Newsletter Corporate Finance | March 2016
Technology
Deal Activity 03
This monthly letter highlights M&A transactions and equity fund raisings
announced in March 2016 in the Technology Sector in France
Technology deals
Alcyane Consulting
30 March 2016
InfoVista
23 March 2016
Captain Train
14 March 2016
Alcyane Consulting, a French IT
services provider dedicated to the
corporate and investment banking,
insurance and asset management
sectors, has been acquired by CGI, a
Canadian
IT
services
provider
(revenues of more than €7bn in
FY15). This transaction should enable
CGI to benefit from Alcyane
Consulting’s experience in the
investment banking sector. Alcyane
Consulting generated revenues of
€30m in FY15.
InfoVista, the French provider of
service
performance
assurance
solutions, has entered into exclusive
negotiations to be acquired by the
French PE fund Apax Partners. The
transaction,
which
values
the
business at €300m (representing a
multiple of 3x FY16 expected
revenues of €100m, and 12x FY16
expected EBITDA of €25m), should
enable InfoVista to accelerate its
growth through acquisitions to
become a worldwide leader in the
network performance orchestration
software market. InfoVista generated
revenues of €91m in FY15.
Captain Train, a French start-up
operating an online platform dedicated
to rail ticket reservation, has been
acquired by Trainline, a UK online
retailer of train tickets. The transaction,
which
was
concluded
for
a
consideration of €200m, should enable
the new combined entity to increase its
footprint with the aim of delivering a
“one stop shop” for rail travel across
Europe. Captain Train generated a
business volume of €72m in FY15.
Gfi Informatique
24 March 2016
Gfi Informatique, the French listed IT
services provider (revenues of €894m
in FY15), has acquired Impaq group, a
Swiss based IT services provider. The
acquisition of Impaq group should
enable Gfi Informatique to increase its
geographical footprint in Eastern
Europe and reinforce its offering in
the
Banking,
Insurance
and
Telecommunications sectors. Impaq
group generated revenues of €13m in
FY15.
CetSI
16 March 2016
CetSI, a French IT services provider
and telecom operator specialized in
mission-critical systems outsourcing
and managed services, structured a
leverage buyout backed by the French
PE fund Industries & Finances
Partenaires. The transaction should
enable CetSI to consider acquisitions
in order to expand geographically and
diversify its activities in the security
industry. CetSI generated revenues of
c.€25m in FY15.
Trace One
8 March 2016
Trace One, the French provider of
online collaborative platforms for
private label product development in
the retail sector, has been acquired by
the UK PE fund HgCapital. The
transaction should enable Trace One to
boost its growth and expand its
product portfolio.
Newsletter technology Deal Activity 03 - 1
Newsletter Corporate Finance | March 2016
Stupeflix
2 March 2016
Rythm
29 March 2016
Intersec
8 March 2016
Stupeflix, a French start-up operating
a video-editing platform and app, has
been acquired by GoPro, the US
action camera manufacturer. The
transaction should enable GoPro to
reinforce its video editing offering.
GoPro generated revenues of €1.4bn
in FY15.
Rythm, a French digital healthcare
start-up manufacturing connected
devices aimed at improving sleep
quality, has raised €10m from
business angels including Laurent
Alexandre (Doctissimo) and Xavier
Niel. This new round of financing
should enable Rythm to industrialize
and
develop
their
headband
connected device.
Intersec, a French software vendor
providing Fast Data analytics solutions
for telecom operators, raised €9.2m
from a pool of investors led by the
French PE fund Omnes Capital and
the US software group Cisco
Systems, alongside the American PE
fund Harbert European Growth
Capital. This new round of financing
should enable Intersec to expand
geographically and address new
verticals such as mass retail,
transportation or finance.
Fundraising
Frichti
31 March 2016
Frichti, a French start-up operating an
online food delivery platform, raised
€12m from a pool of investors led by
the French PE fund Idinvest Partners,
its historical shareholder Alven Capital
as well as several business angels.
This second round of financing should
enable Frichti to complement its
offering by expanding its delivery
hours.
