of co-existence’ between on-prem and cloud support
’17FQ3 cloud revenue: $1,198m (+63% YoY)
49
Oracle Expecting a ‘Decade of Co-Existence’
On-premise revenue will go flat, SaaS revenue has been and will grow exponentially
0
2
4
6
8
10
'14 '15 '16 '17 YTD
# of Acquisitions
Cloud Application
Cloud Technology
Industry Vertical
-25.00%
-15.00%
-5.00%
5.00%
15.00%
25.00%
35.00%
45.00%
Oracle Share Price Change
Oracle Corporation (NYSE:ORCL) - Share Pricing
Acquires OPOWER
Acquires NetSuite

0
500
1,000
1,500
2,000
2,500
Millionsof$
Salesforce vs Oracle Cloud Revenues
Oracle cloud revenue
Salesforce cloud revenue
50
Salesforce has Clearly Beat Oracle to the $10b Mark
vs.
Acquires NetSuite
Acquires Demandware
Revenues are backwards consolidated

Multi-pronged approach to acquisitions
- Enterprise cloud platform and software
• Arguably late to the enterprise cloud race, but willing to make large,
potentially game-changing acquisitions to catch up
• Acquired LinkedIn in Jun 2016 for $26b and in April 2017
announced its full integration into Dynamics 365
- Focused on cross platform productivity
• Lots of acquisitions to expand Office features, as the traditionally
licensed product suite moves to a SaaS model
• A focus on cross-platform technologies attracts the developer
market and keeps the offerings relevant across various cloud
environments
51
Microsoft is Taking a Different Approach with M&A
Azure revenues in ’16Q4 growth 102% YoY
-20.00%
-10.00%
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
Microsoft Share Price Change
Microsoft Corporation (NasdaqGS:MSFT) - Share Pricing
Acquires LinkedIn
0
2
4
6
8
'14 '15 '16 '17 YTD
# of Enterprise IT Acquisitions
Azure
Data/Analytics
Dynamics
Office 365; Cross-platform; Opensource

• Satya Nadella has made 2x as many
acquisitions as Steve Ballmer (first 4 years vs last 4 years)
• Microsoft to reach a $20b cloud revenue run
rate by 2018
• Dynamics CRMv9 = deep into LinkedIn
• Einstein vs Azure AI
• AppExchange vs Microsoft Store
Read about our thoughts on LinkedIn…
52
Salesforce vs Oracle… and Microsoft?

True Blue Partners Case Studies

Advised AST on Strategic Growth, Acquisitions, and Exit
A four-year engagement yielding highly favorable outcomes for all parties
Strategic Advisory
2012 - 2013
• Engagement with AST prompted by
interest for liquidity
• Ran broad outreach and received bids
from a multi-billion $ strategic and PE-
buyers
• Concerned over leverage, AST decides
on a stand-alone growth strategy
• Invited to make equity investment;
helped to develop 5-year strategic
roadmap through acquisition
Buy-side Advisory
2014 - 2015
• Ran a broad buy-side process
• (200 prospects > 11 meetings > 2 LOIs)
• Completed acquisition of Serene, a
highly synergistic Oracle & Salesforce
cloud implementation firm
• Prepared to acquire $100m asset next and
position the company as the largest
Oracle-only cloud implementation firm
Sell-side Advisory
2015 - 2016
• Developed a recapitalization opportunity
with Tailwind Capital
• Advised AST on sell-side and helped
negotiate significant equity rollover
• AST is now well capitalized and well
positioned to become a leading cloud
implementation firm
Has been recapitalized byHas acquired

AST Recapitalization Case Study Timeline
% change over time of S&P 500 vs Oracle Corp (NYSE:ORCL)
-20
0
20
40
60
80
Dec 2015:
AST is approached and engages
discussion with a select group of
strategic and financial buyers
Jan 2017:
AST recapitalization is completed.
Positioned to be the largest Oracle
focused cloud implementation partner
Received proposals from $bn+
PE backed strategic, large
multibillion IT service provider
and PE stand alone
Sep 2015:
Buy-side process to negotiate2-LOIs
AST completes buy-side acquisition to become the
largest Oracle-only, multi-pillar implementation partner
Apr 2012:
Sell-side engagement launched.
Organized broad outreach
Dec 2013:
After pursuing recapitalization
diligence with PE, AST decides not
comfortable with leverage and to
pursue inorganic growth.
Dec 2014:
AST negotiates buy-side agreement
with selected target. Transaction
postponed due to target internal issues.
Oracle acquires Netsuite
Oracle acquires Acme
Packet for $1.6b
Oracle acquires
Datalogix for $1.1b
Oracle Corp (NYSE:ORCL)
S&P 500

