TOP FIVE DEALS OF 2009
The Top Five: Despite over 400 transactions in 2009, it wasn’t hard choosing our Top Five transactions for 2009 (with a little bit of massaging). Our Top Five transactions are: Facebook’s $200 million D round, Twitter’s $100 million E round, the $2.25 billion acquisition of Skype, the almost $1 billion in financing/M&A for Social Gaming companies (including Zynga, Playdom and Playfish), and the incredible per unique visitor value ascribed in the financing for location-based social networking company Gowalla.
• Facebook raises $200 million D round: In May 2009, Facebook announced a new financing round – raising $200 million from Digital Sky Technologies. The transaction gave Digital Sky a 1.96% stake, valuing Facebook at $10 billion. This financing brought the company’s total to $678.2 million. This was also the largest financing we recorded in 2009.
• Twitter raises $100 million E round: The third largest financing round in 2009 belonged to Twitter – a $100 million Series E in September 2009. The financing reportedly valued Twitter at $1 billion – a remarkable valuation for a company that has not yet formalized a revenue model! More recently, it has been reported that Twitter was actually profitable in 2009 due to the $25 million in search deals it signed in October with Google and Microsoft.
• Skype is acquired for $2.025 billion: By far the largest overall transaction in our database in 2009 was the acquisition of a majority position (65%) in Skype from eBay for $2.025 billion – announced in September 2009. The transaction was completed in November 2009. eBay had purchased Skype for $4.0 billion in 2005.
• Social Gaming financing activity reaches ~$1 billion (Zynga, Playfish, Playdom, etc.): Perhaps the hottest sector overall in 2009 was Social Gaming. This segment of the Web 2.0 market had the third highest number of deals (39) and generated almost $1 billion in financing/M&A activity – the second highest total overall (Figure 1). Three transactions in particular stand out in the social gaming space – the $400 million acquisition of Playfish (by Electronic Arts, November 2009), the $180 million financing of Zynga (Series C, December 2009, by Digital Sky), and the $43 million first round of financing for Playdom (New Enterprise lead, November 2009, Series A). There has been much speculation as to how the larger social gaming companies will proceed, with potential IPO or further strategic M&A most likely.
• Hottest new sector? Location-based social networks (Foursquare, Gowalla, etc.). Unique visitor value skyrockets: Financing activity for location-based social networks really heated up late in 2009. While the total financing raised in 2009 was quite small (~$15 million), the hype surrounding location-based SNS companies was substantial. In our opinion, this was highlighted by the $8.4 million December Series B financing for Gowalla. The reported valuation of $28.4 million implies a value of $568 for each of its 50,000 users (Figure 2). That compares to a $40 per user value we estimate for the Foursquare financing in September.
April on track to be record month?: Total transaction value in the Web 2.0 universe April-to-date is $726.1 million. The number of financings stands at 40 averaging $18.2 million each. Note that this includes the $300 million investment in DST by Tencent. Even excluding this transaction, the average is $15.2 million. In comparison, total capital raised in March was $168.1 million, averaging $5.4 million over 31 deals. The highest monthly total in our Web 2.0 financing database was April 2008 with a total of $765.5 million raised in 47 transactions.
Deal round-up for April: The large deal highlights for the month include:
§
•Tencent invested $300mm in DST (investor in Facebook, Zynga, Groupon).
DST invested $135mm in social-shopping service Groupon.
Salesforce.com acquired crowd-sourced personal contact service, Jigsaw, for $142 mm.
•Warner Bros. acquired gaming company, Turbine, for $160 mm.
•Ankeena Networks, media infrastructure solution provider was acquired by Juniper for $100mm.
Bullish week for Web 2.0: Sixty-nine percent of the companies in our universe had increased or flat market caps over the past week, sixty-nine percent had increased EV/Revenue multiples, 75% had increased or flat EV/EBITDA multiples and 73% had increased or flat P/E mutliples .
LATTER HALF OF 2009: FORGING FORWARD
DEAL VALUE ON PACE TO MEET NOVEMBER LEVEL
December starts at strong pace: Total transaction value in the Web 2.0 universe for the first week of December is $68.8 million. The number of financings stands at seven, averaging $9.8 million each. In comparison, total capital raised in November was $203.4 million, averaging $11.3 million (18 deals); October was $171.3 million, averaging $6.3 million (27 deals); and September was $232.8 million, averaging $9.0 million (26 deals).
Broad-based sector financing: Video, Gaming, Advertising, Collaboration, and Analytics experienced the most financing activity among our Web 2.0 sector categories in the past three months by number of transactions (six each). Social Networks remain strong with five deals in the past quarter. Infrastructure and Search round out the top three positions at four deals each over the past three months. The $400 million acquisition of Playfish skews the Virtual Worlds segment to the highest total.
Market pull-back abates – universe split between risers and decliners: Twenty-five companies in our universe had positive stock price performances over the past week (for stocks with prices greater than $1), while 22 companies showed negative 1-week returns.
Month-to-date financings in May totalled $106.6 million; led by the $20
million One Net financing. So far, there have been 18 financings in May,
with 10 deals greater than $5 million and only five less than $5 million.
There have been two financings greater than $10 million (Cyberplex and One
Net), with the capital raises by Imeem and EveryZing close behind at $8.8
million and $8.3 million, respectively. The average value thus far in May is
$5.9 million, slightly below the average value for April of $6.5 million on
21 financings. The March average was $6.6 million on 24 financings. Except
for two deals (Kaixin001.com and Collective Media), all were below $20
million for the last three months and a total of four deals were greater
than or equal to $15 million.
*One Net’s $20 million financing is largest deal in May: *One Net announced
a $20 million financing last week, the largest deal so far in May. Ten of
the 18 deals in the month are equal to or greater than $5 million. For
additional details, see Figures 23 and 24 (at end of note). Also note that
the spin-off of StumbleUpon from E-bay on a $29 million valuation occurred
in May. E-bay had bought StumbleUpon for $75 million.
*A strong price performance week: *The companies in our universe had
relatively strong stock price performances over the past week (for stocks
with prices greater than $1) (Figure 6), with 31 companies showing positive
returns on the week. OpenWave Systems (NASDQ:OPWV) led the group with a
49.2% return, while DigitalTown (OTCBB:DGTW) had the worst return, dropping
35.0% in the week.
April on track to be record month?: Total transaction value in the Web 2.0 universe April-to-date is $726.1 million. The number of financings stands at 40 averaging $18.2 million each. Note that this includes the $300 million investment in DST by Tencent. Even excluding this transaction, the average is $15.2 million. In comparison, total capital raised in March was $168.1 million, averaging $5.4 million over 31 deals. The highest monthly total in our Web 2.0 financing database was April 2008 with a total of $765.5 million raised in 47 transactions.
Deal round-up for April: The large deal highlights for the month include:
§
•Tencent invested $300mm in DST (investor in Facebook, Zynga, Groupon).
DST invested $135mm in social-shopping service Groupon.
Salesforce.com acquired crowd-sourced personal contact service, Jigsaw, for $142 mm.
•Warner Bros. acquired gaming company, Turbine, for $160 mm.
