Headwaters MB Internet Advertising Market Update 2Q 2015

1. Internet Advertising Market Update
2Q 2015
Member FINRA

2. 2
 Capital Markets – U.S. Internet Advertising companies continue to outpace their international
counterparts and outperform the S&P 500 and MSCI Europe indexes, though they have recently
begun underperforming against the NASDAQ
 Trading Multiples – U.S. Internet Advertising companies are trading at a median LTM revenue
multiple of 1.9x, while International Internet Advertising companies are trading at a median LTM
revenue multiple of 4.9x
 M&A Activity – M&A activity reached a 3-year high in 4Q 2014, with 53 deals, before dropping
in 1Q 2015 and 2Q 2015, with 42 deals and 40 deals respectively. Notable recent transactions
include Rubicon’s acquisition of Chango ($100M), Oracle’s acquisition of Datalogix ($1.1B),
Twitter’s acquisition of TellApart ($532M) and BlueFocus’ acquisition of Domob Network
Technology ($289M)
 Investment Activity – Investment volume and aggregate values declined in 2Q 2015 to 65
investments and $458M in value, from 1Q 2015 with 66 investments and $1.7B in value. Notable
recent investments include Panshi ($200M), Lattice Engines ($28M), and Magnetic Media ($25M)
Executive Summary

3. 3
-40.00%
-20.00%
0.00%
20.00%
40.00%
60.00%
80.00%
100.00%
120.00%
Capital Markets Performance
Since 2012, U.S. Internet Advertising companies (+67.5%) have underperformed the NASDAQ (+88.3%),
but outperformed S&P 500 (+61.6%), and MSCI Europe (+26.5%) indexes, along with their international
counterparts (+43.7%)
NASDAQ:
+88.3%
MSCI Europe:
+26.5%
S&P 500:
+61.6%
Int'l. Internet
Advertising
Companies:
+43.7%
Source: Capital IQ; refer to public comps for constituents
U.S. Internet
Advertising
Companies:
+67.5%

4. 4
7.7x
4.6x
5.3x 5.5x
3.1x
0.7x
0.0x
1.0x
2.0x
3.0x
4.0x
5.0x
6.0x
7.0x
8.0x
9.0x
LTM Revenue Multiple
Internet Advertising Comparable Public Companies
International Internet Advertising Companies
U.S. Internet Advertising Companies
4.6x
7.0x
2.1x
5.4x
7.3x
2.3x
4.1x
0.8x
1.5x
0.9x
1.9x 1.5x
0.7x 0.7x
0.1x
0.0x
2.0x
4.0x
6.0x
8.0x
LTM Revenue Multiple
Median:
1.9x
Median:
4.9x
Source: Capital IQ; companies arranged by descending enterprise value

