THE GLOBAL BUSINESS SERVICES INDUSTRY

October 2016 THE GLOBAL BUSINESS SERVICES INDUSTRY Introducing Global M&A Partners Global M&A Partners is one of the world’s leading independent M&A ...
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October 2016

THE GLOBAL BUSINESS SERVICES INDUSTRY Introducing Global M&A Partners Global M&A Partners is one of the world’s leading independent M&A advisory firms. Specialized in the middle market, we provide support and opportunities locally and internationally for clients buying or selling companies as well as financings, corporate restructurings and other corporate finance transactions. In the last 5 years, we have closed more than 1,500 transactions with an aggregate deal value of more than €42 billion. The Global M&A Partners team has accumulated extensive experience in cross border deals. The main success factors are: local expert knowledge of international markets, discrete and efficient execution and longstanding track record.

Global Sector Expertise Global M&A Partners has created a growing number of specialised sector teams. These groups meet regularly and exchange intelligence and deal ideas constantly. Most importantly, they co-operate to create seamless cross-border teams on joint projects. This well established system enables us to deliver a unique level of advice and support to our clients. Some of this system’s advantages include: Multinational teams for seamless cross-border co-operation on specific M&A projects. Centralised industry-relevant knowledge on: Public and privileged information on company valuations Buyers‘ and sellers‘ strategies. Access to decision makers at groups and investment houses around the world.

The Global M&A Partners Business Services Insider In this report, the Global M&A Partners Knowledge Center together with the Business Services team reviews valuations and recent valuation trends for various sub-sectors of the global business services industry. The global Business Services landscape remains highly fragmented and consolidation is expected to continue in almost all sub-segments. Whether regional, national and international, many players need to continue to expand services offering, customer base and geographic footprint. “Hot” sectors:  In Facility Management, we see a continued rise in requests of acquirers interested in Hard FM such as energy management and industrial maintenance;  In HR, large players are interested in reinforcing their technology platforms;  We see an increase of transactions in special waste as well as in Environmental Engineering and Consulting the US For more information, olease don’t hesitate contacting your local Business Services Team member and visit the Business Services sector area of the Global M&A Partners website at www.globalma.com.

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Table of Contents The Global M&A Partners Business Services Team Section I:

Executive Summary

Section II:

BPO Companies

Section III:

Facilities Management Companies

Section IV:

Security Services Companies

Section V:

Contract Catering Companies

Section VI:

Human Resources Services Companies

Section VII:

Waste Management Services Companies

Section VIII:

Consulting Services Companies (Excluding IT)

APPENDIX:

Sampling of Business Services Deals

Veronique Zeid-Maurel Managing Director Global M&A Partners Business Services team leader

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THE GLOBAL M&A PARTNERS BUSINESS SERVICES TEAM

The Business Services team understands the challenges of service delivery, typical client demands and the market dynamics in the sector, and has a clear appreciation of how these factors can drive value and the interest of purchasers and investors in your business. In the past ten years we have closed more than 250 transactions of which over 25 deals with an aggregate value of more than a billion€ in 2015. The team is well positioned to advise you on the best ways of creating or unlocking maximum value, and on the best industrial and cultural fit. Areas of Expertise: • Business Process Outsourcing • Catering . Consultancy Services • Facilities Management • Mechanical & Electrical Maintenance • Recruitment, Contract Staffing & Other HR Services . Security • Waste Management & Recycling Please visit the Business Services sector area of the Global M&A Partners website at www.globalma.com for more information.

Corporate Finance Experts from Your World™

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The

Global M&A

Business Services Team

Business Services Team Leader

FRANCE Véronique Zeid-Maurel Managing Director

Véronique Zeid-Maurel is Global M&A Business Services team leader with over 20 years experience as M&A deal maker specializing in cross border transactions. Selection of cross border deals closed in Business Services: Acquisition by MBO team of POLYMARK (France/UK, sale & installation of laundry equipment); sale of French subsidiary HONEYWELL Sécurité & Télésurveillance to CERBERUS SIEMENS; sale of TEAMWORKS (IT Services, Austria) to ALTRAN; sale of KNIGHTS SERVICES (cleaning services, Ireland) to PENAUILLE POLYSERVICES; sale of ORION ENGINEERING (high added value engineering advisory services, Netherlands) to ALTEN. Education: Sorbonne Paris IV, Foreign Languages Applied to Economics

Business Services Team Members Verónica Klammer joined the Buenos Aires based company in March 2006. Previously, Ms. Klammer was a banker at Citigroup/Citibank N.A., where she worked for five years, participating in transactions in the areas of debt restructurings, M&A advisory, private and multilateral debt structuring, syndicated loans and acquisition finance such as the purchase of Hylsamex by Grupo Techint. Prior to joining Citibank, Ms. Klammer worked at Accenture for two years as a financial analyst in the Business Consulting Unit

ARGENTINA Education: Verónica Klammer Certified Public En Bachelor Degree Vice President

Accountant, Universidad Católica Argentina; in Business Administration, Universidad Católica Argentina (Valedictorian 1998); Postgraduate Degree in Marketing, Universidad de San Andrés (2004).

Rosanna has a finance background and began her career working for TNT in Australia, Paris and then globally. She has worked for a number of multinational corporations, gaining extensive international finance and project management experience, before co-founding Australian based firm MergeCo in Sydney in 2005.

AUSTRALIA Rosanna Hawkins

Rosanna has undertaken international strategic engagements ranging from sourcing to outsourcing and is the operational and project management powerhouse of MergeCo.

Senior Advisor

Quintin Althann is a consultant at the Wien based company. He has significant experience in balance sheet and market analysis as well as in research and consulting activities. He has also assisted numerous acquisitions and other transactions.

AUSTRIA Quintin Althann Consultant

Quintin is an active member of the Global M&A Business Services and CEE Teams. Prior to joining the company, Quintin worked for Civitas International Management Consultants and the Swiss Private Bank Ehinger & Armand von Ernst. Education MBA, Vienna University of Technology

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The

Global M&A

Business Services Team

Benoit Roose has over 25 years of experience advising on international acquisitions and divestitures. Previous experience in Belgium, Germany, France and North Africa in reorganizing commercial and industrial groups, and in launching new ventures. Founder of the Brussels based company and of Global M&A.

BELGIUM Benoit Roose

Education: Master of Economics, University of Bonn and Cologne, Germany; Post-Graduate in Business Administration, Solvay Brussels School of Economics and Management, Belgium

Managing Partner

Paulo has twenty years of professional experience and twelve years of consulting advisory. Since the establishment of Condere in 2006 he has originated and conducted more than 60 business strategy and M&A projects and transactions for several business segments. Paulo has held senior executive and management positions at Grupo RBS, JP Morgan Chase, Banco Patrimônio/Salomon Smith Barney and Grupo Amil. At each of these organizations he was responsible for structuring business development and strategy.

BRAZIL Paulo Cury Managing Partner

Has acquired in-depth experience, and now focuses his activities on structuring and executing business strategies and M&A projects. Education: MBA Fuqua Business School

Colin Walker is a Managing Director of Toronto-based Crosbie & Company Inc. After beginning his career at UBS where he focused on lending and debt-capital markets, he has played a leadership role at Crosbie for over 20 years, both as an investment banker and as Investment Advisor and Portfolio Manager for First Ontario Fund. He has also served as a Director of a number of private and public companies, and has been a Director of the Toronto Chapter of the Turnaround Management Association.