•Ankeena Networks, media infrastructure solution provider was acquired by Juniper for $100mm.
Bullish week for Web 2.0: Sixty-nine percent of the companies in our universe had increased or flat market caps over the past week, sixty-nine percent had increased EV/Revenue multiples, 75% had increased or flat EV/EBITDA multiples and 73% had increased or flat P/E mutliples .
LATTER HALF OF 2009: FORGING FORWARD
DEAL VALUE ON PACE TO MEET NOVEMBER LEVEL
December starts at strong pace: Total transaction value in the Web 2.0 universe for the first week of December is $68.8 million. The number of financings stands at seven, averaging $9.8 million each. In comparison, total capital raised in November was $203.4 million, averaging $11.3 million (18 deals); October was $171.3 million, averaging $6.3 million (27 deals); and September was $232.8 million, averaging $9.0 million (26 deals).
Broad-based sector financing: Video, Gaming, Advertising, Collaboration, and Analytics experienced the most financing activity among our Web 2.0 sector categories in the past three months by number of transactions (six each). Social Networks remain strong with five deals in the past quarter. Infrastructure and Search round out the top three positions at four deals each over the past three months. The $400 million acquisition of Playfish skews the Virtual Worlds segment to the highest total.
Market pull-back abates – universe split between risers and decliners: Twenty-five companies in our universe had positive stock price performances over the past week (for stocks with prices greater than $1), while 22 companies showed negative 1-week returns.
Month-to-date financings in May totalled $106.6 million; led by the $20
million One Net financing. So far, there have been 18 financings in May,
with 10 deals greater than $5 million and only five less than $5 million.
There have been two financings greater than $10 million (Cyberplex and One
Net), with the capital raises by Imeem and EveryZing close behind at $8.8
million and $8.3 million, respectively. The average value thus far in May is
$5.9 million, slightly below the average value for April of $6.5 million on
21 financings. The March average was $6.6 million on 24 financings. Except
for two deals (Kaixin001.com and Collective Media), all were below $20
million for the last three months and a total of four deals were greater
than or equal to $15 million.
*One Net’s $20 million financing is largest deal in May: *One Net announced
a $20 million financing last week, the largest deal so far in May. Ten of
the 18 deals in the month are equal to or greater than $5 million. For
additional details, see Figures 23 and 24 (at end of note). Also note that
the spin-off of StumbleUpon from E-bay on a $29 million valuation occurred
in May. E-bay had bought StumbleUpon for $75 million.
*A strong price performance week: *The companies in our universe had
relatively strong stock price performances over the past week (for stocks
with prices greater than $1) (Figure 6), with 31 companies showing positive
returns on the week. OpenWave Systems (NASDQ:OPWV) led the group with a
49.2% return, while DigitalTown (OTCBB:DGTW) had the worst return, dropping
35.0% in the week.
April 2010 a record month for Web 2.0 Financing: Total transaction value (excluding M&A) in the Web 2.0 universe for April was $808.2 million - the highest monthly total we have recorded. The number of financings was also a record, at 48, averaging $16.8 million each. Note that this includes the $300 million investment in DST by Tencent. Excluding this transaction, the average is $9.6 million. In comparison, total capital raised in March was $168.1 million, averaging $5.4 million over 31 deals.
Deal round-up for April: The large deal highlights for the month include:
Tencent invested $300mm in DST (investor in Facebook, Zynga, Groupon).
Apple acquired Siri, a mobile local search developer for a rumoured $225 mm.
DST acquired ICQ, the instant messaging company, for $187.5 mm.
Warner Bros. acquired gaming company, Turbine, for $160 mm.
DST invested $135mm in social-shopping service Groupon.
Salesforce.com acquired crowd-sourced personal contact service, Jigsaw, for $142 mm.
Ankeena Networks, media infrastructure solution provider was acquired by Juniper for $100mm.
Bearish week: Price performance was largely negative in our Web 2.0 universe, with prices dropping for over 60% of the companies.
June financing well ahead of average: Financing in the Web 2.0 universe in June was the third highest month (over the past 12) with total transaction value (excluding M&A) of $459.6 million from 51 transactions, averaging $9.0 million each - led by the $147 million Zynga financing. In comparison, total capital raised in June 2009 was $226.3 million, averaging $4.5 million over 50 deals. Excluding Dec 09 and Apr 10, the average monthly total is ~$260 million.
Deals (M&A, Finance)
Alloy, a provider of news and commentary concerning New Media, was acquired by ZelnickMedia for $127 mm.
Facebook’s implied valuation rose to $24 bn as Elevation Partners purchased 5 mm shares of the company for $120 mm in the secondary market.
Danish Skype competitor, Vopium, received $16.5 mm in financing from Indian financier, Raghuvinder Kataria.
Social networking software developer based in France, Pearltrees, raised $1.6 mm.
PapayaMobile, mobile application software company based in China, raised $4 mm.
Two Israeli mobile developers received funding this week, including Perfecto Mobile ($4 mm) and Snaptu ($6 mm).
Negative price performance
The Web 2.0 public company universe fell this week, with 68% of companies seeing their market cap fall vs. 25% rising and 7% flat.
Web 2.0 Weekly - May 26, 2010: "Market Declines Impact Web 2.0 Universe Valua...David Shore
May tracking to average monthly levels: After a slow start to the month, financing in the Web 2.0 universe has rebounded and is now on track with prior months. Total transaction value (excluding M&A) in the Web 2.0 universe for May (month-to-date) is $189.9 million from 30 transactions, averaging $6.3 million each. In comparison, total capital raised in May 2009 was $375.0 million, averaging $12.5 million over 30 deals. Excluding May 09, Dec 09 and Apr 10, the average monthly total is $212 million.
Deals (M&A, Finance)
Cyberplex (TSX:CX) announced plans to acquire Tsavo Media for US$75.6 mm, partially funded through a C$30 mm bought deal financing at $0.55.
Online gaming company Gaikai, raised $10.0 mm in Series B financing.
Blip.TV, online TV provider, raised $10.1 mm in Series C financing.
Financial Results/Guidance
Netease.com (NasdaqGS:NTES, online gaming) reported Q1/F10 revenue of RMB 1.2 bn (vs. RMB 781.7 mm in the same period last year).
Snap Interactive (OTCBB:STVI, online dating) reported Q1/F10 revenue growth of 20% to $0.927 mm from $0.768 mm.
Bearish week again: Price performance was largely negative in our Web 2.0 universe. This impacted valuation multiples, which fell for ~80% of the companies in our universe.
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April 2010 a record month for Web 2.0 Financing: Total transaction value (excluding M&A) in the Web 2.0 universe for April was $808.2 million - the highest monthly total we have recorded. The number of financings was also a record, at 48, averaging $16.8 million each. Note that this includes the $300 million investment in DST by Tencent. Excluding this transaction, the average is $9.6 million. In comparison, total capital raised in March was $168.1 million, averaging $5.4 million over 31 deals.
Deal round-up for April: The large deal highlights for the month include:
Tencent invested $300mm in DST (investor in Facebook, Zynga, Groupon).
Apple acquired Siri, a mobile local search developer for a rumoured $225 mm.