5. 5
Public Trading Comparables: Internet Advertising
_______
Source: Capital IQ
Trading Metrics
($ in millions, except per share data) Stock
Price 52-Week Price Range Market Enterprise EV / Revenue EV / EBITDA
Company Ticker 06/30/15 Low High Cap. Value LTM CY 2015E CY 2016E LTM CY 2015E CY 2016E
U.S. COMPANIES
Google NasdaqGS:GOOGL $540.04 $490.91 $608.91 $370,878 $313,144 4.6x 4.2x 3.7x 14.3x 10.7x 9.2x
Yahoo! NasdaqGS:YHOO 39.29 32.93 52.62 37,063 33,009 7.0x 7.7x 7.7x NM 30.4x 28.6x
IAC/InterActive NasdaqGS:IACI 79.66 56.50 82.40 6,327 6,558 2.1x 2.0x 1.9x 14.8x 13.4x 9.9x
comScore NasdaqGS:SCOR 53.26 35.03 58.22 1,847 1,833 5.4x 4.9x 4.2x HM 20.1x 16.5x
Marketo NasdaqGS:MKTO 28.06 24.56 35.63 1,284 1,187 7.3x 5.7x 4.3x NM NM NM
Constant Contact NasdaqGS:CTCT 28.76 25.00 43.18 962 783 2.3x 2.1x 1.8x 19.3x 10.6x 8.5x
Rubicon Project NYSE:RUBI 14.96 8.76 20.59 693 572 4.1x 2.8x 2.1x NM 22.0x 13.5x
RocketFuel NasdaqGS:FUEL 8.20 7.53 31.27 346 338 0.8x 0.7x 0.6x NM NM 12.6x
Jive Software NasdaqGS:JIVE 5.25 4.88 8.74 393 279 1.5x 1.4x 1.3x NM NM 34.3x
QuinStreet NasdaqGS:QNST 6.45 3.78 6.83 288 238 0.9x 0.8x 0.8x NM 15.8x 10.5x
Marin Software NYSE:MRIN 6.74 5.36 12.14 244 194 1.9x 1.7x 1.4x NM NM NM
MaxPoint NYSE:MXPT 8.08 6.73 11.24 220 183 1.5x 2.0x 1.4x NM NM NM
Sizmek NasdaqGS:SZMK 7.10 4.85 10.20 210 127 0.7x 0.7x 0.6x 7.3x 5.0x 4.1x
Marchex NasdaqGS:MCHX 4.95 3.15 12.42 203 119 0.7x 0.8x 0.8x 10.2x 9.0x 10.6x
ReachLocal NasdaqGS:RLOC 3.15 2.64 7.65 92 60 0.1x 0.1x 0.1x NM NM 5.2x
High 7.3x 7.7x 7.7x 19.3x 30.4x 34.3x
Mean 2.7x 2.5x 2.2x 13.2x 15.2x 13.6x
Median 1.9x 2.0x 1.4x 14.3x 13.4x 10.5x
Low 0.1x 0.1x 0.1x 7.3x 5.0x 4.1x
INTERNATIONAL COMPANIES
Baidu NasdaqGS:BIDU 199.08 176.69 251.99 70,091 65,339 7.7x 6.0x 4.5x 24.0x 21.0x 15.1x
Rakuten TSE:4755 16.17 9.24 19.58 22,820 23,738 4.6x 4.2x 3.7x 19.6x 17.8x 14.9x
Yahoo! Japan TSE:4689 4.04 3.14 4.64 22,992 18,914 5.3x 5.0x 4.6x 10.6x 10.5x 9.7x
Yandex NasdaqGS:YNDX 15.22 13.90 35.85 4,935 4,923 5.5x 4.9x 4.1x 15.1x 14.1x 11.2x
Criteo NasdaqGS:CRTO 47.67 28.31 51.43 3,157 2,860 3.1x 5.6x 4.3x 36.7x 21.5x 14.6x
Matomy LSE:MTMY 1.72 1.54 4.01 162 167 0.7x 0.6x 0.5x 9.0x 6.2x 4.3x
High 7.7x 6.0x 4.6x 36.7x 21.5x 15.1x
Mean 4.5x 4.4x 3.6x 19.2x 15.2x 11.6x
Median 4.9x 4.9x 4.2x 17.3x 15.9x 12.9x
Low 0.7x 0.6x 0.5x 9.0x 6.2x 4.3x