Transaction Overview
- On September 16, 2015, AST Corporation announced its acquisition of Serene
Corporation; the deal adds $30m in annual revenue and 225 employees to AST
- AST acquired Serene Corp to strengthen its Oracle and Salesforce CRM/CX cloud
implementation capabilities
- Serene was a top-tier CX cloud implementation firm started by ex-Siebel executives
Significance of the Transaction
- 1 year post-integration, the transaction delivered on all objectives and was highly
synergistic
- Clearly positioned AST as a leading cloud implementations company
- Invited us to make equity investment in combined company
Role
- Developed a strategic roadmap for AST that included organic and inorganic growth
avenues
- Identified the key objectives for a first acquisition that included
• Acquire offshore capabilities
• Acquire additional technology capabilities
• Add vertical expertise
• Add to leadership team
- Screened and reached out to nearly 200 prospects to organize 11 management
meetings and 2 LOIs and one close
- Negotiated transaction terms and organized financing
56
Experienced in Advising on SI Transactions in the Space
Advised on a highly synergistic and transformative buy-side transaction
Has acquired
AST capabilities include:
ERP
CRM
BI
Middle-ware

- In Jan 2017 Tailwind Capital announced its recapitalization of AST
- AST is the largest pure-play Oracle system integrator with a multi-pillar strategy
- AST partnered with a $billion+ financial sponsor with a strong track record in the IT
services industry
- Well positioned for continued growth
- Founders achieved sizable liquidity while retaining significant equity post-
transaction
Role
- Served as the exclusive M&A advisor to AST
- Negotiated a favorable deal structure at a premium valuation
- Discretely sourced a limited number of highly qualified prospects
57
AST is Recapitalized by Tailwind
Highly favorable outcome resulting in retained ownership and sizable liquidity
Has been recapitalized by
“We are already the top player for Oracle in public
sector. We want to take that to the commercial sector
and become the number one pure-play Oracle Red
Stack systems integrator in the world.”
Pravin Kumar - Founder, CEO

Accelatis, Hyperion APM provider, Sells to Datavail
Helped founders achieve a significant liquidity event
- On July 11, 2017 Datavail Corporation announced its acquisition of Accelatis LLC
- Accelatis was founded by Jonathan Berry in 2008; they provide a comprehensive
application performance management (APM) software platform
- Accelatis’ cloud-enabled software is the leading Oracle EPM services monitoring
tool, currently being used by a long list of Fortune500 clients
- Datavail is one of the largest database managed services providers in North
America and is rapidly expanding into ERP managed services
- Orchestrated a liquidity event for founder/CEO and co-founder shareholders
- The acquisition of Accelatis strengthens the technology portion of Datavail’s
offering to deliver higher quality and higher margin managed services
- 3 months prior, Datavail had just acquired AdvancedEPM, a leading Oracle EPM
services firm, to bolster its strategy of offering a full end-to-end, application to
database offering for the Oracle EPM stack
- Jonathan Berry is now the CTO of Datavail, and leads the technology-enabled
initiatives and product roadmap
Role
- Accelatis contacted TBP after receiving a verbal IOI with a reputable publicly traded
IT services firm, and TBP was retained as the exclusive M&A advisor
- TBP deployed a unique 3-tiered marketing strategy, designed to maximize the
impact with key target prospects, and ran an exhaustive sell-side process across
200+ prospective buyers
- Helped negotiate a favorable outcome for our client
Accelatis key APM offerings include:
Infrastructure management
Application monitoring
Performance testing and optimization
Process automation
System health checks

Infinisource Roadmap
143% 3-year growth rate after acquisition
2012 2015 2016 2017
Dec 2012
Infinisource acquires Qqest,
making them the largest
provider of HCM solutions
for SME employers.
Transaction doubles the size
of Infinisource, resulting in a
company with more than
63,000 accounts
Jul 2015
Infinisource joins SAP PartnerEdge
program as an SAP channel
partner
iSolved, their HCM cloud
technology solution, named top 10
payroll solutions provider in 2015
Aug 2015
$56m revenue in 2015, added 200 jobs,
and 3 year growth rate of 143%
Listed on Inc 5000 fastest-growing
companies in the US for 3rd consecutive
year
Sep 2016
Spinoff of iSolved in 2016 to become
iSolved HCM.
Infinisource continues as Infinisource
Benefit Services and will focus exclusively
on COBRA administration, FSA, and related
services
Feb 2017
Infinisource announces newest
offering: POP/ERISA Document
generator, a tool that helps firms
with ERISA Compliance
Sep 2011
Infinisource receives majority
equity investment from AKKR