DST acquired ICQ, the instant messaging company, for $187.5 mm.
Warner Bros. acquired gaming company, Turbine, for $160 mm.
DST invested $135mm in social-shopping service Groupon.
Salesforce.com acquired crowd-sourced personal contact service, Jigsaw, for $142 mm.
Ankeena Networks, media infrastructure solution provider was acquired by Juniper for $100mm.
Bearish week: Price performance was largely negative in our Web 2.0 universe, with prices dropping for over 60% of the companies.
June financing well ahead of average: Financing in the Web 2.0 universe in June was the third highest month (over the past 12) with total transaction value (excluding M&A) of $459.6 million from 51 transactions, averaging $9.0 million each - led by the $147 million Zynga financing. In comparison, total capital raised in June 2009 was $226.3 million, averaging $4.5 million over 50 deals. Excluding Dec 09 and Apr 10, the average monthly total is ~$260 million.
Deals (M&A, Finance)
Alloy, a provider of news and commentary concerning New Media, was acquired by ZelnickMedia for $127 mm.
Facebook’s implied valuation rose to $24 bn as Elevation Partners purchased 5 mm shares of the company for $120 mm in the secondary market.
Danish Skype competitor, Vopium, received $16.5 mm in financing from Indian financier, Raghuvinder Kataria.
Social networking software developer based in France, Pearltrees, raised $1.6 mm.
PapayaMobile, mobile application software company based in China, raised $4 mm.
Two Israeli mobile developers received funding this week, including Perfecto Mobile ($4 mm) and Snaptu ($6 mm).
Negative price performance
The Web 2.0 public company universe fell this week, with 68% of companies seeing their market cap fall vs. 25% rising and 7% flat.
Web 2.0 Weekly - May 26, 2010: "Market Declines Impact Web 2.0 Universe Valua...David Shore
May tracking to average monthly levels: After a slow start to the month, financing in the Web 2.0 universe has rebounded and is now on track with prior months. Total transaction value (excluding M&A) in the Web 2.0 universe for May (month-to-date) is $189.9 million from 30 transactions, averaging $6.3 million each. In comparison, total capital raised in May 2009 was $375.0 million, averaging $12.5 million over 30 deals. Excluding May 09, Dec 09 and Apr 10, the average monthly total is $212 million.
Deals (M&A, Finance)
Cyberplex (TSX:CX) announced plans to acquire Tsavo Media for US$75.6 mm, partially funded through a C$30 mm bought deal financing at $0.55.
Online gaming company Gaikai, raised $10.0 mm in Series B financing.
Blip.TV, online TV provider, raised $10.1 mm in Series C financing.
Financial Results/Guidance
Netease.com (NasdaqGS:NTES, online gaming) reported Q1/F10 revenue of RMB 1.2 bn (vs. RMB 781.7 mm in the same period last year).
Snap Interactive (OTCBB:STVI, online dating) reported Q1/F10 revenue growth of 20% to $0.927 mm from $0.768 mm.
Bearish week again: Price performance was largely negative in our Web 2.0 universe. This impacted valuation multiples, which fell for ~80% of the companies in our universe.
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For similar content visit http://www.autosuccesssocial.com/
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Web 2.0 Weekly - Aug. 10, 2010: "Consolidation by Google"David Shore
Deals (M&A, Finance) – Consolidation by Google
Google confirmed or announced two acquisitions during the week, including Jambool
($70 mm) involved in virtual goods monetization processes, and widget market, Slide
($182 mm).
In other acquisition-related news, Forbes sold investment media website Investopedia to ValueClick for $42 mm. Zynga acquired Japanese mobile app and game developer,
Unoh, for an estimated $29 mm. Finally, dubbed “the Spanish Facebook,” social
networking site, Tuenti, was acquired by Telefonica in a $99 mm deal.
The largest financing (aside from the aforementioned M&A activity) involved “the
Chinese Youtube,” Tudou, raising $50 mm in Series E funds.
Price Performance
Distinctly negative price momentum, with 49% of stocks falling over the past week (after 48% of stocks declines last week, and 51% declined the week prior).
Web 2.0 Weekly - Aug. 4, 2010: "Playdom is going to Disney World"David Shore
Deals (M&A, Finance) – Disney Gets In To Social/Mobile Video Games
Disney acquired social and mobile game developer, Playdom, for $563 mm in upfront consideration and the potential for $200 mm in further earn-out based consideration. Disney management notes that the company continues to be on the acquisition war path.
The largest deals in the week involved (wait for it…) the advertising sector, with $15 mm in follow-on financings to eXelate and AdMeld, and $8 mm to BuzzLogic.
Four different social network/media companies received financing in the week, including, Hot Potato (acquired for $10 mm by Facebook), PlacePop ($1.4 mm round), Rapportive ($1 mm seed round), and dating site, Triangulate ($0.75 seed round).
Price Performance - Web 2.0 Valuation Reverse Course and Head Upward
The Web 2.0 public company universe was positive this week with 47% of stocks rising, 46% falling, and 7% flat.
Web 2.0 Weekly - July 27, 2010: "July Financings - Approaching High for 2010"David Shore
Deals (M&A, Finance)
Jive Software received the biggest investment of the week at $30 mm, bringing its total capital raised to date to $57 mm – the company brings social network-like functions to the realm of enterprise collaboration.
Advertising networks continue to receive the most attention among sectors we track – this week, $24.6 mm in financings were announced, including sports-related ad network Sportgenic (acquired by Glam Media for $12 mm), and TurnHere ($12.6mm in Series B funds).
Rumour alert – we continue to hear more frequent buzz concerning the potential acquisition of social gaming developer Playdom by Disney.
Synchronica (AIM:SYNC) intends to acquire iseemedia (TSXV:IEE) for C$8.8 mm in stock – both companies are engaged in mobile communications development, such as email-to-SMS.
Price performance turns positive
The Web 2.0 public company universe was positive this week, with 54% of companies seeing their market cap rise vs. 34% falling and 12% flat.
Web 2.0 Weekly - July 20, 2010: "DST Cashing Up"David Shore
Large deals drive July financing to near record levels: With another huge financing (DST - see below) July financing is near record monthly levels. Total raised month-to-date is $742.6 million over 29 deals - averaging $25.6 million each. Excluding the Zynga ($100 million) and DST ($388 million) deals, the average deal size is $9.4 million. In comparison, total capital raised in July 2009 was $209.0 million, averaging $5.2 million over 40 deals. The monthly median total is ~$280 million with a median deal size of $8.1 million.
Deals (M&A, Finance)
Naspers, a South African media and print conglomerate, invested $388 mm in Digital Sky Technologies, the Russian digital media holding company with significant stakes in Facebook, Groupon, Mail.ru, and Zynga.
The next biggest raise of the week was Australian enterprise software developer, Atlassian, receiving $60 mm in Series A funds from Accel Partners.
Social Commerce continues to garner attention – this week BlueSwarm ($0.8 mm angel round) and Shopkick ($15 mm Series B round) raised money.
Another $31 mm in venture funds found their way to Advertising-related start-ups, including Israel-based Adsmarket ($17 mm), as well as a pair of India-based companies – Komli Media ($6 mm) and InMobi ($8 mm).