CANADA Colin Walker Managing Director

Business Services experience includes key roles in transactions for clients in financial services, asset management, engineering, construction trade services, and software enabled service businesses. Education: Bachelor of Chemical Engineering & Management degree – McMaster University; MBA at the Michael G. DeGroote School of Business

Luis David has almost 20 years of experience in the banking and financial sectors in the Central American region. He is currently on the Board of Directors of GE-BAC (Banco de America Central) and Credomatic. He has been responsible for closing several deals in the Central American Region, Mexico, USA and Europe including leverage buyouts, management buyouts, mergers, acquisitions, debt restructuring, strategic alliances and private equity placements. Education: Masters Degree in Banking and Finance, Giordano Dell’amore CENTRAL AMERICA Institute in Milan, Italy; B.S. in Business Administration, Universidad Francisco Marroquín, Guatemala

Luis David

Managing Director

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APPENDIX: The

Global M&A

Business Services Team

Carlos Taborga Ibargüen has over 20 years of experience in top executive positions and 10 years experience in restructuring and turnarounds. He joined the Santiago based firm in January 2007. Previously, he was CEO of Matreq (Caterpillar Dealership) in Bolivia, General Manager of Ferrocarriles Andinos in Bolivia, General Manager of Morgan Impresores in Chile, and former Undersecretary of Finance in Bolivia. He is a Board member of Empresa Electrica Valle Hermoso.

CHILE Carlos Taborga Ibargüen

Education: BS and MBA, Babson College, USA

Business Director

Prior to joining the Denmark based company, Peter Søgaard was a Director at Booz.Allen & Hamilton Corporate Finance, Director at PricewaterhouseCoopers Financial Advisory Services, Area Manager for Industrialisation Fund for Developing Countries and Vice President of BG Bank Investment Bank. Education: Master of International Economics and Management, Copenhagen Business School; Bachelor of Law, University of Aarhus

DENMARK Peter Søgaard Managing Partner

Antti Kemppainen is a Partner at the Helsinki based company. Previously, he worked at Mandatum & Co since 1998, most recently working as an Associate Director from 2000-2003. He has eleven years of experience in investment banking.

FINLAND Antti Kemppainen

Education: M.Sc. Economics; MBA

Partner

Alexander joined the Düsseldorf based firm in 2008. He has gained expert knowledge in the industries of automotive, healthcare, construction materials, mechanical engineering, IT & telecommunications, leisure products and services. Education: Masters degree in Business Administration (finance & investment, controlling and corporate management), Heinrich Heine University (Düsseldorf, Germany)

GERMANY Alexander Rupp Transaction Manager

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APPENDIX: The Global M&A Business Services Team Prior to founding Budapest firm in 2000, Zoltán Siklósi was a partner of MAVA Investment Management, earlier, Zoltán was managing director of Hypo-Securities Hungary. He also worked on corporate finance deals with MeesPierson EurAmerica and Nomura Investment Bank. He possesses extensive transaction experience in structuring equity placements, strategic financial advisory and successful execution of sell-side and buy-side assignments. As a partner of Invescom, he participated in the management and execution of all major mandates of the company.

HUNGARY Zoltan Siklosi Managing Director

Education: MBA degree from Madrid Business School and an M. Sc. degree in Electrical Engineering from the Budapest Technical University.

Deepak has over 13 years of experience in the Corporate Finance space and his last assignment was with Lazard India where he worked for over 6 years as Director in the advisory business with a focus on M&As. Prior to Lazard, Ladha worked with HSBC in their corporate finance team for 5 years and with Rabo India for 2 years. He has been involved in various strategic M&A transactions with clients across borders in key sectors viz Pharma & Chemicals, FIG and FMCG.

INDIA Deepak Ladha

Education: Deepak is a Fellow member of The Institute of Chartered Accounts of India (ICAI).

Managing Director

ISRAEL Yair Ephrati Managing Director

The Tel Aviv based firm is led by Yair Ephrati. Mr. Ephrati has been involved in numerous Israeli related transactions in the past years including a Leveraged Buyout of an electronic equipment (rugged computers) importer and manufacturer, acquisition of semiconductor trading company, financing of medical device companies, acquisition search for services company in Asia and strategic partnership for a software company in Bulgaria. Previously, Mr. Ephrati was with McKinsey & Co. in London and New York for three years. At McKinsey, he led teams advising Fortune 100 companies on new market development, acquisitions and strategy. Education: B.A., Economics and Business, Tel Aviv University; M.B.A., University of Michigan

Stefano has been with the Milan based firm since 2010. He previosly worked for Banca Esperia in Hedge Funds and for NPL Management S.p.A. in the non performing loans management. During this experience he structured the saucerisation and the financial management of the loans in portfolio. Education: Degree in Economics

ITALY Stefano Oddo

University, Milan

of Financial Markets, Bocconi

.

Transaction Manager

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APPENDIX: The Global M&A Business Services Team Tamotsu Majima, Director, Advisory Group at the Tokyo and Osaka based group, has been engaged in cross border transactions for more than ten years. Before joining the group in 1998, he worked as securities analyst of Japanese corporations and was also involved in international corporate finance business for ten years at Yamaichi Securities. He is a Chartered Member of the Securities Analysts Association. Education:

JAPAN B.A., Tokyo University of Foreign Studies; M.B.A., INSEAD, Tamotsu Majima France Director Advisory Group

Kristaps Berzins has been leading several transactions, Kristaps`s specialisation includes fund raising, acquisitions and LBO transactions - covering industries of retail, wood processing, road construction, waste management, manufacturing and B2B service Education: B.Sc., Stockholm School of Economics in Riga; CFA Level III Candidate, CFA Institute.

LATVIA Kristaps Berzins Associate Director

Prior to joining the Mexico based firm in 2002, Mr. Plettner worked for 3 years as manager of Publix, S.A., a graphic design studio, and Star Technologies, S.A., a company active in the design of information systems, businesses he founded in 1996 and 1997, respectively.

MEXICO Martin Plettner Rutishauser Partner

Previously, Mr. Plettner worked as a trainee in brand management at Procter & Gamble Mexico. During the summer of 2001, Mr. Plettner worked as a consultant at The Boston Consulting Group, where he worked on the merger of two multi-national food companies, and evaluated additional acquisition projects. Education: BS in Industrial and Systems Engineering, Instituto Tecnológico y de Estudios Superiores de Monterrey (ITESM); MBA, Stanford Graduate School of Business

Caspar van de Geest joined the Zeist based firm in 2004. Caspar has over 12 years’ experience in M&A with 50 transactions at home and abroad. Education: Master Economics, Erasmus University Rotterdam

NETHERLANDS Caspar van der Geest Partner

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APPENDIX: The Global M&A Business Services Team Erik Kingsrud Treiborg has several years of experience from Corporate Finance M&A and cross border transactions. Mr. Treiborg has been involved in a number of transactions within the business services area, including IT services, facility management, and ground handling services. Prior to joining the Norway office Mr. Treiborg worked a number of years in the offshore industry with business and project management within the international oil and gas field development industry.

NORWAY Erik Kingsrud Treiborg

Education: Ba Finance from the Norwegian School of Management, Oslo; M.Sc. Finance from the University of Strathclyde, Glasgow.