6. 6
Public Operating Comparables: Internet Advertising (Cont.)
_______
Source: Capital IQ
Operating Metrics
($ in millions, except per share data)
LTM Revenue Growth LTM Revenue EBITDA
Company Ticker As Of '14A-'15E '15E-'16E GM LTM CY 2015E CY 2016E LTM CY 2015E CY 2016E
U.S. COMPANIES
Google NasdaqGS:GOOGL Mar 2015 12% 15% 62% $67,839 $74,247 $85,414 $21,898 $29,201 $33,958
Yahoo! NasdaqGS:YHOO Mar 2015 (7%) 1% 70% 4,711 4,286 4,310 599 1,087 1,155
IAC/InterActive NasdaqGS:IACI Mar 2015 5% 9% 72% 3,142 3,254 3,531 442 491 662
comScore NasdaqGS:SCOR Mar 2015 14% 16% 71% 340 374 434 14 91 111
Marketo NasdaqGS:MKTO Mar 2015 39% 32% 66% 164 209 277 (52) NM NM
Constant Contact NasdaqGS:CTCT Mar 2015 13% 15% 73% 343 375 431 41 74 92
Rubicon Project NYSE:RUBI Mar 2015 64% 33% 84% 139 205 273 (10) 26 43
RocketFuel NasdaqGS:FUEL Mar 2015 25% 19% 43% 439 509 605 (55) 2 27
Jive Software NasdaqGS:JIVE Mar 2015 11% 10% 63% 185 197 218 (32) 0 8
QuinStreet NasdaqGS:QNST Mar 2015 5% 5% 10% 279 289 304 (4) 15 23
Marin Software NYSE:MRIN Mar 2015 15% 17% 64% 103 115 134 (27) NM NM
MaxPoint NYSE:MXPT Mar 2015 (13%) 37% 50% 120 93 127 (12) NM NM
Sizmek NasdaqGS:SZMK Mar 2015 10% 12% 65% 169 188 211 17 25 31
Marchex NasdaqGS:MCHX Mar 2015 (21%) 1% 41% 175 145 146 12 13 11
ReachLocal NasdaqGS:RLOC Mar 2015 (15%) 5% 45% 450 406 425 (37) NM 12
INTERNATIONAL COMPANIES
Baidu NasdaqGS:BIDU Mar 2015 39% 33% 68% 8,433 10,958 14,582 2,726 3,107 4,317
Rakuten TSE:4755 Mar 2015 12% 13% 17% 5,160 5,619 6,353 1,211 1,334 1,596
Yahoo! Japan TSE:4689 Mar 2015 (8%) 8% 80% 3,571 3,773 4,086 1,785 1,807 1,957
Yandex NasdaqGS:YNDX Mar 2015 22% 19% 72% 898 1,009 1,203 327 349 440
Criteo NasdaqGS:CRTO Mar 2015 39% 29% 36% 918 511 658 78 133 196
Matomy LSE:MTMY Dec 2014 8% 19% 25% 237 280 332 19 27 39

7. 7
Internet Advertising M&A Activity Remains Strong
_______
Source: 451 Group; includes transactions with disclosed, estimated, undisclosed transaction values
Top 3 acquisitions with disclosed transaction values
Average LTM Revenue Multiple
2012 2013 2014
6.7x 6.1x 4.9x
Top 3 Acquisitions by Quarter ($M) – Target / Acquirer
3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15
Wildfire /
Google
($350)
Eloqua /
Oracle
($956)
Channel Intel /
Google
($125)
ExactTarget /
Salesforce
($2,500)
DG (assets) /
Extreme Reach
($485)
Responsys /
Oracle
($1,607)
Valassis /
Harland Clarke
($1,947)
Vocus /
GTCR
($413)
Conversant /
ADS
($2,216)
Datalogix /
Oracle
($1,100)
eXelate /
Nielsen
($195)
TellApart /
Twitter
($532)
SPEED FC /
Navarre
($50)
Pardot /
ExactTarget
($96)
AfterDownload /
ironSource
($28)
Hybris /
SAP
($1,341)
Adap.tv /
AOL
($465)
Dealer.com /
DealerTrack
($987)
BlueKai /
Oracle
($320)
Adconion /
Amobee
($209)
LiveRail /
Facebook
($382)
BrightRoll /
Yahoo!
($640)
Chango /
Rubicon
($100)
Domob /
BlueFocus
($289)
TigerLead /
Move
($22)
ClickMotive /
DealerTrak
($62)
Akamai(asset) /
MediaMath
($25)
Neolane /
Adobe
($600)
Locu /
GoDaddy
($70)
Aggregate /
NeuStar
($119)
FreeWheel /
Comcast
($320)
Adometry /
Google
($150)
[x+1] /
Rocket Fuel
($230)
Videoplaza /
Ooyala
($80)
Yashi /
Nexstar
($33)
Bronto /
NetSuite
($200)
30
27
18
31
34 34
51
53
41
53
42
40
$477
$1,180
$191
$4,810
$1,167
$2,865
$3,049
$845
$3,305
$1,945
$1,138
$1,220
0
10
20
30
40
50
60
0
1,000
2,000
3,000
4,000
5,000
6,000
3Q 2012 4Q 2012 1Q 2013 2Q 2013 3Q 2013 4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015
# Deals$ in millions
Deal Volume Deal Value ($M)