Price performance split
The Web 2.0 public company universe was split this week, with 48% of companies seeing their market cap fall vs. 43% rising and 9% flat.
Google/Zynga deal drives July financing results: After starting very slowly (just one deal announced in the prior week) July financing increased substantially as a result of the Google/Zynga financing ($100-200 million). Total raised month-to-date is $158.8 million over 12 deals - averaging $13.2 million each. In comparison, total capital raised in July 2009 was $206.5 million, averaging $5.3 million over 39 deals. Excluding Dec 09 and Apr 10, the average monthly total is ~$280 million.
Deals (M&A, Finance)
Google invested a rumoured $100-$200 mm in social game developer, Zynga, bringing that company’s total funding to almost $500 mm (assuming the lower end of the range).
The Gaming sector remains hot – along with Google’s investment in Zynga, The9 Ltd. (Chinese online game developer and operator) invested $5 mm in Delaware-based Aurora Feint (focused on gaming for the mobile space).
A triad of financings in the Social Commerce space this week, including Beyond the Rack ($12 mm), ThredUP ($1.7 mm), and BuyWithMe ($16 mm in a Series B financing).
Sysomos, Canadian social media monitoring firm, was acquired by MarketWire for between $25 mm and $35 mm.
Price performance turns positive
The Web 2.0 public company universe rose this week, with 58% of companies seeing their market cap rise vs. 32% rising and 10% flat.
Summer financing doldrums: After a very strong June (with total transaction value (excluding M&A) of $542.8 million from 66 transactions, averaging $8.4 million each), July has started very slowly with only one small financing announced. However, we have seen some large M&A transactions (see below). In comparison, total capital raised in July 2009 was $206.2 million, averaging $5.4 million over 38 deals. Excluding Dec 09 and Apr 10, the average monthly total is ~$270 million.
Deals (M&A, Finance)
Google, acquired ITA Software, search provider for the travel industry for $700 mm.
infoGROUP, provider of business and consumer databases for sales leads, mailing lists, direct marketing, database marketing, e-mail marketing, and marketing research solutions, was taken private for $645 mm by CCMP Capital Advisers.
GroupSpaces, a provider of web-based tools for sports clubs, university societies, organizations, and groups of friends or coworkers, raised $1.3 mm.
Domain based online advertising services provider, OCTANE360, was acquired by Local.com for $10.9 mm.
Negative price performance
The Web 2.0 public company universe fell again this week, with 61% of companies seeing their market cap fall vs. 27% rising and 12% flat.
Web 2.0 Weekly - June 22, 2010: "AOL Sells Bebo for Massive Loss"David Shore
Deals (M&A, Finance)
AOL is reported to have sold Bebo, the UK-based social network it bought just two years ago for $850 mm, to private equity firm Criterion Partners for under $10 mm. Based on our calculations, AOL paid the equivalent of $38 per Unique Visitor (UV) for Bebo, and sold it for under $1 per UV.
Positive price performance
The Web 2.0 public company universe rose again this week, with 60% of companies seeing their market cap rise vs. 33% falling and 7% flat.
Slow start in May after record April: Total transaction value (excluding M&A) in the Web 2.0 universe for April was $813.5 million - the highest monthly total we have recorded. The number of financings was also a record, at 49, averaging $16.6 million each. Note that this includes the $300 million investment in DST by Tencent. Excluding this transaction, the average is $10.7 million. May 2010, in contrast, has started slowly, with only $37.4 million in financing announced thus far, averaging just $3.4 million across 11 deals. In comparison, total capital raised in May 2009 was $375.0 million, averaging $12.5 million over 30 deals.
Deal round-up for May: The large deal highlights for the month include:
Fluid Music (TSX:FMN, digital music distributor) will acquire Mood Media (provider of sensorial marketing solutions) for €160 mm.
Lithium is purchasing analytics developer, Scout Labs, for $20 mm.
Fatfoogoo (purveyor of virtual goods) is being acquired by Digital River for $10 mm.
Groupalia, the Spanish answer to online group discount retailers, Groupon and LivingSocial, raised $2.5 mm in a Series A financing – the online group discounters have been raising money quickly (DST invested $135 mm in Groupon in April) with a total of $222 mm in funding coming to just these three players thus far.
Bearish week again: Price performance was largely negative in our Web 2.0 universe, with prices dropping for over 70% of the companies.
New royalty agreement for webcasting & copyright firms: SoundExchange, a nonprofit royalty collecting organization associated with the Recording Industry Association of America (RIAA) agreed this past week to a new deal regarding royalty rates for webcasting. Under the new agreement, large commercial webcasters will pay up to 25% of their revenue to copyright holders – well below the 70% that could have been imposed under an earlier deal. While the deal was initially agreed to by three smaller Internet radio webcasters, Pandora Media, the third largest radio site (according to Alexa), also indicated it would sign on to the agreement.
Online Media companies lead financing: Two online media companies – Pandora (Internet Radio) and QuickPlay (Mobile Video) have secured the largest financing transactions thus far in July ($35 million and $12 million respectively). Total capital raised so far in July is $66.1 million through eight transactions, averaging $8.3 million per transaction. June closed with $180 million in financing on 36 transactions. The averages for the months of May (excluding the Facebook transaction) and June were $6.4 million and $4.7 million, respectively.
A weak price performance week: The companies in our universe had weak stock price performances over the past week (for stocks with prices greater than $1) (Figure 6), with 30 companies showing negative returns on the week. Gravity (NasdaqGM: GRVY) led the group with a 33% return, while GungHo (3765-OSE) had the worst return, dropping 26.4% in the week.
*Capital Market Activity: *The month of May closed with 20 financings
totalling $327.1 million led by the $200 million investment by Digital Sky
Technologies in Facebook. Excluding the Facebook transaction, May would have
been the lowest month in CY2009. The Facebook transaction aside, four
transactions (One Net Ent., Cyberplex, Peer39 and OpenX), were greater than
or equal to $10 million. The average value in May is $15.6 million (and $6.4
million excluding the Facebook transaction), greater than the average value
for April of $6.2 million on 21 financings. The March average was $6.5
million on 24 financings. If you are aware of any companies that have
recently raised money that are not on our list, please send me an email to
have them added to our database.
*Price Performance: *Most of the companies in our universe had positive
stock price performances over the past week (for stocks with prices greater
than $1) (Figure 12), with 29 companies showing positive returns on the
week. GameOn co. Ltd (3812-TSE) led the group with a 28.2% return, while
eolith Co. Ltd. (A041060-KOSE) had the worst return, dropping 13.7% in the
week.
USDA Loans in California: A Comprehensive Overview.pptxmarketing367770
USDA Loans in California: A Comprehensive Overview
If you're dreaming of owning a home in California's rural or suburban areas, a USDA loan might be the perfect solution. The U.S. Department of Agriculture (USDA) offers these loans to help low-to-moderate-income individuals and families achieve homeownership.
Key Features of USDA Loans:
Zero Down Payment: USDA loans require no down payment, making homeownership more accessible.
Competitive Interest Rates: These loans often come with lower interest rates compared to conventional loans.