Infinisource Sells to Accel-KKR
Advised on a 100% sale of a software asset to a financial buyer
- Infinisource presented an ideal SaaS platform for expansion and scalability having
developed proprietary, web-enabled, business applications that automate payroll
processing and COBRA administration and compliance.
- The HRO space for small to medium businesses was highly fragmented and ready
for consolidation by a market leader.
- Existing passive shareholders received a significant liquidity event
- With partners Accel-KKR, Infinisource is now well positioned to emerge as a leader
for one-stop HRO services including payroll, flexible plans, benefits and COBRA
compliance and customized human resource
Role
- Worked closely with the management team to develop a compelling vision and
business plan for becoming a leading SaaS Human Resource Outsourcing (HRO)
player and wanted a partner to grow the business to the next level.
- Ran a competitive auction process that received over 23 written termsheets to
invest in the business
- Navigated the process to a close negotiating multiple complex deal terms and post
close scenarios
“I know marketing a company with nonworking
owners can be extremely challenging; however, you
and your team far exceeded my expectations and
delivered on time all aspects of your marketing
proposal.”
Thomas E. Kolassa, CLU, ChFC - Former Chairman

- In Jan 2015 Riordan, Lewis & Haden (RLH) announced its investment in Inspirage a
rapidly growing provider of high-value supply chain software services.
- Founded in 1982, RLH is a growth focused investor in the IT Software and Services
industry. Its founders include Richard Riordan who left the firm to be the mayor of
Los Angeles from 1993-2001
- Inspirage was founded in 2007 by Srini Subramaniam, Sridhar Iyer and others from
Oracle product development managers with deep expertise in supply chain and
logistics management
- Inspirage was able to partner with a team that has a proven track record of being a
valuable partner and bringing valuable strategic an operating insights for
companies in the IT industry
Role
- Served as the exclusive advisor to RLH in its investment in Inspirage
- Highlights success in advising a broad range of top tier companies across the
Information Technology landscape
61
RLH Capital Investment into Inspirage
Demonstrated execution track record in supply chain & logistics management
Inspirage’s key areas of practice include:
Innovation Management
Supply Chain Management
Logistics Management

Amtel Sells to NetPlus
Advised Amtel in its sale to NetPlus, a PE-backed platform
- In Apr 2016 NetPlus announced its acquisition of Amtel, a CODiE award winning
SaaS platform in Mobile Device Management, Security and App Management
services
- Amtel, Inc. founded by Pankaj Gupta has been a long term relationship with TBP
founders. In 2014, TBP founders made an equity investment in Amtel and provided
strategic advice on developing its channel based Go-To-Market strategy, to recruit
its Chief Sales Officer and its first few channel partners
- Amtel founders were able to accomplish a great financial outcome and use the
proceeds to fund the growth of their next venture without any equity dilution
- Netplus enhanced its enterprise mobility management solutions to include mobile
device management, mobile security management, mobile app management and
mobile expense management
Role
- Served as the exclusive adviser to Amtel in its sale to NetPlus
- Highlights success in delivering timely results and sustaining long term
relationships in advising high quality companies across the Information Technology
landscape
“You’ve been a valuable partner over the years and
helped us accomplish a great outcome. I look
forward to continuing our partnership in my next
venture.”
Pankaj Gupta - Founder, CEO

SPS Sells Majority Equity Ownership to Court Square
Founder CEO gets a two step exit with financial buyer
- Leading provider of enterprise telephony and unified communications (UC)
services, converged infrastructure solutions, software and hardware to enterprise,
government and Fortune1000 clients.
- After 22+ years of investment, the founder/CEO was looking for a partial liquidity
event and additional resources to fuel the Company’s on-going growth.
- Leverage the current industry trends to navigate to a successful close
- Initial exit of 80% liquidity exceeded client expectations from a full sale
- Business received the right financial partner to take to the next level
- Within a year of transaction company acquired two assets that have more than
doubled the business by expanding the offering into adjacent spaces
Role
- Developed business plan and positioning around emerging opportunities and initial
customer traction in the space of Infrastructure-as-a-Service (IaaS)
- Ran a comprehensive process inviting both strategic and financial buyers
- Strategically negotiated letters of intent to enable the shareholders to exit with
their preferred bidder. The winning bid valuation increased ~30% from IOI to LOI
“You and your team offered an understanding of our
business, our industry, the relevant investment
community and insight that helped us consider
different options before us… There are the mechanics
of running a process that I believe many firms can
deliver, but what differentiated you and your firm is
the art of a deal.”
John N. Poole - President and CEO