Partner

PERU Manuel Salazar Partner

Mr. Salazar has professional expertise in investment banking, capital markets and finance, with 20 years of experience. Mr. Salazar has been involved in numerous deals with a total value in excess of US$ 2 billion. Mr. Salazar also participated in studies on the development of the Peruvian capital market for the Ministry of Economy and Finance and CONASEV. His previous experience includes the position of General Manager of Sudamericano Brokerage House, Member of Banco Sudamericano’s Assets and Liabilities Committee, Investment Manager of Macrovalores and Investment Advisor to MAPFRE Compañía de Seguros. Education: Economist graduate, Universidad Católica del Perú; Post Graduate Studies in Finance from ESAN

At the Warsau based company, Rafal Nowakowski specializes in deal origination, transaction structuring, corporate finance and investment advisory services. Prior to becoming a co-founder and partner of HCA, Rafal was a managing director and partner at Innova Capital, a leading Central European private equity firm. In the Business Services sector, Rafal was involved in several transactions including investments, sell and buy sides of companies dealing with IT outsourcing, IT consulting, facility management, electronic data storage, cleaning, security and mass print and mail outsourcing.

POLAND Education: Rafal Nowakowski MSc in Economics from Poznań Academy of Economics; Managing Partner

certificate in Corporate Finance & European Law (ERASMUS); INSEAD alumnus; Securities Representative (SFA) and certified accountant.

Prior to joining the Stockholm based firm, Anders Jonsson held several positions both in the IT industry and as a consultant to Private Equity funds. Anders was the owner and CEO of Oscar Dellert AB, a distributor of IT products, Executive Director Strategic Marketing at ISA International, and CEO of Lap Power Holding. Anders has also been a board member of Information Highway, and is the current Chairman of Academic Work (Recruitment).

SWEDEN Anders Jonsson Partner

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APPENDIX: The Global M&A Business Services Team

Frederic de Boer is a founding partner of the Zurich based firm. Over 25 years of experience in M&A, turn-arounds (planning and execution and complex restructurings). Education: MBA Insead, lic.oec. HSG

SWITZERLAND Frederic de Boer Partner

In 1995, Esin began her career in equity research and worked for various brokerage houses including Finans Yatırım and Caspian Securities. Since 1999, after joining Raymond James Securities as a Director, Esin has concentrated on corporate finance. At the Istanbul based firm she is responsible for business development, origination and execution of corporate finance deals. Education: Industrial Engineering degree, Middle East Technical University, Ankara; M.B.A. IAL Consortium of TURKEY International Business Studies, Italy and Clemson Esin Özçelik Ünsal University, U.S.A. Director

David Browne heads up the Corporate Finance Team of the UK based Cooper Parry and has 25 years dedicated corporate finance experience. David’s lead advisory experience is wide ranging including company sales, acquisitions, MBO’s, MBI’s and private equity assignments – many of these transactions are cross border. David has also worked as a Commercial Director and shareholder of a private equity backed global business which achieved a successful exit. David takes pride in delivering practical and commercial

UNITED KINGDOM advice in a clear and frank manner. David Browne Partner

Business services deal experience includes the sale of recruitment, cleaning, security and facilities management companies.

Phil has over 16 years’ corporate finance and private equity experience. He joined Cooper Parry Corporate Finance in May 2015 from ASX-listed Centrepoint Alliance in Sydney where he was Head of Corporate Development. He was previously Director with PwC Corporate Finance in London with whom he spent 12 years and was a founder member of their Business Services sector team. He was also a Director with a UK mid-market private equity house for over 6 years where he focused on investing in the Business Services sector. Education

UNITED KINGDOM Phil Hinson Director

Phil holds a BSc (Hons) in Biology from Nottingham University and a Post-graduate Diploma in Law and Legal Practice Certificate from Nottingham Law School. He is a Fellow of the Institute of Chartered Accountants in England & Wales

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APPENDIX: The Global M&A Business Services Team

USA Effram E.Kaplan Managing Director & Principal

USA Clifford Sladnick Managing Director

USA John O’Dore Managing Director

Effram Kaplan leads the firm’s investment banking activities in the Business Services sector, with sub-sector expertise in Environmental Services. He has significant experience advising clients on strategic and financial alternatives, sale and acquisition transactions, recap transactions and other financial advisory assignments. Effram has spent over 15 years focused on various segments within the business services industry. Prior to joining Brown Gibbons Lang & Company, Effram was an Associate at Key Capital Markets’ and prior to, held management consulting positions at Arthur Andersen and Cap Gemini. Education B.S., Miami University; M.B.A, The University of Chicago Graduate School of Business

Clifford Sladnick leads the firm’s investment banking activities in the Human Capital Management Outsourcing sector. Mr. Sladnick’s distinguished 37-year career includes senior executive positions with leading public and private companies in the HRO space. He brings extensive experience in mergers and acquisitions, corporate finance, corporate development, human resources, legal, investor relations and strategic planning; having completed over $3 billion of corporate acquisitions and divestitures in the business services and outsourcing, financial services, and consumer products industries Education B.S., summa cum laude, University of Illinois; J.D., magna cum laude, University of Illinois; M.M, Northwestern University Kellogg School of Management

John O'Dore is a Managing Director at the Seattle based company. John has more than 20 years of investment banking experience with Meridian Capital and global investment banking firms such as Credit Suisse First Boston, Merrill Lynch and Bank of America. John has closed over 100 financings, divestitures, and merger & acquisition transactions in multiple industries including branded consumer, ecommerce, food and beverage, manufacturing, aerospace, distribution and logistics, business services, technology, and real estate. John brings both a local and global perspective to transactions having lived in Asia for over 20 years in China, Hong Kong, Taiwan, and Singapore. Prior to joining Meridian Capital in early 2011, John most recently spent over 13 years at Credit Suisse First Boston where he worked in the Investment Banking Division as Head of Credit Risk Management for North Asia Education B.S., Miami University; M.B.A, The University of Chicago Graduate School of Business

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Section I: Executive Summary Overview In this report, the Global M&A Partners Knowledge Centre together with the Global M&A Partners Business Services Industry team reviews valuations and recent valuation trends for various sub-sectors of the global business services industry. The seven sub-sectors that we have analyzed for this report include: business process outsourcing (BPO), facilities management, security services, waste management, human resources services, consulting and contract catering companies. For the purpose of this paper we have either excluded smaller or larger sub-segments of the industry, where the data samples are either not as statistically significant or are too numerous to manageably analyze. Our analysis uses the seven aforementioned sub-segments merely as a means to categorize the industry in an easily understandable manner. In the report, we examine valuation statistics derived from the most common valuation techniques used in the Investment Banking and Private Equity industries, namely comparable public company analysis and comparable transactions analysis. In our comparable company analysis we study the valuation of the industry and its sub-sectors based on operating and financial measurements (e.g., EV/EBITDA or EV/EBIT) of groups of public companies that have similar characteristics (for example, a peer or sub-sector group). NB: comparable listed EV/EBITDA and EV/EBIT are calculated based on EV at September 30, 2016 with EBITDA including provisions for inventories and customers and EBIT excluding exceptional Items. Our comparable transaction valuation analysis derives an approximation of value from prices at which entire companies (or significant interests in companies) have been sold by comparing the valuation parameters of the M&A transactions. The results of our analyses are the following: • BPO Companies: The median EV/EBIT and EV/EBITDA for comparable public BPO companies are 13.2x and 12.1x, respectively. The median EV/EBITDA of comparable M&A transactions is 6.9x. • Facilities Management Companies: The median EV/EBIT and EV/EBITDA are 16.9x and 9.8x for comparable public facilities management companies, and are 15.4 and 12.7x for comparable public real estate services companies. The median EV/EBITDA of comparable M&A transactions is 9.8x. • Security Services Companies: The median EV/EBIT and EV/EBITDA for comparable public companies are 16.1x and 9.1x, respectively. The median EV/EBITDA of comparable M&A transactions is 10.9x. • Contract Catering Companies: The median EV/EBIT and EV/EBITDA for comparable public companies are 15.7x and 12.1x, respectively. The median EV/EBITDA of comparable M&A transactions is 7.7x. • Human Resources Services Companies: The median EV/EBIT and EV/EBITDA for comparable public companies are 9.0x and 6.4x, respectively. The median EV/EBITDA of comparable M&A transactions is 9.9x. • Waste Management Companies: The median EV/EBIT and EV/EBITDA are 16.5x and 9.0x for comparable public waste management companies, and are 13.8x and 7.4x for comparable public recycling companies. The median EV/EBITDA of comparable M&A transactions is 6.4x. • Consulting Services Companies – excluding IT: The median EV/EBIT and EV/EBITDA for comparable public companies are 13.9x and 11.2x, respectively. The median EV/EBITDA of comparable M&A transactions is 8.6x.