ManoMano
31 March 2016
ManoMano,
a
French
start-up
operating a DIY and gardening tools
market place, has raised €13m from a
pool of investors led by the French PE
fund Partech Ventures, the French
state investment arm Bpifrance, the
UK PE fund Piton Capital as well as its
historical shareholder CM-CIC Capital
Privé. This fourth round of financing
should enable ManoMano to hire new
sales representatives in order to
expand its activity in Germany and
expand its community. ManoMano
attracts more than 1.8m unique
visitors per month.
Zen.ly
14 March 2016
Zen.ly, a French start-up operating a
real time geolocation app, has raised
€10m from a pool of investors led by
the French PE fund Idinvest Partners,
its
historical
shareholder
Kima
Ventures, as well as a US business
angel. This second round of financing
should enable Zen.ly to hire new
developers to reinforce its technical
team.
Delair-Tech
11 March 2016
Delair-Tech, the French professional
drones manufacturer raised €12m
from a group of investors led by its
historical shareholder the Hériard
Dubreuil family office Andromède and
several business angels. This second
round of financing should enable
Delair-Tech to fuel its geographical
expansion in the US and China, to
invest in people as well as to develop
a new aerial imaging service offering
dedicated to major industrial groups.
Delair-Tech generated revenues of
€2m in FY15.
Brainsonic
07 March 2016
Brainsonic, a French digital specialist
and software vendor specialized in
Content Marketing and Social Media,
has raised €5m from a group of
investors led by the French PE fund
CM-CIC Capital Privé as well as its
historical shareholder Ardian. This
second round of financing should
enable Brainsonic to accelerate its
development through geographical
expansion in Europe and the USA.
Brainsonic generated revenues of
€11m in FY15.
Augment
2 March 2016
Augment, a French start-up operating
an augmented reality platform for
mobile devices in SaaS mode, has
raised €3m from a pool of investors
led by the US Corporate fund
Salesforce Ventures, as well as other
investors. This first round of financing
should enable Augment to pursue its
geographical expansion, invest in
people and expand its portfolio of
partnerships. Augment’s app was
downloaded more than 2 million
times since its foundation in October
2011.
Newsletter technology Deal Activity 03 - 2
Newsletter Corporate Finance | March 2016
Market Multiples
Company
Country
Market
cap.
(€m)
EV
(€m)
EV / Net Sales
EV / EBITDA
EV / EBIT
EBITDA %
EBIT %
2015A 2016E 2017E 2015A 2016E 2017E 2015A 2016E 2017E 2015A 2016E 2015A 2016E
Software vendors
Dassault Systèmes
Axway Software
Cegedim
Cegid Group
Pharmagest Interactive
Linedata Services
Esker
Sidetrade
Average
Median
France
France
France
France
France
France
France
France
17 687
411
356
444
358
272
134
39
16 605
393
544
514
308
307
129
33
5,8x
1,4x
1,3x
1,8x
2,7x
1,8x
2,2x
2,0x
2,4x
1,9x
5,4x
1,3x
1,3x
1,7x
2,6x
1,7x
1,9x
1,8x
2,2x
1,8x
5,0x
