February 11, 2013 PRIVATE EQUITY TRANSACTION VOLUME EXPERIENCES 13 PERCENT YEAR-TO-YEAR IMPROVEMENT

Berkery Noyes has made available its Private Equity M&A Report for Full Year 2012. It features transactions completed by financially sponsored acquirers within the Information Industry, including purchases by subsidiaries or platforms of private equity firms.

M&A activity improved 13 percent over the past twelve months and 34 percent relative to 2010. In contrast, transaction volume in the Information Industry as a whole, including deals completed by strategic acquirers, underwent only a three percent gain between 2011 and 2012.

The median revenue multiple in the report declined from 1.8x in 2011 to 1.4x in 2012, whereas the median EBITDA multiple increased from 9.1x to 9.7x. At the same time, aggregate transaction value rose from $36.74 billion to $40.79 billion, an 11 percent improvement. Seven of the report’s top ten highest value deals in 2012 occurred during the second half of the year.

Vista Equity Partners, with 12 transactions, was the most active financial sponsor in the Information Industry in 2012. Although no private equity information deals met the $3 billion threshold in 2011, there were three such acquisitions in 2012. The Carlyle Group was involved in two these transactions, making it the largest private equity acquirer for the year based on value.

“Private equity firms in 2012 dealt with tax uncertainty, a shifting regulatory landscape, and pressure to deliver favorable returns to investors despite lingering macroeconomic challenges,” said John Shea, Managing Partner at Berkery Noyes. “Nonetheless, the near-term outlook for private equity remains positive across many of the technology based sectors, as indicated by the numbers in our report.”

Shea continued, “With more attention being given to compliance and due diligence concerns, the transaction process in general seems to be taking longer than it traditionally has. Yet if valuations continue to align with both buyer and seller expectations, there is the potential for another strong year of private equity activity ahead.”