Flexible Credit Requirements: USDA loans have more lenient credit score requirements, helping those with less-than-perfect credit.
Guaranteed Loan Program: The USDA guarantees a portion of the loan, reducing risk for lenders and expanding borrowing options.
Eligibility Criteria:
Location: The property must be located in a USDA-designated rural or suburban area. Many areas in California qualify.
Income Limits: Applicants must meet income guidelines, which vary by region and household size.
Primary Residence: The home must be used as the borrower's primary residence.
Application Process:
Find a USDA-Approved Lender: Not all lenders offer USDA loans, so it's essential to choose one approved by the USDA.
Pre-Qualification: Determine your eligibility and the amount you can borrow.
Property Search: Look for properties in eligible rural or suburban areas.
Loan Application: Submit your application, including financial and personal information.
Processing and Approval: The lender and USDA will review your application. If approved, you can proceed to closing.
USDA loans are an excellent option for those looking to buy a home in California's rural and suburban areas. With no down payment and flexible requirements, these loans make homeownership more attainable for many families. Explore your eligibility today and take the first step toward owning your dream home.
how to sell pi coins effectively (from 50 - 100k pi)DOT TECH
Anywhere in the world, including Africa, America, and Europe, you can sell Pi Network Coins online and receive cash through online payment options.
Pi has not yet been launched on any exchange because we are currently using the confined Mainnet. The planned launch date for Pi is June 28, 2026.
Reselling to investors who want to hold until the mainnet launch in 2026 is currently the sole way to sell.
Consequently, right now. All you need to do is select the right pi network provider.
Who is a pi merchant?
An individual who buys coins from miners on the pi network and resells them to investors hoping to hang onto them until the mainnet is launched is known as a pi merchant.
debuts.
I'll provide you the Telegram username
@Pi_vendor_247
how to swap pi coins to foreign currency withdrawable.DOT TECH
As of my last update, Pi is still in the testing phase and is not tradable on any exchanges.
However, Pi Network has announced plans to launch its Testnet and Mainnet in the future, which may include listing Pi on exchanges.
The current method for selling pi coins involves exchanging them with a pi vendor who purchases pi coins for investment reasons.
If you want to sell your pi coins, reach out to a pi vendor and sell them to anyone looking to sell pi coins from any country around the globe.
Below is the contact information for my personal pi vendor.
Telegram: @Pi_vendor_247
What website can I sell pi coins securely.DOT TECH
Currently there are no website or exchange that allow buying or selling of pi coins..
But you can still easily sell pi coins, by reselling it to exchanges/crypto whales interested in holding thousands of pi coins before the mainnet launch.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and resell to these crypto whales and holders of pi..
This is because pi network is not doing any pre-sale. The only way exchanges can get pi is by buying from miners and pi merchants stands in between the miners and the exchanges.
How can I sell my pi coins?
Selling pi coins is really easy, but first you need to migrate to mainnet wallet before you can do that. I will leave the telegram contact of my personal pi merchant to trade with.
Tele-gram.
@Pi_vendor_247
Lecture slide titled Fraud Risk Mitigation, Webinar Lecture Delivered at the Society for West African Internal Audit Practitioners (SWAIAP) on Wednesday, November 8, 2023.
2. Elemental Economics - Mineral demand.pdfNeal Brewster
After this second you should be able to: Explain the main determinants of demand for any mineral product, and their relative importance; recognise and explain how demand for any product is likely to change with economic activity; recognise and explain the roles of technology and relative prices in influencing demand; be able to explain the differences between the rates of growth of demand for different products.
when will pi network coin be available on crypto exchange.DOT TECH
There is no set date for when Pi coins will enter the market.
However, the developers are working hard to get them released as soon as possible.
Once they are available, users will be able to exchange other cryptocurrencies for Pi coins on designated exchanges.
But for now the only way to sell your pi coins is through verified pi vendor.
Here is the telegram contact of my personal pi vendor
@Pi_vendor_247
Yes of course, you can easily start mining pi network coin today and sell to legit pi vendors in the United States.
Here the telegram contact of my personal vendor.
@Pi_vendor_247
#pi network #pi coins #legit #passive income
#US
where can I find a legit pi merchant onlineDOT TECH
Yes. This is very easy what you need is a recommendation from someone who has successfully traded pi coins before with a merchant.
Who is a pi merchant?
A pi merchant is someone who buys pi network coins and resell them to Investors looking forward to hold thousands of pi coins before the open mainnet.
I will leave the telegram contact of my personal pi merchant to trade with
@Pi_vendor_247
how can I sell pi coins after successfully completing KYCDOT TECH
Pi coins is not launched yet in any exchange 💱 this means it's not swappable, the current pi displaying on coin market cap is the iou version of pi. And you can learn all about that on my previous post.
RIGHT NOW THE ONLY WAY you can sell pi coins is through verified pi merchants. A pi merchant is someone who buys pi coins and resell them to exchanges and crypto whales. Looking forward to hold massive quantities of pi coins before the mainnet launch.
This is because pi network is not doing any pre-sale or ico offerings, the only way to get my coins is from buying from miners. So a merchant facilitates the transactions between the miners and these exchanges holding pi.
I and my friends has sold more than 6000 pi coins successfully with this method. I will be happy to share the contact of my personal pi merchant. The one i trade with, if you have your own merchant you can trade with them. For those who are new.
Message: @Pi_vendor_247 on telegram.
I wouldn't advise you selling all percentage of the pi coins. Leave at least a before so its a win win during open mainnet. Have a nice day pioneers ♥️
#kyc #mainnet #picoins #pi #sellpi #piwallet
#pinetwork
Pensions and housing - Pensions PlayPen - 4 June 2024 v3 (1).pdf
10 01 05 Web 2.0 Weekly Special Edition
1. 5 January 2010
Web 2.0 Weekly – SPECIAL EDITION
David Shore, CFA, MBA
416.860.6784 2009 Review: A Strong Year for Web 2.0
david.shore@researchcapital.com
Damian Wojcichowsky, Associate
416.860.7652
damian.wojcichowsky@researchcapital.com SOFTWARE AND MEDIA
2. Page 2
TOP FIVE DEALS OF 2009
The Top Five: Despite over 400 transactions in 2009, it wasn’t hard choosing our Top Five transactions for 2009 (with a
little bit of massaging). Our Top Five transactions are: Facebook’s $200 million D round, Twitter’s $100 million E round, the
$2.25 billion acquisition of Skype, the almost $1 billion in financing/M&A for Social Gaming companies (including Zynga,
Playdom and Playfish), and the incredible per unique visitor value ascribed in the financing for location-based social
networking company Gowalla.
• Facebook raises $200 million D round: In May 2009, Facebook announced a new financing round – raising $200
million from Digital Sky Technologies. The transaction gave Digital Sky a 1.96% stake, valuing Facebook at $10
billion. This financing brought the company’s total to $678.2 million. This was also the largest financing we
recorded in 2009.
• Twitter raises $100 million E round: The third largest financing round in 2009 belonged to Twitter – a $100
million Series E in September 2009. The financing reportedly valued Twitter at $1 billion – a remarkable valuation
for a company that has not yet formalized a revenue model! More recently, it has been reported that Twitter was
actually profitable in 2009 due to the $25 million in search deals it signed in October with Google and Microsoft.