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Section II: BPO Companies Comparable Public Company Valuations The Knowledge Centre’s BPO comparable public company analysis involves 12 publicly traded BPO companies (IT and IT-enabled BPO not included) providing several different outsourced service offerings (Exhibits 1 and 2). The median EBIT and EBITDA margins are 8.5 % and 11.2%, respectively. The median EV/EBIT and EV/EBITDA are 13.2x and 12.1x, respectively. Exhibit 1 BPO Comparable Company Profit Trends (€ in millions) EBITDA / Sales

BPO Services Company Name

Country Last Year

Sales (Last)

%EBITDA (Last)

%EBIT (Last)

Market Enterprise cap. Value (Current) (Current)

LTM

2015

2014

EBIT / Sales

2013

2012

LTM

2015

2014

2013

2012

Akka Technologies

FR

31/12/15

1 002

8%

6%

632

na

7,9%

7,7%

8,0%

8,4%

9,0%

6,4%

6,1%

6,2%

6,6%

7,5%

Alten SA

FR

31/12/15

1 541

11%

10%

2 079

2 140

11,1%

10,5%

10,3%

10,2%

10,7%

10,5%

9,8%

9,7%

9,4%

10,1%

Altran Technologies S.A.

FR

31/12/15

1 945

10%

9%

2 338

2 557

10,2%

10,2%

10,3%

9,6%

9,5%

9,8%

9,3%

9,1%

8,5%

8,5%

Capita plc

UK

31/12/15

5 524

15%

10%

7 398

10 523

15,2%

15,0%

14,8%

14,5%

16,0%

10,2%

9,7%

9,6%

9,4%

11,0%

CCA International

FR

31/12/15

127

6%

4%

37

53

6,8%

6,2%

6,0%

5,6%

1,9%

4,8%

4,4%

3,9%

3,2%

-0,6%

Convergys Corporation

US

31/12/15

2 645

13%

7%

2 612

2 661

13,3%

12,9%

12,5%

11,6%

11,3%

7,8%

7,2%

6,6%

7,2%

6,9%

Datamatics Global Services Limited

IN

31/03/16

110

8%

6%

63

70

9,0%

8,3%

10,5%

12,7%

9,6%

6,6%

5,8%

8,0%

10,5%

7,4%

Fiserv, Inc.

US

31/12/15

4 710

31%

25%

21 184

25 031

31,1%

30,5%

29,7%

28,9%

29,1%

25,7%

25,0%

23,9%

22,7%

23,6%

StarTek, Inc.

US

31/12/15

253

2%

-3%

81

110

3,0%

1,6%

3,8%

3,5%

3,2%

-1,4%

-3,1%

-0,4%

-1,7%

-3,4%

Sykes Enterprises, Incorporated

US

31/12/15

1 153

12%

7%

1 105

1 103

11,3%

11,8%

10,4%

9,0%

9,5%

6,8%

7,3%

5,8%

4,4%

4,9%

Teleperformance SE

FR

31/12/15

3 398

13%

9%

5 334

5 674

13,6%

13,4%

12,7%

12,2%

11,7%

9,2%

9,1%

8,7%

8,4%

7,9%

WNS (Holdings) Ltd.

IN

31/03/16

504

18%

11%

1 370

1 238

17,2%

17,6%

19,1%

19,6%

16,7%

10,9%

11,0%

12,3%

12,0%

7,8%

12,5% 11,2%

12,1% 11,2%

12,3% 10,4%

12,2% 10,9%

11,5% 10,1%

8,9% 8,5%

8,5% 8,2%

8,6% 8,3%

8,4% 8,5%

7,6% 7,7%

Mean Median

Source: Capital IQ (30/09/2016)

Comparable Public Company Valuations (Con’t) Exhibit 2 BPO Public Company Valuation Trends (€ in millions) EV/Net Sales

BPO Services Company Name

Country Last Year

LTM

EV/EBITDA

2015 2014 2013 2012

LTM

EV/EBIT

2015 2014 2013 2012

LTM

PER

2015 2014 2013 2012

LTM

2015 2014 2013 2012

Akka Technologies

FR

31/12/15

na

0,7x

0,7x

0,5x

0,5x

na

8,9x

8,3x

6,2x

5,9x

na

11,2x

10,8x

7,9x

7,0x

18,8x

20,1x

20,4x

12,7x

8,5x

Alten SA

FR

31/12/15

1,3x

1,2x

1,0x

0,9x

0,8x

11,7x

11,0x

10,1x

9,2x

7,2x

12,4x

11,7x

10,8x

10,0x

7,7x

17,1x

16,8x

18,3x

16,4x

12,6x

Altran Technologies S.A.

FR

31/12/15

1,2x

1,2x

1,0x

0,9x

0,7x

12,1x

11,6x

9,4x

9,1x

7,0x

12,7x

12,7x

10,7x

10,2x

7,7x

20,4x

21,3x

20,2x

21,5x

12,2x

Capita plc

UK

31/12/15

1,9x

2,0x

2,2x

2,3x

2,1x

12,2x

13,1x

14,8x

15,9x

13,1x

18,2x

20,3x

22,8x

24,4x

19,0x

76,9x 130,0x 31,6x

40,2x

24,9x

CCA International

FR

31/12/15

0,3x

0,3x

0,2x

0,1x

0,1x

4,7x

5,6x

3,9x

2,4x

3,9x

6,6x

7,9x

6,0x

4,2x

na

17,1x

13,8x

8,5x

8,1x

na

Convergys Corporation

US

31/12/15

1,0x

0,9x

0,9x

0,8x

0,6x

7,6x

7,3x

6,9x

6,8x

5,5x

12,9x

13,0x

13,1x

10,9x

9,0x

16,2x

15,6x

19,2x

36,3x

17,8x

Datamatics Global Services Limited

IN

31/03/16

0,6x

0,5x

0,5x

0,5x

0,2x

7,0x

5,9x

4,6x

3,6x

2,2x

9,6x

8,4x

6,1x

4,4x

2,8x

9,0x

8,2x

8,5x

6,9x

5,4x

Fiserv, Inc.

US

31/12/15

5,1x

5,2x

4,5x

3,8x

3,5x

16,3x

17,1x

15,2x

13,1x

11,9x

19,8x

20,9x

18,8x

16,7x

14,7x

25,3x

32,9x

25,6x

22,7x

19,1x

StarTek, Inc.

US

31/12/15

0,4x

0,4x

0,5x

0,4x

0,5x

13,9x

23,9x

13,4x

12,1x

14,4x

na

na

na

na

na

na

na

na

na

na

Sykes Enterprises, Incorporated

US

31/12/15

0,9x

0,9x

0,7x

0,6x

0,5x

8,1x

7,2x

6,8x

6,6x

5,3x

13,5x

11,7x

12,2x

13,5x

10,2x

19,4x

18,4x

18,7x

23,4x

23,1x

Teleperformance SE

FR

31/12/15

1,7x

1,4x

1,5x

0,9x

0,7x

12,2x

10,2x

11,9x

7,7x

6,3x

18,0x

15,2x

17,3x

11,1x

9,3x

26,3x

21,5x

25,0x

18,3x

14,2x

WNS (Holdings) Ltd.