1,2x
1,2x
1,6x
2,5x
1,7x
1,8x
1,5x
2,0x
1,6x
21,5x
9,5x
6,9x
11,7x
10,3x
7,2x
9,5x
16,8x
11,7x
9,9x
15,9x
8,3x
7,0x
9,9x
9,6x
6,9x
11,4x
n/a
9,9x
9,6x
14,3x
7,3x
6,4x
8,9x
9,2x
6,7x
10,3x
n/a
9,0x
8,9x
25,7x
14,3x
11,3x
13,1x
11,2x
8,1x
13,2x
29,9x
15,9x
13,2x
17,8x
9,1x
12,0x
11,9x
10,5x
8,4x
14,8x
n/a
12,1x
11,9x
15,9x
7,7x
11,1x
10,9x
9,9x
8,2x
13,0x
n/a
10,9x
10,9x
27%
14%
18%
16%
27%
25%
23%
12%
20%
21%
34%
15%
18%
17%
27%
25%
17%
14%
21%
17%
23%
10%
11%
14%
24%
22%
17%
7%
16%
15%
30%
14%
11%
14%
25%
21%
13%
9%
17%
14%
France
France
France
France
France
France
France
France
14 231
7 392
2 057
462
433
278
153
109
18 013
8 372
3 016
544
333
287
159
114
1,5x
0,8x
0,8x
0,6x
0,8x
1,0x
0,6x
0,6x
0,9x
0,8x
1,4x
0,7x
0,8x
NA
0,8x
0,9x
0,5x
0,6x
0,8x
0,8x
1,4x
0,7x
0,8x
NA
0,7x
0,9x
0,5x
0,6x
0,8x
0,7x
12,7x
6,2x
11,5x
10,4x
8,0x
11,2x
8,2x
14,7x
10,4x
10,8x
10,8x
6,1x
9,0x
NA
7,7x
9,1x
7,3x
6,8x
8,1x
7,7x
10,0x
5,7x
8,0x
NA
NA
8,5x
6,5x
6,2x
7,5x
7,3x
15,6x
9,5x
13,4x
13,8x
9,0x
11,7x
9,0x
16,9x
12,4x
12,6x
12,6x
8,0x
11,2x
NA
7,8x
9,8x
7,9x
7,6x
9,3x
8,0x
11,7x
7,6x
9,6x
NA
6,9x
9,1x
7,0x
6,9x
8,4x
7,6x
12%
13%
7%
6%
10%
9%
7%
4%
9%
8%
13%
12%
9%
NA
10%
10%
7%
9%
10%
10%
10%
8%
6%
4%
9%
9%
6%
4%
7%
7%
11%
9%
7%
NA
10%
9%
7%
8%
9%
9%
1,2x
1,2x
0,6x
0,4x
0,8x
0,5x
0,8x
0,7x
1,1x
1,1x
0,6x
0,4x
0,6x
0,5x
0,7x
0,6x
1,1x
1,1x
0,5x
0,4x
0,6x
n/a
0,7x
0,6x
11,9x
11,1x
8,0x
5,5x
11,2x
6,9x
9,1x
9,5x
10,0x
10,2x
6,3x
5,0x
6,7x
6,0x
7,4x
6,5x
9,2x
9,6x
5,6x
4,7x
6,2x
n/a
7,0x
6,2x
13,0x
11,9x
10,2x
6,4x
11,8x
8,5x
10,3x
11,0x
11,6x
10,9x
8,1x
5,8x
7,0x
7,4x
8,5x
7,7x
10,4x
10,3x
6,9x
5,5x
6,5x
n/a
7,9x
6,9x
10%
11%
8%
7%
7%
8%
8%
8%
11%
11%
9%
8%
9%
8%
9%
9%
9%
10%
6%
6%
6%
6%
7%
6%
10%
10%
7%
7%
9%
6%
8%
8%
IT Services
Cap Gemini
Atos
Sopra Steria Group
GFI Informatique
Neurones
Aubay
Groupe Open
SQLi
Average
Median
Technology consulting services & Engineering
Altran
Alten
Akka Technologies
Assystem
Ausy
SII
Average
Median
France
France
France
France
France
France
2 109
1 789
494
514
232
185
2 357
1 822
611
369
299
169
16,0x
Median EV / EBIT
14,0x
12,0x
10,0x
8,0x
6,0x
4,0x
Software vendors
IT Services
Technology consulting services & Engineering
Source: Capital IQ, KPMG Corporate Finance, and company filings
Notes: Market Capitalization amounts are in millions, based on closing Share Prices as of March 31th 2016 - Enterprise Value (EV) equals Market Capitalization plus Debt, Preferred
Equity, and Minority Interest, minus Cash and Cash Equivalents - EBITDA equals Earnings before Interest, Taxes, Depreciation, and Amortization (which can include R&D Capex based
on accounting methods).
Newsletter technology Deal Activity 03 - 3
Newsletter Corporate Finance | March 2016
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Corporate Finance
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Paris
Corporate Finance
Paris
Corporate Finance
Paris
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Newsletter technology Deal Activity 03 - 4