• Skype is acquired for $2.025 billion: By far the largest overall transaction in our database in 2009 was the
acquisition of a majority position (65%) in Skype from eBay for $2.025 billion – announced in September 2009. The
transaction was completed in November 2009. eBay had purchased Skype for $4.0 billion in 2005.
• Social Gaming financing activity reaches ~$1 billion (Zynga, Playfish, Playdom, etc.): Perhaps the hottest
sector overall in 2009 was Social Gaming. This segment of the W eb 2.0 market had the third highest number of
deals (39) and generated almost $1 billion in financing/M&A activity – the second highest total overall (Figure 1).
Three transactions in particular stand out in the social gaming space – the $400 million acquisition of Playfish (by
Electronic Arts, November 2009), the $180 million financing of Zynga (Series C, December 2009, by Digital Sky),
and the $43 million first round of financing for Playdom (New Enterprise lead, November 2009, Series A). There
has been much speculation as to how the larger social gaming companies will proceed, with potential IPO or further
strategic M&A most likely.
F inancing/M&A (2009)
B y S ector/Type
2, 500
2, 000
S eries E
S eries D
1, 500 S eries C
(US $ mm)
S eries B
S eries A
P IP E
Debt financing
1, 000
Angel/S eed
Acquis ition
500
0
C rowds ourced C ontent
Mobile P a yment
Microblog
Mobile A d
T ravel
Advertis ing
Online Dating
B log
Online L earning
C las s ified
P ublis hing
C ollaboration
S earch
Aggregation
V ideo
Internet R etail
W idget
G aming
Online C alendar
S MS /V oice
Mobile
C omment/R eputation
Advertis ing/Mobile
V irtual W orld
Mus ic
Infras tructure
E nterpris e
W iki
Media
S ocial C ommerce
V is ual C ommerce
Micromedia
S ocial Networks
Analytics
V irtual G oods
F inancial S ervices
V ertical C ommunities
Documents
RSS
Location-bas ed S NS
S AS
Figure 1. Capital Market Activity, 2009, By Sector
Source. Company reports
3. Page 3
• Hottest new sector? Location-based social networks (Foursquare, Gow alla, etc.). Unique visitor value
skyrockets: Financing activity for location-based social networks really heated up late in 2009. W hile the total
financing raised in 2009 was quite small (~$15 million), the hype surrounding location-based SNS companies was
substantial. In our opinion, this was highlighted by the $8.4 million December Series B financing for Gowalla. The
reported valuation of $28.4 million implies a value of $568 for each of its 50,000 users (Figure 2). That compares to
a $40 per user value we estimate for the Foursquare financing in September.
E s timated Value per Unique Vis itor
S ourc e : C ompany re ports , C ompe te . com
$600
$568
$500
$400
($)
$300
$200
$200
$113
$100 $88
$48 $42 $40
$32 $29 $29 $25 $22 $20 $19 $19 $16
$7 $6 $5 $2
$-
P la yfis h
Y elp
Y elp
MMC (P oynt)
F riendF eed
F riends R eunited
C lub P enguin
P laxo
Mint.com
B ebo
T witter
T witter
Linkedin
S tumbleU pon
F ours quare
P ageO nce
Zynga
G owa lla
P eople Media
F acebook
Dec-09 May-08 S ep-09 O ct-08 A ug-09 S ep-09 S ep-09 May-09 Aug-07 F eb-09 F eb-08 Mar-08 J ul-09 Dec-09 Dec-09 Dec-09 N ov-09 Dec-09 May-09 Aug-09
Figure 2. Unique Visitor Value
Source. Company reports, RCC estimates, Compete.com
4. Page 4
2009 FINANCING REVIEW
December – the year ends on a high note: Total transaction value in the W eb 2.0 universe for December is $449.4
million (Figure 3). The number of financings stands at 34, averaging $13.2 million each. In comparison, total capital raised
in November was $204.4 million, averaging $10.8 million (19 deals); October was $176.1 million, averaging $5.9 million (30
deals); and September was $232.8 million, averaging $9.0 million (26 deals).
Financing Activity Last Twelve Months
500.0 16.0
14.2
450.0
14.0
13.2
400.0
12.0
350.0 10.8
10.0
300.0 9.0
(US$m)
(US$m)
250.0 7.4 8.0
7.0 6.9
6.4 6.5
6.2
200.0 5.9
5.6 6.0
4.7
150.0
4.0
100.0
2.0
50.0
0.0 0.0
Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 Aug-09 Sep-09 Oct-09 Nov-09 Dec-09
*May-09 includes $200m FB investment Total Average
Dec-09 includes $180m Zynga investment
Figure 3. Financings, Last Twelve Months
Source. Company reports
5. Page 5
September was biggest month: September was the biggest month for capital market activity, driven by the acquisition of
Skype for $2.025 billion (Figure 4). After a slow October, financing/M&A activity picked up in the last two months of the
year, with December being the largest month for financing (excluding M&A).
Total C apital Market Activity - L as t Twelve Months
3, 000
2, 500
2, 000 S eries E
S eries D
S eries C
S eries B
1, 500 S eries A
P IP E
Debt fina ncing
Angel/S eed
1, 000 Acquis ition
500
-
Dec-08 J an-09 F eb-09 Ma r-09 Apr-09 Ma y-09 J un-09 J ul-09 Aug-09 S ep-09 O ct-09 Nov-09 Dec-09
Figure 4. Capital Market Activity, by Sector, Last Twelve Months
Source. Company reports
$10 billion cumulative: W ith $2.8 billion in financing in 2009, total financing for our W eb 2.0 universe is now $9.7 billion
(Figure 5). The $2.8 billion raised in 2009 was down 17.2% from the $3.4 billion raised in 2008.
Web 2.0 F inanc ing (c umulative)
1,600.0 12, 000.0
1, 431. 6
1,400.0
10, 000.0
1,200.0
1, 067.3
8,000. 0
1,000.0 950.4
830.0
(US $m)
(US $m)
800. 0 6,000. 0
713.7
658. 0 662. 0
623.0
600. 0
492. 4 4,000. 0
426. 3
400. 0 338. 7
262. 9
240. 5 2,000. 0
182. 1
173.5 163.8
200. 0
112. 8 95. 9
41. 5 24. 7 59. 4 40.1 59. 7 43.3
- -
Q 1 Q2 Q 3 Q 4 Q 1 Q 2 Q 3 Q4 Q 1 Q 2 Q 3 Q 4 Q 1 Q 2 Q3 Q 4 Q1 Q 2 Q 3 Q 4 Q 1 Q 2 Q 3 Q 4
2004 2005 2006 2007 2008 2009
Figure 5. Web 2.0 Financing, by Quarter, Cumulative
Source. Company reports
6. Page 6
Smaller deal sizes: Deal size averages fell below long-term historical levels in 2009, with Series A-D rounds all below
long-term average levels (Figure 6). However, angel rounds were significantly larger than historical levels, averaging $3.0
million in 2009, above the $2.6 million long-term average.