IN

31/03/16

2,4x

2,2x

2,5x

1,8x

2,0x

14,0x

12,7x

13,0x

9,3x

11,8x

22,1x

20,2x

20,1x

15,2x

25,1x

25,8x

23,4x

24,8x

23,8x

42,7x

1,5x 1,2x

1,4x 1,0x

1,3x 0,9x

1,1x 0,8x

1,0x 0,6x

10,9x 11,2x 12,1x 10,6x

9,9x 9,8x

8,5x 8,4x

7,9x 6,6x

14,6x 13,9x 13,5x 11,7x 11,3x 24,8x 29,3x 20,1x 20,9x 18,1x 13,2x 12,7x 12,2x 10,9x 9,1x 19,4x 20,1x 20,2x 21,5x 16,0x

Mean Median

Source: Capital IQ (30/09/2016)

13

Section II: BPO Companies Comparable M&A Transactions The median EV/EBIT and EV/EBITDA for the comparable BPO M&A transactions are 9.9x and 6.9x, respectively. Exhibit 3 BPO Comparable M&A Transactions (€ in millions except where mentioned in $) Date Dec-15

Target Company

Advantage Salary Packaging Pty Australia-based company, headquartered in Victoria, Ltd engaged in providing professional salary packaging administration service.

Country

Revenue

Smartgroup Corporation Ltd

Australia

10

Deal value Enterprise Value / (m€) Sales EBIT EBITDA 40

Ireland-based company headquartered in Ballinahown, Eurazeo SA which is a provider of multicurrency payment, credit card processing, and value added tax refund services.

FR

Nordea AB (Merchant acquiring business)

Denmark-based company that provides payments, Nets Holding A/S cards and information services, headquartered in Ballerup. USA-based company offering contact center solutions Eckoh Plc (AIM:ECK) and system integration services for customer contact and payment security applications.

DK

446

184

UK

14

5

Product Support Solutions Inc. Nov-15 Fulfillment Technologies, LLC

Singapore Post Enterprise Private Limited

Singapore

147

The Freeman Companies

US

40

Skilled Group Ltd

Australia-based staffing, maintenance and facility management service provider.

Programmed Maintenance Services Limited

Australia

Gemma Communications LP

Provides contact center services for clients in Canada and internationally.

DealNet Capital Corp. (TSXV:DLS)

Canada

CompuClearing Outsourcing Limited

South African-based provider of information technology Wisetech Global Limited products and services to the customs clearing, freight forwarding, air cargo, supply chain, and logistics related industries in South Africa.

Sitel Worldwide Corporation

USA provider of customer care outsourcing services.

Staging Connections Group Limited

Oct-15

Sep-15

Sep-15

Groupe Acticall SAS

4,0x

5,9x

585

USA-based provider of a suite of services in the areas of customer care, direct marketing, merchandise management, financial management and multichannel customer. Australia-based company engaged in providing event management services

Nov-15

Oct-15

Bidder Company

Fintrax Group Holdings, Ltd. Dec-15

Dec-15

Target Description

1 261

439

12,4x

11,1x

9,2x

7,4x

11,0x

9,1x

5,6x

4,4x

5

Australia

5

13

2,6x

FR

1 292

745

0,6x

Italy

412

142

Sep-15

Sep-15

Seat Pagine Gialle SpA (BIT:PG) Italy-based company which provides marketing services Italiaonline S.p.A. in Italy as well as voice services and call center services. BPO Management Sp. z o.o.

Poland-based company provides business process outsourcing services.

NorthStar First Health LLC

US-based company headquartered in Houston, Texas, Constellation Healthcare is a healthcare services organisation engaged in Technologies, Inc. providing outsourced revenue cycle management (RCM), practice management (PM) and group purchasing services to physicians.

US

7

10

Office & General Environmental Services Limited

India-based security and facilities management company Tenon Facility Management UK Limited

UK

46

8

SITEL Worldwide Corporation

France-based company engaged in the customer relation management

FR

Sep-15

Sep-15

Sep-15

Sep-15

Arteria Spólka Akcyjna (WSE:ARR)

Groupe Acticall S.A.

Poland

1

1,5x

6,1x

4,6x

753

14

Section II: BPO Companies Comparable M&A Transactions Exhibit 3 BPO Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Target Description

Contact Center sp. z o.o.

Polish provider customer service and sales services for Arteria Spólka Akcyjna langer and medium-sized entreprises in Poland. (WSE:ARR)

Poland

2

Capital Vision Services, LLC

US-based company engaged in providing management Caisse de Depot et services to optometry practitioners Placement du Quebec; Andell Inc. ; Altas Partners LP India-based company providing services to manage Fairfax India Holdings risks across various stages of commodity and inventory Corporation handling. UK-based company incorporated in Douglas, Isle of Paysafe Group Plc Man, is a provider of online money transfer services.

Canada

721

India

117

UK

1 111

USA-based company which provides offshore Capgemini North America, outsourcing solutions and services to large and medium- Inc. size organizations.

USA

1 048

4 186

4,0x

INDIA

7

17

2,6x

Aug-15

Aug-15

Aug-15

National Collateral Management Services Ltd. (74% Stake) Skrill Holdings Limited

Aug-15 iGATE Corporation Jul-15

Jul-15

Loylty Rewardz Management Pvt. India-based company engaged in the development and Indiaideas.com Limited Ltd. management of consumer loyalty, rewards, data intelligence, and direct marketing communication programs Columbus Data Services, LLC

US-based automatic teller machines processor, Cardtronics, Inc. providing ATM management services, network gateway access and debit card management services.

Novation Solutions Limited; DataPost (HK) Pte Limited

Singapore-based provider of data printing and mail processing services for businesses

Jing King Technology Holdings Ltd.

Imagitas, Inc.

US-based provider of integrated mail and document management systems, services and solutions

Red Ventures, LLC

Jul-15

May-15

Bidder Company

May-15 TRaC Global Limited May-15

Jun-15

May-15 Apr-15

UK-based company headquartered in Worcestershire, Element Materials that provides testing and certification services. Technology Holding Netherlands B.V. Paschoalotto Servicos Financeiros Brazil-based company providing collection and Gavea Investimentos Ltda. adjustment services on claims and other insurance related issues. MC2 Co.,Ltd. Japan-based company which offers telephone SD Entertainment Inc. marketing services (JASDAQ:4650) Payzone Ireland

Ireland-based consumer payments provider

H1 Communication AB

Sweden-based company which offers customer services in various industries, such as banking, ecommerce and consumer electronics. Provides telephone answering services.

Pharol, SGPS S.A. (ENXTLS:PHR)

Portugal-based company which provides telecommunication services in Brazil, Portugal, Africa and Asia.

Oi S.A. (BOVESPA:OIBR4)

Transcom WorldWide AB (publ) (OM:TWW)

Sweden-based company which provides customer experience services to clients in customer-intensive industries worldwide.