8. 8
Top Acquirers in Internet Advertising Market
Buyer # Acquisitions Total Value ($M) Targets
Google 8 1,025.0 Admeld, Adometry, Channel Intelligence, Incentive Targeting, mDialog, Red Hot Labs, Wildfire, Zave Networks
Yahoo! 8 975.5 5to1.com, AdMovate, Brightroll, Flurry, Interclick, Luminate, Palaran, Ztelic
Oracle 6 4,408.7 BlueKai, Datalogix, Eloqua, Involver, Responsys, Vitrue
Adobe 5 1,178.0 Auditude, Demdex, Efficient Frontier, Neolane, Search Discovery
Facebook 5 382.0 LiveRail, Microsoft Corporation (Atlas Advertiser Suite Assets), Onavo, Pryte, Threadsy
Top Acquirers by Volume – Five or More Acquisitions, 2011 – Present
Buyer Total Value ($M) Targets
Oracle 4,408.7 BlueKai, Datalogix, Eloqua, Involver, Responsys, Vitrue
Salesforce 3,515.0 Buddy Media, ExactTarget, Radian6
Alliance Data Systems 2,300.0 Conversant
Harland Clarke 1,947.0 Valassis
SAP AG 1,381.0 Hybris, KXEN, SeeWhy
Adobe 1,178.0 Auditude, Demdex, Efficient Frontier, Neolane, Search Discovery, Tumri Inc.
DealerTrack Holdings 1,048.5 ClickMotive, Dealer Dot Com
Google 1,025.0 Admeld, Adometry, Channel Intelligence, Incentive Targeting, mDialog, Red Hot Labs, Wildfire, Zave Networks
Yahoo! 975.5 5to1.com, AdMovate, Brightroll, Flurry, Interclick, Luminate, Palaran, Ztelic
DG 597.6 EyeWonder, MediaMind Technologies, Peer39, Republic Project
Twitter 532.6 AdGrok, RestEngine, TellApart
IBM 500.1 Now Factory, The Silverpop Systems, Tealeaf Technology, Inc.
Extreme Reach 485.0 DG
Top Acquirers by Total Transaction Value – $450M or More, 2011 – Present
Source: 451 Group

9. 9
On April 28th, 2015
ACQUIRED
Transaction Overview:
 $532.6M acquisition of TellApart by Twitter
- $532.6M in stock through issuance of 12.6M shares of common stock
 TellApart had $17.7M in VC funding at the time of the acquisition
Target Description:
 Provides predictive marketing and customer analytics SaaS that enables personalized
cross-device retargeted ads, as well as mobile, social media and email campaigns, for e-
retailers and marketing teams.
Transaction Commentary:
 “TellApart’s strengths in personalization, dynamic product ads, commerce data and with
retail advertisers are strong complements to Twitter’s deep experience in mobile,
understanding users and the app ecosystem,” said Josh McFarland, Co-Founder & CEO of
TellApart
 "TellApart brings deep expertise in performance advertising, driving cost-effective return
on investment through dynamic product ads and email marketing. With continued
investment and expansion through our global sales teams, we believe we can extend
TellApart’s services internationally and to industries beyond retail,” elaborated Kevin Weil,
Twitter’s Senior VP of Product
Internet Advertising Market: M&A Case Study
_______
Source: 451 Group, Twitter’s Company Website, TechCrunch

10. 10
Internet Advertising Investment Rebounding
_______
Source: PitchBook; includes transactions with disclosed, estimated, undisclosed transaction values
Top 3 investments with disclosed investment values
Top 3 Investments by Quarter ($M)
3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15
Dianping.com
($60)
ignitAd
($65)
AppNexus
($75)
Brand Ntwk
($68)
Droga5
($225)
Komli Media
($30)
Appforma
($80)
Campaign
Monitor
($250)
AppNexus
($85)
AppNexus
($110)
Dianping.com
($850)
Panshi
($200)
Criteo
($39)
HubSpot
($35)
Infusionsoft
($60)
BrightEdge
($43)
Videology
($68)
BrightTag
($27)
Turn
($80)
MediaMath
($176)
Hootsuite
($60)
Matomy Media
($82)
Red Ventures
($250)
Lattice Engines
($28.3)
Say Media
($27)
Emailvision
($30)
AVITO.ru
($50)
MarketShare
($38)
SugarCRM
($40)
Vungle
($19)
Integral Ad
($30)
AdRoll
($70)
xAd
($50)
Infusionsoft
($55)
Harbor City
($100)
Magnetic
($25)
# Investments
56
69 71
85
63
45
59
71
61
53
66 65
$360
$432
$519 $488
$554
$268
$459
$1,071
$478
$462
$1,677
$458
0
10
20
30
40
50
60
70
80
90
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
$1,800
3Q 2012 4Q 2012 1Q 2013 2Q 2013 3Q 2013 4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015
$ in millions
Investment Volume Investment Value ($M)