Average financing round size
30.0
28.4 28.5 28.5
25.0 24.2
22.4
20.0
(US$m)
14.9
15.0
12.9
10.2
10.0
7.6
6.5 6.3 6.2
5.0 4.4
3.0 2.9
2.6
0.0
Angel/Seed Debt financing PIPE Series A Series B Series C Series D Series E
LTM Average Size Overall Average
Figure 6. Average Financing Round Size, LTM and Overall Average
Source. Company reports
Early rounds dominate: As Figures 7 and 8 show, early rounds (Angel/Series A) dominate our financing landscape, in
terms of number of deals with almost 50% of deals. Series C rounds raised the most overall (25.8% of dollars raised), just
ahead of Series B (25.2%).
F inanc ing by Type - 2009 F inanc ing by Type - 2009
(# deals ) S eries C (amount rais ed)
15.6% S eries E
5.0%
S eries D
18. 6%
S eries D Angel/S eed
6. 0% 7. 2%
Debt financing
S eries E 0. 9%
1. 4%
P IP E
1. 4%
S eries B
26. 2%
S eries A
15. 8%
Angel/S eed
18. 6%
S eries C
25. 6%
Debt fina ncing
2. 5%
S eries A P IP E
28.1% 1.6% S eries B
25. 5%
Figures 7 & 8. Capital Market Activity, by Type, Last Twelve Months
Source. Company reports
7. Page 7
Q4 largest for financing: Figures 9 and 10 show the financing activity by month and quarter for 2009, broken out by early-
stage (Angel/Series A), mid-stage (Series B&C), and late-stage (Series D, E, and PIPEs). Q4 was the largest quarter in
terms of amount raised, but the second lowest quarter for number of deals.
Financing by Type - 2009
(Amount raised)
900.0
828.0
800.0
131.0
700.0
653.2 657.3 660.0
600.0 94.2
222.3 227.3
500.0 Late Stage (D/E)
(US$m)
449.4 Mid-Stage (B/C)
532.3 Early Stage (Angel/A)
76.5 Total
400.0
390.3
321.7
241.4
300.0 281.8
301.1
19.0
222.4 230.8
205.0 206.9 203.4
193.7 189.6 312.4
200.0 177.7 31.0 63.2 175.1
5.3 52.5
187.1 48.2 27.0 146.0 133.1 2.0
12.0 105.2 99.8
123.8 96.0
100.0 100.0 103.3 68.6 193.6 121.2
168.7 67.6 164.7
80.2 131.7
75.7 65.4 79.1 76.1 60.5
45.6 47.4 49.1 38.1 49.3 54.9
- 17.5
Jan-09 Feb-09 Mar-09 Q1/09 Apr-09 May-09 Jun-09 Q2/09 Jul-09 Aug-09 Sep-09 Q3/09 Oct-09 Nov-09 Dec-09 Q4/09
Figure 9. Capital Market Activity, by Type, Last Twelve Months, Amount
Source. Company reports
Financing by Type - 2009
(Number of Deals)
100
91
90
86
9
5 81
80
6
70 67
7 35
60 42
37
Late Stage (D/E)
Mid-Stage (B/C)
(#)
50
Early Stage (Angel/A)
Total
40
40 39 1 37
3 34
30 3
28 17 29
30 2
13 1
2 24 24
21 22
2 46 4 12 16
20 18 2 15 40 18
3 38
2 8 2
19
10
11 14
9 21 22 21 9
10
14 16 15
13
10
7 7 7 6 7
-
Jan-09 Feb-09 Mar-09 Q1/09 Apr-09 May-09 Jun-09 Q2/09 Jul-09 Aug-09 Sep-09 Q3/09 Oct-09 Nov-09 Dec-09 Q4/09
Figure 10. Capital Market Activity, by Type, Last Twelve Months, # of Deals
Source. Company reports
8. Page 8
U.S. dominates financing landscape: Figures 11 and 12 show the financing/M&A activity by country (based on company
HQ). The U.S. had the most deals – over 75% of the total (by number of deals).
Financing/M&A by Country - 2009 ($) Financing/M&A by Country - LTM (#)
UK
7.8% Canada
China
4.6%
4.4%
Israel
4.1%
Canada UK
2.0% 4.1%
Luxembourg
31.2%
France China
1.3%
3.6%
ROW
2.4% Israel
2.9%
USA ROW
76.2% 8.5%
USA
46.7%
Figures 11 & 12. Capital Market Activity, by Geography, Last Twelve Months
Source. Company reports
TOP 10 LISTS
Top 10 funded companies: Facebook tops the financing list for 2009, having raised $200 million (Figure 13). Zynga, with
its $180 million round late in the year, came in second ($195 million total), followed by Twitter which raised $135.7 million.
No other company raised more than $100 million in 2009.
Top 10 Funded Companies - 2009
250.0
200.0
150.0
Series E
(US$ mm)
Series D
Series C
Series B
Series A
100.0
50.0
0.0
Facebook Zynga Twitter RockYou Turbine Playdom Youku Zoosk Pandora ChaCha
Media
Figure 13. Top 10 Financed companies, 2009
Source. Company reports
9. Page 9
Top 10 acquirers: As lead investor in the Skype acquisition, Silver Lake leads our Top 10 acquirers list for 2009 (Figure
14). Second was Electronic Arts with the $400 million (including earn-outs) acquisition of Playfish. One of the last deals
announced in 2009 drove O2 to the #3 spot with its $207 million acquisition of JaJah.
Top 10 Acquirers (2009)
B y Amount Inves ted
2500
2000
1500
(US $ mm)
1000
500
0
Intuit
K ongZhong
Ma tch. com
O2
Adknowledge
S ha nda Intera ctive
S ilver L ake
Hi-Media S . A.
E lectronic Arts
IT V
E ntertainment L td.
Network
Figure 14. Top 10 Acquirers, 2009, Amount invested
Source. Company reports
Top 10 lead investors (# deals): Accel Partners was the most active lead investor in 2009, leading nine transactions
(Figure 15). Benchmark Capital was second with seven lead investments, followed by Charles River Ventures with six.
Four firms were lead on five transactions.
Mos t Deals (2009)
B y L ead Inves tor
10
9
8
7
6
5
4
3
2
1
0
Accel B enchmark C harles R iver New Dra per F is her C ana an Augus t S equoia F irs t R ound B es s emer
P artners C apital V entures E nterpris e J urvets on P a rtners C a pital C a pital C apital V enture
As s ociates P artners
Figure 15. Top 10 Lead Investors, # of Deals
Source. Company reports
10. Page 10
Top 10 lead investors (amount invested): W hen analyzing amount invested, Digital Sky Technologies was the largest
lead investor in 2009, participating in $380 million of transactions (Figure 16). Insight Venture Partners was second ($100
million), followed closely by Benchmark Capital with $99.4 million.