Altor Equity Partners

Apr-15

Apr-15

Mar-15

Carlyle Cardinal Ireland Fund, L.P. Panoster Investment AB

Country

Revenue

Deal value Enterprise Value / (m€) Sales EBIT EBITDA

Target Company

US

72

Hong Kong

16

US

106

277

2,6x

Netherlands UK

23

63

2,7x

Brazil

30

Japan

2

20,6x

17,6x

15,9x

8,2x

2,9x

Ireland

171

30

3,3x

3,8x

Sweden

10

3

8,1x

4,4x

Brazil

6 162

13 964

9,9x

4,5x

Sweden

617

45

8,5x

6,5x

2,3x

15

Section II: BPO Companies Comparable M&A Transactions Exhibit 3 BPO Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Target Description

Bidder Company

West At Home, LLC

USA-based company which provides outsourced call center solutions.

Alorica Inc.

USA

3

West Direct II, Inc.

USA-based company which operates call centers focusing on fitness equipment, personal development, electronics, house wares, collectibles, and sporting goods.

Alorica Inc.

USA

18

Physicians Practice Plus. Inc.

US-based company engaged in outsourced revenue Constellation Healthcare cycle management (RCM), practice management (PM) Technologies, Inc. and group purchasing services to physicians.

Mar-15

Mar-15

Mar-15

Mar-15

CMS Info Systems Private Limited India-based company providing cash management (57% Stake) services

9

19

2,1x

Hong Kong

405

231

0,6x

UK

SVS LLC (40% Stake)

US-based company that is engaged in sourcing medical Premier, Inc. and foodservice products

US

Radiant Cash Management Services Private Limited

India-based company engaged in providing cash Ascent Capital Pvt Ltd delivery, network cash management, ATM management services

India

17

Deposition Solutions

US-based company engaged in providing deposition and litigation support services for law firms and corporate legal departments

US

18

Shanghai Motion JUNS Communication Technology Company Limited

China-based company which provides call center Shanghai CM Concept services in Shanghai for a telecommunications operator. Communications Products Franchise Sale Company Limited USA-based company which provides cloud-based NewNet Communication contact center services and voice recognition Technologies, LLC applications

Feb-15

Volt Delta Resources, LLC Dec-14

Trinity Hunt Partners

China

44

1

USA

25

1

0,6x

1,0x

8

South African-based company which provides employment services, information technology skills development and outsourcing solutions primarly in South Africa.

Paracon Holdings Ltd.

South Africa

104

19

Aaa Auto Group N.V.

Czech Republic-based company which is engaged in the purchase and sale of used cars and in addition in call centre operations in the automotive field.

Abris Capital Partners

Poland

379

245

0,6x

PAXYS Inc (PSE:PAX)

Philippines-based company which provides call center and data conversion services in the Philippines and internationally.

Paxys N.V.

Netherlands Antilles

3

19

7,1x

Oct-14

9,1x

210

Kelly Group Limited Nov-14

Sep-14

UK

Switzerland-based company which provides customer Capita plc (LSE:CPI) contact management services in Germany, Switzerland and Austria.

Feb-15

Dec-14

Revenue

avocis AG Feb-15

Feb-15

Baring Private Equity Asia

Country

Deal value Enterprise Value / (m€) Sales EBIT EBITDA

Target Company

11,1x

8,9x

7,2x

6,7x

16

Section II: BPO Companies Comparable M&A Transactions Exhibit 3 BPO Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Sep-14

Target Company

Contact Centres Australia Pty Ltd Australia-based company which provides a range of inbound and outbound call center solutions

Australia

10

Argentina-based company which provides transaction and information processing services for financial institutions.

Visa Argentina SA

Argentina

Beijing Jet-Tech Zhicheng Technology Co.,Ltd.

China-based company which provides third party professional testing for Chinese commercial banks. It also offers financial system development and testing services. USA-based company which provides payment and transaction processing solutions.

Jiangsu Hoperun Software Co.,Ltd. (SZSE:300339)

MNS Holdings LLC

USA-based company which offers design, implementation, and managed services of retail and distributed enterprise network.

G. Fleischhauer Ingenieur-Büro GmbH & Co. KG

Germany-based company which provides services and SPIE GmbH technical solutions in information and security technology.

ICON Communication Centres s.r.o.

Czech Republic-based company which operates as a Utilitywise Plc (AIM:UTW) contact center outsourcing company in Czech Republic and internationally.

Speech Modules, Ltd.

Israel-based company which provides speech-to-text services for telecommunications operators, medical applications, call centers, and homeland security applications primarily in Israel.

The Portal Group, Inc.

USA-based company which provides customized technology, development, and personnel solutions for organizations.

Stream Global Services, Inc.

USA-based company which provides business process Convergys Corporation outsourcing services. (NYSE:CVG)

SQS India BFSI Limited (NSEI:533121)

India-based company which offers software validation and verification services to the banking and financial services industry in India and internationally.

Jun-14

Mar-14

Mar-14

Mar-14

Feb-14

Telekomunikasi Indonesia International Australia Pty Ltd.

Banelco S.A.

Jul-14

Mar-14

Revenue

Australia

Meritus Payment Solutions, Inc.

Apr-14

Country

Australia-based company which offers consulting and HUB24 Limited (ASX:HUB) support services to small-sized businesses and licensed representatives.

Aug-14

Jun-14

Bidder Company

Paragem Pty. Ltd. Sep-14

Aug-14

Target Description

RM Arsiv Yonetim Hizmetleri A.S. Turkey-based company which provides records management services to organizations.

Deal value Enterprise Value / (m€) Sales EBIT EBITDA 8

1

43

1

China

84

Optimal Payments Plc (AIM:OPAY)

UK

154

Tolt Solutions, Inc.

USA

21

Germany

44

24

UK

3

Speech Modules Holdings Ltd (TASE:SPCH)

Israel

1

Beyondsoft Consulting, Inc.

USA

17

SQS Software Quality Systems AG (AIM:SQS)

Iron Mountain Inc. (NYSE:IRM)

USA

742

Germany

24

USA

0,7x

601

16,3x

10,7x

0,5x

7,4x

15,2x

0,8x

22,0x

7,2x

6,5x

5,8x

15

17

Section II: BPO Companies Comparable M&A Transactions Exhibit 3 BPO Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Target Company

Target Description

Bidder Company

Country

SC STAR STORAGE SRL

Romania-based company which provides storage, archiving, and information management (data and documents) solutions in Romania.

Axxess Capital

Romania

OnPoint Consulting, Inc.

USA-based company which provides technology and management consulting services to its clients in the United States.

Sapient Government Services, Inc.

Tape Management Services Pty Ltd.

Australia-based company which offers offsite data storage and data protection services.

Iron Mountain Australia Pty. Ltd.

MicroSourcing International Inc.

Philippines-based company which provides offshoring Salmat Limited (ASX:SLM) and outsourcing solutions to small businesses, mid-sized businesses, and large corporations in the Philippines and internationally.

SJI Inc., West Japan Group Business

Japan-based company which comprises systems development business in the Chubu, Kansai, and Kyushu divisions.

NCXX Solutions Co., Ltd.

Xchanging Italy S.p.A.

Italy-based company which provides business processing including, insurance services, technology, and procurement services.

Xchanging PLC (LSE:XCH)

Black Knight InfoServ, LLC

Atento Ceska Republika a.s.

Feb-14

Feb-14

Jan-14

Jan-14

Jan-14

Jan-14

Jan-14

Dec-13

Revenue 9

Deal value Enterprise Value / (m€) Sales EBIT EBITDA 5

USA

9

Australia

11

Australia

11

6

Japan

4

UK

5

USA-based company which provides integrated ServiceLink, L.P. technology, data, and services to the mortgage lending industry in the United States.

