News & Events

December Cyber Intelligence Review

Barracuda Networks, a provider of advanced threat protection solutions, made its public debut on November 7, 2013, opening at $21.70, 20.6% above its final offering  price of $18.00.  Barracuda’s stock has maintained its  initial increase, closing at $20.70 on November 29, 13.3% above its final offering price.  With its strong revenue profile and growth prospects, Barracuda  generated over $175 million in venture capital funding before its public offering,  and  continues to  attract strong  public  demand, further  highlighting  the capital markets’ interest in innovative, growth-oriented cybersecurity companies.

M&A activity remained strong  for  data companies in  November.  Experian plc  headlined sector M&A with its $850.0 million acquisition of Passport Health Communications, Inc., a provider of data-based solutions for hospitals and healthcare providers. The opportunity for  Experian  to expand  its footprint within the  highgrowth healthcare market commanded a 7.0x EV / LTM Revenue multiple and a 28.3x EV / LTM EBITDA multiple for  Passport Health.  Additionally, Neustar, Inc. acquired  Aggregate Knowledge, Inc., a provider of predictive audience and campaign analytics  solutions, for $119.0 million. With the majority of revenue derived from managing databases of phone numbers for carriers, the acquisition will allow Neustar to expand the  targeted marketing capabilities  of its Information Services unit, which currently makes up roughly a quarter of its revenue.

In addition to a robust M&A market, data companies experienced strong  VC  activity  in November.Fundings for the month of November reached  $220  million, bringing total YTD funding to $2.7 billion. High  profile fundings included  Box, Inc., a provider of content-sharing solutions,  and PrimaryData, a provider of cloud  storage solutions. Box, Inc. raised $100 million in a Series H funding, bringing its total funding to over $400 million  and implying a ~$2 billion valuation  for the company.  PrimaryData raised $50 million in a Series A funding, with the goal of launching its  software-defined data center technologies  in the second quarter of 2014.

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