Top 10 Inves tors (2009)
B y Amount Inves ted
400
350
300
250
(US $ mm)
200
380. 0
150
100
50 100.0 99. 4 91. 9
70.5
52. 5 50.0 50.0 49. 0 41.0
0
G ranite G lobal
B enchmark C a pita l
Morgentha ler
New E nterpris e
Ins ight V enture
S oftba nk
G reylock P artners
T echnologies
Accel P artners
C a naa n P artners
Digita l S ky
V entures
As s ociates
V entures
P a rtners
Figure 16. Top 10 Lead Investors, Amount Invested
Source. Company reports
Top 10 acquisitions: The largest acquisition in 2009 was the $2.025 billion acquisition of Skype (Figure 17). In second
place was the $400 million Playfish acquisition, followed by the $207 million JaJah acquisition.
Top 10 Acquisitions - 2009
2500
2000
1500
(US$ mm)
1000 2025
500
400
207 170
80 80 50 44 42 41
0
Skype PlayFish Jajah Mint Shanghai People Media Super Rewards Ku6 Friends AdLink Internet
Dacheng Reunited Media
Network
Figure 17. Top 10 Acquisitions, 2009
Source. Company reports
11. Page 11
C A P I T A L M A R K E T S A C T I V I T Y (P R I C E P E R F O R M A N C E )
Web 2.0 index outpaces NASDAQ in 2009: Our W eb 2.0 index (market-cap weighted) essentially mirrored the
performance of the NASDAQ composite index for the first three months of 2009. Since then, the index has diverged in a
much stronger recovery relative to the NASDAQ index (Figure 18).
Web 2.0 Index Price Performance
250
200
150
100
50
0
1/5/09
1/19/09
2/2/09
2/16/09
3/2/09
3/16/09
3/30/09
4/13/09
4/27/09
5/11/09
5/25/09
6/8/09
6/22/09
7/6/09
7/20/09
8/3/09
8/17/09
8/31/09
9/14/09
9/28/09
10/12/09
10/26/09
11/9/09
11/23/09
12/7/09
12/21/09
Index: Web 2.0 (Market Cap) ^COMP - Share Pricing
Figure 18. Web 2.0 Price Performance
Source. Capital IQ
12. Page 12
Strong 2009 performance: Fifty-three companies in our universe had positive stock price performances in 2009 (Figure
19), while 27 companies showed negative or flat returns. The performance for the group was led by Fluid Music Canada,
Inc. with a 400% return in 2009, followed by Chinese Gamer International with a 353% return. Twenty-five of the
companies saw their stock prices at least double in 2009. The worst performance was by Beyond Commerce, Inc. dropping
98.4% in 2009. BroadW ebAsia Inc. also fell more than 90% (-90.9%).
2009 P rice P erformance
Fluid M usic Canada, Inc. 400.0%
Chinese Gamer Internatio nal 353.5%
NEOWIZ Games Co rpo ratio n 277.2%
Openwave Systems Inc. 235.1%
M ultiplied M edia Co rpo ratio n 227.3%
Tencent Ho ldings Ltd. 221.6%
VOIS, Inc. 200.0%
M OKO.mo bi Limited 200.0%
Fro gster Interactive P ictures A G 1 %
98.1
Cyberplex Inc. 192.3%
iseemedia Inc. 184.6%
DigitalP o st Interactive, Inc. 1 .3%
81
Gravity Co ., Ltd 180.0%
OA O RB C Info rmatio n Systems 179.5%
SK Co mmunicatio ns Co ., Ltd. 172.7%
GungHo Online Entertainment, Inc. 155.8%
Webzen Inc. 1 %
53.1
Gamania Digital Entertainment Co ., Ltd. 150.3%
Tree.Co m, Inc. 1 %
45.1
Shutterfly, Inc. 143.7%
A Q Interactive, Inc. 1 32.3%
Kingso ft Co . Ltd. 1 %
30.1
P erfect Wo rld Co ., Ltd. 1 .6%
21
Gree, Inc. 1 2.6%
1
M o dern Times Gro up M tg A B 103.4%
A ccelerize New M edia, Inc. 85.7%
Netease.co m Inc. 82.6%
CDC Co rp. 80.6%
Changyo u.co m Limited 65.9%
A cto z So ft Co ., Ltd. 61.6%
Shanda Interactive Entertainment Ltd. 57.7%
DXN Ho ldings B hd 57.1 %
Uniserve Co mmunicatio ns Co rp. 50.0%
Extensio ns, Inc. 50.0%
NeuLio n Inco rpo rated 42.6%
ValueClick Inc. 42.4%
NetDrago n WebSo ft, Inc. 40.3%
M ixi, Inc. 33.8%
B igstring Co rp. 29.7%
Open Text Co rp. 28.8%
IA C/InterA ctiveCo rp. 28.6%
United Online Inc. 24.4%
Spark Netwo rks, Inc. 17.6%
So hu.co m Inc. 16.9%
YD Online Co rp. 1 %
6.1
XING A G 13.2%
Giant Interactive Gro up, Inc. 1 .2%
1
HanbitSo ft, Inc. 10.4%
P NI Digital M edia Inc. 9.2%
Quepasa Co rp. 5.3%
Eo lith Co . Ltd. 4.4%
B right Things plc 4.0%
SpectrumDNA , Inc. 3.3%
Geo Sentric Oyj 0.0%
Lingo M edia Co rpo ratio n -5.0%
DA DA SpA -14.4%
Jumbuck Entertainment Limited -20.5%
M yriad Gro up A G -24.2%
Ynk Ko rea Inc. -25.3%
A sknet A G -26.1%
M agnitude Info rmatio n Systems Inc. -28.0%
TheStreet.co m, Inc. -30.7%
So cialwise, Inc. -38.6%
GameOn Co Ltd. -40.0%
Lo o kSmart, Ltd. -40.5%
NeXplo re Co rpo ratio n -44.0%
SNA P Interactive, Inc. -45.7%
B etawave Co rpo ratio n -47.9%
The9 Limited -49.2%
GigaM edia Ltd. -50.5%
Ngi Gro up Inc. -52.2%
Wo rlds.co m Inc. -55.0%
DigitalTo wn, Inc. -55.6%
UOM O M edia, Inc -58.0%
No rthgate Techno lo gies Limited -59.4%
Wizzard So ftware Co rpo ratio n -64.2%
Do lphin Digital M edia, Inc. -74.4%
Co rnerWo rld Co rpo ratio n -88.0%
B ro adWebA sia Inc. -90.9%
B eyo nd Co mmerce, Inc. -98.4%
-200.0% -100.0% 0.0% 100.0% 200.0% 300.0% 400.0% 500.0%
Figure 19. 2009 Price Performance
Source. Capital IQ
13. (US $m)
-
Source. Capital IQ
10, 000
20, 000
30, 000
40, 000
50, 000
60, 000
70, 000
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90, 000
VALUATION
J an-05
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Figure 20. Total Market Capitalization, Monthly
Aug-05
S ep-05
Oct-05
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Dec-05
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F eb-06
Mar-06
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Market C apitalization
Oct-07
Nov-07
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J an-08
F eb-08
Mar-08
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80 public companies we track hit an all-time high at the end of 2009, reaching $77.4 billion (Figure 20).
Mar-09
Apr-09
May-09
J un-09
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Aug-09
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Page 13
2009 ends at record high: After bottoming in November 2008 at $28.8 billion, the combined market capitalization of the