USA

2 961

Czech Republic-based company engaged in outsourcing services and Customer Relationship Management

Spain

9

Sl Spain Holdco Atento

Average Median

Source: Capital IQ, Merger Market

0,5x

0,5x

1,9x 1,2x

13,7x

11,7x

10,8x 9,9x

8,1x 6,9x

18

Section III: Facilities Management Companies Comparable Public Company Valuations The Knowledge Centre’s facilities management comparable public company analysis involves 20 publicly traded Facilities Management and 4 Real Estate Services companies (Exhibits 4 and 5). The median EBIT and EBITDA margins for Facilities Management industry are 4.8% and 6.3%, respectively. The median EV/EBIT and EV/EBITDA for Facilities Management industry are 16.9x and 9.8x respectively. The median EBIT and EBITDA margins for the Real Estate Services industry are 8.1% and 10.4%, respectively. The median EV/EBIT and EV/EBITDA for the Real Estate industry are 15.4x and 12.7x, respectively. Exhibit 4 Facilities Management & Real Estate Services Comparable Company Profit Trends (€ in millions) EBITDA / Sales

Facilities Management Company Name

Country Last Year

Sales (Last)

%EBITDA (Last)

%EBIT (Last)

Market Enterprise cap. Value (Current) (Current)

EBIT / Sales

LTM

2015

2014

2013

2012

LTM

2015

2014

2013

2012

ABM Industries Incorporated

US

31/10/15

4 370

3%

2%

1 972

2 127

3,3%

3,0%

3,8%

3,7%

3,4%

2,2%

1,9%

2,5%

2,4%

2,2%

Aramark

US

02/10/15

12 785

8%

5%

6 051

11 026

8,5%

8,0%

7,4%

7,6%

8,2%

5,0%

4,5%

3,9%

3,7%

4,3%

Balfour Beatty plc

UK

31/12/15

7 917

-3%

-4%

2 185

2 800

-1,3%

-3,1%

-2,8%

-0,7%

2,1%

-1,9%

-3,8%

-3,5%

-1,4%

1,1%

Compass Group PLC

UK

30/09/15

20 024

9%

7%

27 576

31 171

9,1%

9,1%

8,9%

8,7%

8,5%

7,1%

7,1%

7,0%

6,9%

6,7%

Derichebourg

FR

30/09/15

2 356

5%

2%

445

723

5,1%

5,2%

4,5%

4,7%

4,8%

1,7%

2,2%

1,6%

1,0%

2,1%

EMCOR Group Inc.

US

31/12/15

5 995

5%

4%

3 220

3 298

5,4%

5,4%

5,5%

4,8%

5,1%

4,3%

4,3%

4,4%

3,8%

4,1%

FirstService Corporation

CA

31/12/15

856

8%

6%

1 552

2 278

8,2%

8,0%

6,5%

7,4%

6,2%

6,0%

5,7%

4,1%

4,7%

3,7%

ISS A/S

DE

31/12/15

10 694

6%

5%

6 724

8 491

6,3%

6,3%

6,2%

5,5%

6,3%

4,8%

4,8%

4,7%

4,0%

4,6%

Impel S.A.

PD

31/12/15

421

5%

2%

69

136

4,2%

4,9%

5,4%

5,0%

5,2%

1,6%

2,2%

2,5%

2,3%

2,6%

Interserve plc

UK

31/12/15

3 648

4%

2%

672

1 063

4,2%

4,5%

4,7%

4,6%

4,0%

2,3%

2,4%

2,6%

2,7%

2,3%

ISS A/S

DE

31/12/15

na

6%

5%

0

3 062

6,3%

6,3%

6,2%

5,5%

6,3%

4,8%

4,8%

4,7%

4,0%

4,6%

Mears Group plc

UK

31/12/15

1 003

5%

3%

528

545

4,8%

5,0%

5,9%

5,6%

6,1%

2,9%

3,2%

3,9%

3,7%

4,1%

MITIE Group PLC

UK

31/03/16

2 541

6%

5%

967

1 193

6,4%

6,4%

6,8%

9,9%

4,6%

5,3%

5,3%

5,5%

8,7%

3,2%

Nippon Kanzai Co., Ltd.

JN

31/03/16

777

7%

6%

454

334

6,6%

6,6%

7,0%

7,0%

6,2%

5,8%

5,8%

6,2%

6,0%

5,3%

Rentokil Initial plc

UK

31/12/15

2 002

23%

12%

4 548

5 838

23,0%

23,1%

23,6%

24,9%

20,5%

12,2%

12,3%

12,4%

13,1%

11,0%

Renaissance Services SAOG

na

31/12/15

549

34%

21%

155

1 001

35,9%

34,4%

36,9%

31,5%

32,5%

21,2%

20,8%

25,3%

20,2%

20,9%

Rollins Inc.

US

31/12/15

1 325

19%

16%

5 639

5 527

19,4%

19,2%

18,6%

17,2%

17,0%

16,4%

16,2%

15,5%

14,3%

13,9%

Sodexo S.A.

FR

31/08/15

19 815

7%

6%

16 012

17 826

7,1%

7,1%

6,4%

5,8%

7,0%

5,5%

5,7%

5,0%

4,4%

5,2%

Synergis Holdings Ltd.

HK

31/12/15

281

3%

3%

33

55

3,2%

3,4%

3,7%

3,9%

3,4%

2,8%

2,8%

2,9%

2,9%

2,6%

UGL Limited

AU

30/06/16

1 319

-7%

-8%

725

1 183

-7,1%

-7,1%

-11,3%

3,3%

2,9%

-7,8%

-7,8%

-12,2%

1,0%

0,1%

6,7% 6,3%

6,6% 6,3%

6,6% 6,2%

6,9% 5,5%

6,5% 6,2%

4,3% 4,8%

4,2% 4,7%

4,2% 4,3%

4,4% 3,9%

4,1% 4,1%

Mean Median

Source: Capital IQ (30/09/2016)

EBITDA / Sales

Real Estate Company Name

Country Last Year

Sales (Last)

%EBITDA (Last)

%EBIT (Last)

Market Enterprise cap. Value (Current) (Current)

EBIT / Sales

LTM

2015

2014

2013

2012

2011

LTM

2015

2014

2013

2012

CBRE Group, Inc.

US

31/12/15

9 686

10%

8%

8 396

11 440

9,0%

10,5%

11,2%

12,4%

12,9%

9,7%

6,2%

7,6%

8,2%

9,8%

10,3%

Colliers International Group Inc.

CA

31/12/15

1 166

10%

8%

1 464

2 387

10,4%

10,2%

7,9%

6,5%

7,1%

6,0%

8,1%

7,9%

5,6%

4,0%

4,6%

Jones Lang LaSalle Incorporated

US

31/12/15

5 323

11%

9%

4 647

5 748

10,9%

11,3%

11,1%

10,5%

10,5%

10,9%

9,0%

9,5%

9,4%

8,7%

8,5%

Morguard Corp.

