The document discusses the significant growth of the digital economy, highlighting the rise in internet users and spending in digital advertising and e-commerce from 1999 to 2015. It notes that many tech companies are staying private longer, with shifts in funding dynamics favoring later stages, particularly in Europe. Additionally, the report emphasizes the need for bridging funding gaps to enhance European tech market competitiveness and outlines the capabilities of Noah Advisors in facilitating transactions within this sector.

1. The future of the digital economy
NOAH London – 13 November 2015
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3. The tech market today is huge and deeply entrenched
2
Source: ITU, FCC, Nielsen
280
3.000
0
500
1.000
1.500
2.000
2.500
3.000
3.500
Internet users
Internetusers(million)
1999 2014
12
93
0
10
20
30
40
50
60
70
80
90
100
Hours online per month
Hoursonlinepermonth
1999 2015
Global Internet users Hours online (incl. smartphones) per month
83x growth in person-hours
online
11
x
8x

4. Source: IAB; eMarketer; Forrester. Apple, Google, App Annie
Internet monetisation models are now proven
3
5
171
0
50
100
150
200
Digital advertising
Spend
AnnualSpend(US$billion)
1999 2015
20
1.500
0
200
400
600
800
1000
1200
1400
1600
Global ecommerce
spend
AnnualSpend(US$billion)
1999 2015
0
30
0
10
20
30
40
50
iOS & Google Play app
revenue
AnnualSpend(US$billion)
1999 2015
Global internet advertising Global ecommerce Global app store revenue
3
4
x
7
5
x

5. Tech market growth outpaces the global economy
2,4
6,9
1,4
26,0 25,0
57,0
61,1
0,0
10,0
20,0
30,0
40,0
50,0
60,0
70,0
%change
Year-on-year growth, 2015 v 2014
Version 14
Source: The Economist (GDP figures), Goldman Sachs (SaaS), eMarketer (Ecommerce, Mobile Commerce, Mobile Advertising)

6. Shifting incentives mean companies are staying
private longer
Version 15
Source: VentureSource; CB Insights
3
7
0
5
10
Median age at IPO
Yearsfromfirstfounding
2000 2014
45 47
10 14
28
44
0
20
40
60
80
100
US China India Europe Rest of
World
#of$100m+investmentrounds
VC-backed companies staying private
longer
$100m+ rounds in Internet & Software
Companies since 2013
CaliforniaRestofUS

7. 1
3
6
14
26
0
10
20
30
40
$B+companiesfoundedsince2003
European $B+ companies founded since 2003 by year surpassed $B+ milestone
6
40 European $B+ companies founded since 2003
More global winners now coming from Europe
Source: Atomico
40

8. Major Sectors Remain Largely Undisrupted
7
Source: Atomico research.
6%
2%
0%
7%
3%
6%
8%
6%
3%
18%
10%
8% 8%
6%
2% 2%
1% 1%
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
20%
Share of GDP Share of $B companies

9. 8
97% of Europe’s $B+ companies today were founded in 2011 or earlier
Source: Atomico
A defining moment for Europe and technology
5
16
11
1
0
2
4
6
8
10
12
14
16
18
2003-2005 2006-2008 2009-2011 2012-14
$B+companiesbyyearfounded
European $B+ founded since 2013 companies by year founded
17 August 2015

10. Bridging the later-stage funding gap to take Europe to
next level
9
0
10
20
30
40
50
Early-stage (Seed/Series A) Multi-stage Later-stage (Series B+)
FundsRaised($B)
Europe US
3x
US v Europe
5x
US v Europe
14x
US v Europe
Source: Dow Jones VentureSource
Definitions from Dow Jones VentureSource:
Early-stage: These funds back companies at a point where they have completed a business plan, at least part of a management team in place, and perhaps a working prototype
Multi-stage: These funds will participate in any stage of venture financing and do not have a specific stage focus
Later stage: Later-stage round investors typically provide a second or third round of financing, often of $10m or more, that funds production, sales and marketing, and carries the company into the revenue-producing stage.
17 August 2015
VC Funds Raised ($M) in US and Europe by Stage Focus, 2010-2014

11. 83%
30%
17%
70%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Early (Series A & earlier) Later (Series B & later)
Shareofcapitaldeployed(%)
All European Investors Incl. non-European Investors
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Share of capital deployed by stage in all-European rounds versus rounds including non-European investors (1H15)
Source: CB Insights
Note: All European rounds mean rounds where only European-based investors participated. Non-European rounds means rounds where a non-European investor participated.
European investors are missing out as others fill the void

12. Version nn.nnINTERNAL | Do not distribute11

13. Focus on Leading European Internet companies
Covering over 400 companies across 25
online verticals, a broad range of over 500
investors as well as 100+ online-focused
corporates
Deep understanding of industry dynamics
Ability to add value beyond banking advice
Facilitates overall process and minimizes
management distraction
NOAH Advisors is globally well connected
and has direct access to virtually all key
players in the industry
Knowledge of and strong relationships
with potential buyers’ key decision makers
Proactively finds and unlocks attractive
investment opportunities for leading
investors
Annual NOAH Conference in its 8th year
Over 40 years of combined relevant M&A
experience
Routine execution of M&A and financing
transactions with sizes of several billion
euros
22 successfully completed NOAH Advisors
transactions underline successful transfer of
M&A competencies to the Internet sector
Entrepreneurial mind-set, focused on growing the
business and establishing a reputation for
excellence
Ability to deliver top results in short time frames
Highly success-based compensation structures
align interests of clients and NOAH Advisors,
and demonstrate conviction to deliver top results
Creative deal solutions
September 2015 December 2014
September 2014October 2014
May 2014 February 2013
May 2012 April 2011
Sale of a 70% stake in
to
Exclusive Financial Advisor to
Drushim and its Shareholders
Sale of 100% of
for $800m to
Exclusive Financial Advisor to
Fotolia and the Selling Shareholders
Sale of 100% of
for €80m to
Exclusive Financial Advisor to
Trovit and its Shareholders
Sale of controlling stake in
to
Exclusive Financial Advisor to
Facile.it and its Shareholders
sold 100% of
for $228m to a joint venture between
Exclusive Financial Advisor to Yad2
and its Shareholders
Growth equity investment from
for a 30% stake alongside Softonic’s Founders
and Angel Investors at a valuation of €275m
Exclusive Financial Advisor to
Softonic and its shareholders
150 million growth equity investment from
for a 50% stake alongside Fotolia’s Founders and
Additional $150 million senior debt financing
Total $300 million investment
Financial Advisor to Fotolia and its Shareholders
have acquired a majority stake in
for $350m from
Exclusive Advisor to Summit Partners and TA Associates
Selected Completed
NOAH Transactions
Unique Industry Know-How
Unmatched Network and Relationships
Strong Investment Banking Competence
Full Commitment - We Are Entrepreneurs!
EUROPE’S LEADING INTERNET CORPORATE FINANCE BOUTIQUE
®