11. 11
Top Investors in Internet Advertising Market
_______
Source: PitchBook; number of investments may include follow-on investments in same target
Investor Investments Targets
500 Startups 31
AdStage, BackType, Boostable, BrandCont, Capseo, Central Mayoreo, Conekta, Crowdrally, Ginzamarkets, Iterable, LocBox, MarketVibe,
Newswhip Media, OwnLocal, PostRocket, Privy, Regresa Pronto, Samba Ads, ShareRoot, Skimbit, Spinnakr, Unbounce Marketing, Vid
Network, Virool, Vungle
First Round Capital 22
33Across, Altruik, AppNexus, DoubleVerify, Elicit, Flurry, Handshakez, Jirafe, Moat, Nomi, Say Media, SinglePlatform, Solve Media,
VigLink
Greycroft Partners 22
33Across, Custora, Elicit, Media Armor, Molio, Netsertive, Nomi, Performance Horizon Group, Radiate Media, Resonate Networks,
Skimbit, SteelHouse, TagMan
SV Angel 21
Booshaka, Boostable, Custora, Heap, Moat, Nomi, NowSpots, Pipewise, SocialFlow, SteelHouse, TellApart, TT Labs, Tubular Labs,
Vungle, WibiData, Wish, Yext
Draper Fisher Jurvetson 19
4INFO, AdXpose, Flurry, ignitAd, InsightSquared, iSocket, Komli Media, PubMatic, Servio, StrikeAd, SugarCRM, Tremor Video,
Virool, Yodle
Sequoia Capital 18 AgilOne, Dianping.com, Flite, HubSpot, Innovid, Kahuna, Kenshoo, Kontera Technologies, Lattice Engines, Taykey
Battery Ventures 17 BrightEdge Technologies, ExactTarget, Kontagent, Lotame Solutions, Marketo, Smarter Remarketer, Sprinklr, Tapad, Tealium
Accel Partners 16
AdRoll, AVITO.ru, BEBB India, Collective, Dealer.com, HootSuite,Genius.com, LocBox, MoPub, myThings, Nomi, OpenX Software,
YuMe
Intel Capital 14
[x+1], BrightEdge Technologies, Delivery Agent, HookLogic, Movable Inc, SmartZip Analytics, Sprinklr, Vizury, YuMe, Zamplus
Technology
New Enterprise Associates 14
BloomReach, Compass Labs, Lattice Engines, Millennial Media, RezNext Global, Say Media, SugarCRM, TrackMaven, Videology,
WibiData
Atlas Venture 12 Bluetrain Mobile, DataXu, InsightSquared, Integral Ad Science, Overdog, Privy, Unbounce Marketing
Bertelsmann Digital Media
Investments
12 Adomic, Content Fleet, CrowdTwist, Deal United, Regiohelden, Semasio, SensorTower, Skimbit
Y Combinator 11 AdGrok, BackType, Boostable, Custora, Heap, LocalOn, Orankl, Reebee, TT Labs, Virool
SoftTech VC 10 iSocket, Kahuna, Rapleaf, StrikeAd, TurnHere, VigLink, Vungle
Top Investors by Volume, 2011 – Present

