Cherry Tree & Associates | May 2020

Cherry Tree has been tracking trends and activity in the Technology Enabled Business Services (TEBS) space for more than 15 years, including the TEBS 100, which is a broad index of 100 publicly-traded TEBS companies.

The four segments of the TEBS 100 are: Software Business Process Services Information Services Infrastructure Services

Each issue of this newsletter highlights transactions involving TEBS companies, as well as performance metrics for the TEBS 100. Cherry Tree also produces quarterly TEBS updates and a research report which are available for download:

View the Q1 2020 TEBS Quarterly Update

View the TEBS Research Report

Cherry Tree has more than 15 years of experience working with businesses in the TEBS space. Our clients include companies seeking to sell their businesses or divest non-core assets, as well as strategic and financial buyers looking to make acquisitions. Contact Mik Gusenius at  mgusenius@cherrytree.com with any questions.

NOTABLE TRANSACTIONS – May 2020

CyberArk Acquires Identity Startup Idaptive for $70M Israeli cybersecurity company CyberArk has acquired identity startup Idaptive for $70M in an all-cash deal. CyberArk is one of the major players in the Israeli cybersecurity scene, and its share price has nearly quadrupled since its IPO in 2013. Read more techcrunch.com SharesPost and Forge Global to Merge Private securities marketplaces SharesPost and Forge Global will be merging. The combined company will operate under the name Forge Global and position the new combined company as a large player to compete in the private securities market. Read more news.crunchbase.com Gov Tech Company Ontario Systems Acquires E-Payment Vendor Ontario Systems, which provides payment collection software for local government, is acquiring e-payment vendor SwervePay. Ontario Systems is backed with private equity money after New Mountain Capital acquired it in August. Read more www.govtech.com Cognizant to Acquire Collaborative Solutions Cognizant has entered into an agreement to acquire Collaborative Solutions, a privately-held global consultancy specializing in Workday enterprise cloud applications for finance and human resources. Read more www.businessleader.co.uk

Microsoft Acquires Metaswitch Microsoft is acquiring Metaswitch Networks, a U.K. company that develops software for both fixed and wireless telecommunications networks. The acquisition follows quickly on the heels of Microsoft’s recent purchase of Affirmed Networks. Read more www.fiercetelecom.com MatchNow to be Acquired by CBOE MatchNow, Canada's major dark trading platform, is being acquired by Chicago-based Cboe Global Markets, a publicly traded company whose subsidiaries include the largest options exchange in the United States and third-largest stock exchange operator. Read more business.financialpost.com Prometheus Group to Acquire VIZIYA from Quarterhill Prometheus Group, a portfolio company of Genstar Capital, has agreed to acquire VIZIYA Corporation from Quarterhill Inc. for $49.4M in cash. VIZIYA is a leading provider of bolt-on software products to enhance ERP-based asset maintenance systems. Read more privatecapitaljournal.com Intel to Acquire Transit Startup Moovit for $1B Intel is set to acquire Moovit, a startup that applies AI and big data analytics to track traffic and provide transit recommendations to some 800M people globally. The deal is expected to close at a price in the region of $1B. Read more techcrunch.com

TEBS 100 INDEX PERFORMANCE

TEBS 100 INDEX METRICS

For a confidential conversation about your company's strategic alternatives for exiting, merging, acquiring, or obtaining financing, please contact Mik Gusenius. Prepared by: Mik Gusenius, Director mgusenius@cherrytree.com Phone: 952.253.6005 www.cherrytree.com 

Cherry Tree & Associates is a private investment banking firm headquartered in Minneapolis. Our firm specializes in serving middle market companies and their owners, whether private, public, or divisions of larger corporations.

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Important Disclosures The information included in this publication has been obtained from public sources, and is not based upon private or confidential Cherry Tree information. Cherry Tree gathers its data from sources it considers reliable. However, it does not guarantee the accuracy or completeness of the information provided within this publication. Any opinions presented reflect the current judgment of the authors and are subject to change. Cherry Tree makes no warranties, expressed or implied, regarding the accuracy of this information or any opinions expressed by the authors. Officers, directors, partners of Cherry Tree and Cherry Tree proprietary investment funds may have positions in the securities of the companies discussed, and certain affiliates of Cherry Tree may recommend to specific clients the purchase and sale of securities discussed in the publication. This publication does not constitute a recommendation with respect to the securities of any company discussed herein, and it should not be construed as such. Cherry Tree or its affiliates may from time to time provide investment banking or related services to these companies. Like all Cherry Tree employees, the authors of this publication receive compensation that is affected by overall firm profitability. We undertake no obligation to update any information in this publication. The TEBS Performance Index is a hypothetical index, and does not reflect an actual investment portfolio. Comparisons between the TEBS Index and other indices are for illustrative purposes only. Correlations in performance information for the TEBS Performance Index and other indices should not be relied upon as indicative of risks involved in owning or holding a portfolio of securities similar to the TEBS Performance Services Index. Past performance should not be relied upon as indicative of future performance.