Fusionstorm Sells MS Asset to Synoptek
Advised on a divesture of non-core assets to a strategic buyer
- FusionStorm, a leading technology solutions provider with over $500M annual
revenues and clients like Apple and Facebook had failed in its prior attempts with
other bankers to obtain liquidity needed expanding business operations.
- We were hired by FusionStorm to divest the cloud hosting business unit in order to
focus
- FusionStorm able to focus on key priorities on core competencies and got the cash
infusion it needed to invest in growth
- Transaction created a powerhouse managed services provider in Synoptek with
strong customer presence from coast to coast . Synoptek was subsequently able to
recapitalize the company with Sverica Capital
Role
- Marketed FusionStorm Cloud Services Group to a broad range of potential buyers
including leading cloud services companies, data center providers, managed
services providers and technology solutions providers
- Managed a competitive bidding scenario and obtained maximum value for client by
keeping multiple bidders engaged to the very end
- Negotiated complex issues around earn-outs, customer consents and management
incentives
“Your persistence on the engagement despite all odds
and changing circumstances is was pivotal in
obtaining a successful outcome. I have never seen a
banker work so hard on a transaction”
John Varel - Founder Chairman
Managed Services Unit

BenefitsXML Sells to SS&C Technologies
Advised on a 100% sale of a software asset to a strategic buyer
- A pure-play SaaS employee benefits administrator serving large benefits providers
and third party administrators
- BenefitsXML's Benefits Real Time Information Exchange (BRIX) employee benefits
administration system is a multi-tenant, multi-channel customer self-service
platform that enables employees to manage their annual enrollment, new hire
enrollment and ongoing changes throughout their lifecycle at the company
- The founder/CEO desired an exit after 10 plus years of investment in the company
- BenefitsXML joined SS&C, a publicly traded international company with over 1,500
employees worldwide and a market cap of over $2.0 billion
Role
- Successfully leveraged the industry consolidation trends to negotiate an improved
valuation and to maximize the cash at closing
- The final bid valued the company more than 50% higher than the initial indication
of interest
“Your knowledge of the mergers and acquisitions
process was much appreciated as we negotiated our
way to a very successful outcome for all parties. I
found your shrewd business intellect to be very
enlightening.”
David Donahue - President

Beganto Acquires NeedaSample
Acquired an online network to manage supply chain logistics for product samples
- Beganto, Inc. a SaaS based collaborative opportunity management platform for
electronics industry announced its acquisition of NeedaSample, a VC backed SaaS
platform for the electronics and semiconductor supply chain participants
- Executed acquisition using company stock as acquisition currency and secured
additional $3M of Series B investment from VCs and few Ultra-High Net Worth
individual investors
- Executing the transaction significantly enhanced Beganto’s product footprint and
leapfrogged its positioning as market leader in a rapidly growing space
- Subsequent year organic revenue growth was over 300% leveraging the post
integration sales and marketing synergies of the two organizations
Role
- Executed transaction as the controlling shareholder
- Bring unique perspective on accomplishing post acquisition synergies
Has acquired
TBP brings a unique value to SaaS/ Software/ IT
Services transaction by bringing an operating
principal’s perspective into the deal

Bulge Bracket Sell-Side Advisory
- Advised legendary UVA Football player and donor and Amvest (now Consol) founder in a
$400M sell side advisory engagement that sold to Consol
$200M IPO
- Ran process for a $200M IPO for Savvis (now Century Link) that valued the company at
$2Bn. Savvis was acquired by Century Link for $3B
$170M IPO
- Ran process for a $170M IPO for Avanex that valued the company at $6Bn. Avanex
subsequently re-branded as Oclaro
$150M Follow-on Offering
- Ran process for a $150M Secondary Offering for ImClone Systems (now a Eli Lily
Company). Company was acquired by Eli Lily for $7Bn
$4M Series A & B Financing
- Developed business plan and marketed to both Strategic and Financial investors to raise
$4M for an online network for electronic components. Acquired a VC-backed competitor.
$3M Series B Financing
- Developed business plan and marketed to both Strategic and Angel investors to raise $3M
for a B2B e-marketplace through one of the toughest market environments
67
Other Transactions
A broad range of transaction experience
Asia-Links Media

Investment Banking M&A deal experience
- $300M+ in transaction value on mid-market M&A transactions created
• Exclusively focused on enterprise SaaS and IT services
- $1B+ in M&A, private placements, and IPO transaction value created
• Bulge bracket experience in the technology sector
• Ex-Morgan Stanley, New York and Menlo Park
- Advisory roles on strategic initiatives
Software/Tech-enabled services entrepreneur with engineering roots
- Founded a SaaS company, built the product and took it to market.
• Acquired a VC-backed competitor. Integrated the teams and product, and ran company
profitably with 300% YoY growth before exiting to an overseas investment group
- Patented inventor experienced in automation systems programming (Matlab, PLC, C)
Education
- MBA from University of Chicago Booth School of Business
- MS Engineering from Washington University
- B-Tech Engineering from IIT Bombay
68
True Blue Partners Founder
20 years+ of investment banking and technology business operations experience
Sunil Grover
Founder, Managing Partner

Investments, mergers and acquisition trends in the salesforce ecosystem by True Blue Partners Nov 2017

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