12. 12
Top Seed and Series A Investors in Internet Advertising Market
Investor Investments Targets
500 Startups 26
AdStage, BackType Boostable, Capseo, Central Mayoreo, Conekta, Crowdrally ,Iterable, LocBox, MarketVibe, PostRocket, Privy,
Regresa Pronto, Samba Ads, ShareRoot, Spinnakr, Unbounce Marketing, Vid Network, Virool, Vungle
SV Angel 14 Booshaka, Boostable, Custora, Heap, Moat, Nomi, NowSpots, Pipewise, SocialFlow, TT Labs, Tubular Labs, Vungle
Y Combinator 11 AdGrok, BackType, Boostable, Custora, Heap, LocalOn, Orankl, Reebee, TT Labs, Virool
First Round Capital 10 Altruik, Elicit, Handshakez, Jirafe, Moat, Nomi, Say Media, SinglePlatform, Solve Media
RRE Ventures 9 Bloglovin, BlueTrain Mobile, ividence, Pontiflex, Say Media, SinglePlatform, SocialFlow, Yieldbot
TechStars 9 AdYapper, Bizible, inRentive, MarketVibe, Mavrck, Mobintent, Simple Energy, SimpleRelevance, Splashscore
Lerer Hippeau Ventures 8 Bloglovin, Bottlenose, Brandtale, Fuisz Media, GraphEffect, Moat, Tubular Labs
Greycroft Partners 7 Custora, Elicit, Media Armor, Molio, Nomi, TagMan
Betaworks 6 Bloglovin, Namo Media, SocialFlow, Teleportd
Atlas Venture 5 Bluetrain Mobile, InsightSquared, Privy, Unbounce Marketing
CommonAngels 5 InsightSquared, Linkable Networks, Yieldbot
Draper Associates 5 Autopilot, MomentFeed, Vungle
ff Venture Capital 5 Bottlenose, Elicit, Movable Inc, Parse.ly
Founder Collective 5 BackType, Custora, GraphEffect, Moat, ThriveHive
Top Investors by Volume, 2011 – Present
_______
Source: PitchBook; number of investments may include follow-on investments in same target

13. 13
Top Series B and C Investors in Internet Advertising Market
Investor Investments Targets
Greycroft Partners 10 Netsertive, Performance Horizon Group, Resonate Networks, Skimbit, SteelHouse, TagMan
Sequoia Capital 9 AgilOne, Dianping.com, Flite, Innovid, Lattice Engines, Taykey
Battery Ventures 8 BrightEdge Technologies, Kontagent, Sprinklr, Tapad, Tealium
First Round Capital 7 33Across, DoubleVerify, Moat, Solve Media, VigLink
Intel Capital 7 BrightEdge Technologies, HookLogic, Movable Inc, SmartZip Analytics, Sprinklr, Vizury
Lightspeed Venture Partners 7 BloomReach, Dianping.com, Evariant, Eyeviewdigital, MediaV, MyBuys
New Enterprise Associates 6 BloomReach, Compass Labs, Lattice Engines, TrackMaven, Videology, WibiData
Redpoint Ventures 6 55social, Adap.tv, nadco, Intent Media, The Miaozhen Systems
Baird Capital 5 BrightTag, ClickFuel, eDo Interactive, WordStream
Draper Fisher Jurvetson 5 ignitAd, InsightSquared, iSocket, Servio
Ignition Partners 5 Dianping.com, Moz, Visible Technologies
Top Investors by Volume, 2011 – Present
_______
Source: PitchBook; number of investments may include follow-on investments in same target

14. 14
Top Series D+ Investors in Internet Advertising Market
Investor Investments Targets
Norwest Venture Partners 8 Act-On Software, Komli Media, True[x] Media, Turn
Draper Fisher Jurvetson 7 4INFO, AdXpose, Flurry, Komli Media, PubMatic, SugarCRM, Tremor Video, Yodle
Accel Partners 5 AdRoll, Genius.com, OpenX Software, YuMe
Battery Ventures 5 BrightEdge Technologies, Lotame, Marketo, Sprinklr, Tealium
Focus Ventures 5 Delivery Agent, Marin Software, Turn
Institutional Venture
Partners
5 AdRoll, Buddy Media, Marketo, xAd, Yext
Menlo Ventures 5 DataXu, Flurry, YuMe
SAP Ventures 5 Criteo, Marin Software, OpenX Software, Tremor Video
Crosslink Capital 4 Flurry, Marin Software
First Round Capital 4 33Across, AppNexus, Flurry
Intel Capital 4 BrightEdge Technologies, Delivery Agent, Sprinklr, YuMe
Panorama Capital 4 33Across, JiWire, Zoove
Scale Venture Partners 4 BrightRoll, Demandbase, HubSpot
Trident Capital 4 BrightRoll, JiWire, Turn
Top Investors by Volume, 2011 – Present
_______
Source: PitchBook; number of investments may include follow-on investments in same target

15. 15
On June 8th, 2015
&
INVESTED IN
Transaction Overview:
 $28M Series D venture funding from lead investors River Cities Capital Funds and
Piper Jaffray Merchant Banking on June 8th, 2015
 Puts pre-money valuation at $77M
Target Description
 Developer of a platform designed to help sales and marketing processes. The
company's software integrates internal, external and Lattice Engines proprietary
data to identify customer patterns and predictive events that influence buying
decisions.
Transaction Commentary:
 "Predictive analytics are becoming embedded in numerous industries, from
healthcare to industrial manufacturing," said Robert Heimann, Director at River
Cities, who will also join the Lattice Board. "We share Lattice's belief that
marketing and sales teams can greatly improve their productivity with predictive
analytics, which ultimately leads to positive impacts on a business' bottom line.“
 "In the past decade there has been a massive shift in B2B marketing towards
predictive solutions. It's no longer enough to be a modern marketer. It's about
being a predictive marketer," said Shashi Upadhyay, CEO of Lattice. "By
leveraging big data and powerful analytics, B2B marketers today have the same
power of prediction as consumer giants such as Amazon and Netflix."
Internet Advertising Investment Case Study

16. 16
15+ Years of Internet Advertising Success
IPO
Lead Manager
IPO
Lead Manager
IPO
Lead Manager
HAS ACQUIRED
Fairness Opinion to
the Buyer
IPO
Co-Manager
HAS BEEN ACQUIRED
BY
Financial Advisor to
the Seller
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Certain transactions executed by Headwaters TMT bankers at prior firms
HAS BEEN ACQUIRED
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Financial Advisor to
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HAS BEEN ACQUIRED
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HAS BEEN ACQUIRED
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HAS BEEN ACQUIRED
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the Seller

17. 17
Recent Awards and Nominations
HAS BEEN ACQUIRED
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the Seller
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HAS BEEN ACQUIRED BY
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A PORTFOLIO COMPANY OF
Financial Advisor to
the Seller
Headwaters Technology, Media & Telecom (TMT) team has won awards for
2014 Online and Mobile Tech Deal of the Year and 2014 Consumer Services Deal of the Year
and back-to-back M&A Advisor TMT Deal of the Year awards
2012 TMT DEAL OF
THE YEAR <$100M
CONSUMER
SERVICES
DEAL OF THE YEAR
2013 TMT DEAL OF
THE YEAR <$100M
2014 TMT DEAL OF
THE YEAR <$100M
CORPORATE /
STRATEGIC ACQUISITION
OF THE YEAR
2014 ONLINE AND
MOBILE TECH DEAL
OF THE YEAR
HAS BEEN ACQUIRED
BY
Financial Advisor to
the Seller
HAS BEEN ACQUIRED
BY
Financial Advisor to
the Seller

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Contact Us
www.headwatersmb.com
John Batdorf
Managing Director
Head of Software & Internet
Investment Banking
Office: (415) 926-7454
Cell: (415) 847-8805
jbatdorf@headwatersmb.com
135 Main St
Suite 800
San Francisco, CA 94105

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Disclosure: This newsletter is a periodic compilation of certain economic and corporate information, as well as
completed and announced merger and acquisition activity. Information contained in this newsletter should not
be construed as a recommendation to sell or buy any security. Any reference to or omission of any reference to
any company in this newsletter should not be construed as a recommendation to buy, sell or take any other
action with respect to any security of any such company. We are not soliciting any action with respect to any
security or company based on this newsletter. The newsletter is published solely for the general information of
clients and friends of Headwaters MB, LLC. It does not take into account the particular investment objectives,
financial situation, or needs of individual recipients. Certain transactions, including those involving early stage
companies, give rise to substantial risk and are not suitable for all investors.
This newsletter is based upon information that we consider reliable, but we do not represent that it is accurate
or complete, and it should not be relied upon as such. Prediction of future events is inherently subject to both
known and unknown risks, and other factors that may cause actual results to vary materially. We are under no
obligation to update the information contained in this newsletter. Opinions expressed are our present opinions
only and are subject to change without notice. Additional information is available upon request. The
companies mentioned in this newsletter may be clients of Headwaters MB, LLC. The decisions to include any
company in this newsletter is unrelated in all respects to any service that Headwaters MB, LLC may provide to
such company. This newsletter may not be copied or reproduced in any form, or redistributed without the prior
written consent of Headwaters MB, LLC. The information contained herein should not be construed as legal
advice.
Disclaimer