CA

31/12/15

588

51%

50%

1 457

4 670

55,2%

50,6%

57,7%

70,7%

72,3%

70,8%

54,1%

49,7%

56,7%

69,8%

71,8%

19,2% 10,4%

18,5% 10,5%

19,2% 11,1%

21,3% 10,5%

22,0% 10,5%

20,7% 9,7%

17,1% 8,1%

16,5% 7,9%

17,1% 8,2%

19,2% 8,7%

19,9% 8,5%

Mean Median

Source: Capital IQ (30/09/2016)

19

Section III: Facilities Management Companies Comparable Public Company Valuations Exhibit 5 Facilities Management & Real Estate Services Public Company Valuation Trends (€ in millions) EV/Net Sales

Facilities Management Company Name

Country Last Year

EV/EBITDA

LTM

2015

2014

2013

2012

LTM

2015

2014

2013

EV/EBIT

PER

2012

LTM

2015

2014

2013

2012

LTM

2015

2014

2013

2012 19,4x

ABM Industries Incorporated

US

31/10/15

0,5x

0,4x

0,4x

0,4x

0,3x

14,1x

12,4x

11,2x

10,8x

9,4x

21,4x

20,2x

16,6x

16,9x

14,3x

25,0x

22,7x

22,2x

20,5x

Aramark

US

02/10/15

0,9x

0,9x

0,9x

0,4x

0,4x

10,2x

11,3x

11,6x

5,5x

5,2x

17,3x

20,1x

22,1x

11,2x

9,9x

26,3x

32,8x

49,3x

0,0x

0,0x

Balfour Beatty plc

UK

31/12/15

0,4x

0,3x

0,3x

0,4x

0,3x

na

na

na

na

12,2x

na

na

na

na

24,2x

na

na

na

na

46,8x

Compass Group PLC

UK

30/09/15

1,5x

1,2x

1,2x

1,1x

0,9x

16,5x

13,6x

14,0x

12,2x

10,4x

21,1x

17,4x

17,8x

15,3x

13,1x

26,7x

21,8x

21,4x

40,3x

22,9x

Derichebourg

FR

30/09/15

0,3x

0,3x

0,3x

0,4x

0,4x

5,9x

6,8x

8,5x

9,0x

19,0x

14,2x

19,0x

41,5x

20,1x

28,6x

16,8x

na

na

12,2x

EMCOR Group Inc.

US

31/12/15

0,5x

0,4x

0,5x

0,5x

0,4x

9,3x

8,2x

8,4x

9,9x

7,2x

11,7x

10,3x

10,6x

12,8x

8,9x

19,2x

17,6x

17,8x

24,8x

17,6x

FirstService Corporation

CA

31/12/15

2,4x

2,3x

0,2x

n.d.

na

29,5x

28,3x

2,4x

na

na

40,8x

39,7x

3,7x

na

na

80,9x

94,3x

0,0x

0,0x

0,0x

ISS A/S

DE

31/12/15

0,8x

0,7x

0,7x

0,3x

0,3x

12,6x

11,6x

11,9x

5,3x

5,2x

16,4x

15,3x

16,0x

7,2x

7,1x

21,4x

21,3x

42,0x

na

na

Impel S.A.

PD

31/12/15

0,3x

0,3x

0,4x

0,4x

0,5x

7,3x

6,6x

7,4x

8,1x

9,0x

18,9x

14,9x

16,1x

17,9x

17,8x

11,4x

14,3x

13,4x

23,4x

16,5x

Interserve plc

16,4x

13,6x

6,5x

UK

31/12/15

0,3x

0,3x

0,4x

0,4x

0,3x

6,8x

7,0x

8,5x

9,7x

7,8x

12,5x

12,9x

15,2x

195,4x

9,0x

18,4x

17,6x

ISS A/S

DE

31/12/15

0,3x

0,7x

0,7x

0,3x

0,3x

4,5x

11,6x

11,9x

5,3x

5,2x

5,9x

15,3x

16,0x

7,2x

7,1x

0,0x

21,3x

42,0x

na

na

Mears Group plc

UK

31/12/15

0,5x

0,5x

0,5x

0,6x

0,5x

11,0x

9,6x

8,7x

10,8x

8,5x

18,1x

14,9x

13,1x

16,4x

12,7x

40,0x

33,1x

17,1x

na

17,5x

MITIE Group PLC

9,2x

11,0x

7,0x

UK

31/03/16

0,5x

0,5x

0,6x

0,6x

0,6x

7,5x

8,9x

6,2x

12,1x

17,6x

11,2x

11,6x

33,7x

24,0x

23,2x

Nippon Kanzai Co., Ltd.

JN

31/03/16

0,4x

0,5x

0,4x

0,4x

0,2x

6,6x

7,2x

6,1x

6,0x

3,9x

7,5x

8,1x

7,0x

6,9x

4,5x

15,2x

14,3x

12,2x

13,1x

10,4x

Rentokil Initial plc

UK

31/12/15

2,7x

2,4x

1,9x

1,8x

1,2x

11,8x

10,4x

7,9x

7,2x

6,0x

22,3x

19,5x

15,1x

13,7x

11,2x

30,0x

26,0x

9,5x

58,1x

36,8x

Renaissance Services SAOG

na

31/12/15

1,9x

1,8x

2,1x

2,3x

2,2x

5,3x

5,1x

5,7x

7,3x

6,9x

8,9x

8,5x

8,3x

11,5x

10,7x

na

na

5,8x

16,1x

na

Rollins Inc.

US

31/12/15

4,1x

3,9x

3,8x

3,2x

2,6x

20,9x

20,2x

20,4x

18,7x

15,5x

24,8x

23,9x

24,5x

22,5x

18,8x

40,4x

38,7x

39,5x

35,6x

30,7x

Sodexo S.A.

FR

31/08/15

0,9x

0,8x

0,7x

0,7x

0,6x

12,3x

10,9x

11,4x

11,2x

8,4x

15,7x

13,5x

14,5x

14,9x

11,4x

22,4x

20,0x

24,8x

24,9x

18,4x

Synergis Holdings Ltd.

HK

31/12/15

UGL Limited

AU

30/06/16

0,1x 0,9x

0,2x 0,2x

0,4x 0,2x

0,3x 0,9x

0,5x 1,0x

4,3x na

7,2x na

11,7x na

7,5x 26,4x

13,1x 34,5x

4,9x na

8,5x na

14,8x na

9,8x 83,3x

17,4x 674,1x

5,2x na

8,2x na

15,4x na

8,7x 16,1x

16,7x 35,9x

1,0x 0,5x

0,9x 0,5x

0,8x 0,5x

0,8x 0,4x

0,7x 0,5x

10,9x 9,8x

10,8x 10,0x

9,7x 8,8x

9,8x 8,3x

10,0x 8,5x

16,5x 16,9x

15,9x 14,9x

14,5x 15,1x

18,5x 14,3x

48,1x 13,1x

35,3x 25,0x

24,9x 21,3x

22,6x 18,4x

21,5x 20,5x

19,3x 17,6x

Mean Median

7,4x

8,9x

3,6x

Source: Capital IQ (30/09/2016)

EV/Net Sales

Real Estate

EV/EBITDA

EV/EBIT

PER

Company Name

LTM

2015

2014

2013

2012

LTM

2015

2014

2013

2012

LTM

2015

2014

2013

2012

LTM

2015

2014

2013

CBRE Group, Inc.

1,0x

1,2x

1,7x

1,5x

1,7x

11,5x

11,4x

15,2x

12,4x

13,1x

16,7x

15,8x

20,6x

15,7x

16,5x

17,7x

17,7x

25,8x

27,3x

24,6x

Colliers International Group Inc.

1,9x

1,8x

3,1x

2,4x

0,9x

18,3x

18,2x

39,1x

37,1x

12,7x

23,5x

23,3x

54,9x

60,3x

19,8x

38,2x

83,1x

69,0x

na

174,7x

Jones Lang LaSalle Incorporated

1,0x

1,1x

1,5x

1,3x

1,2x

9,4x

9,8x

13,6x

12,7x

11,5x

11,4x

11,7x

16,1x

15,3x

14,2x

12,7x

12,2x

19,4x

19,6x

20,3x

Morguard Corp.

7,7x

7,5x

11,5x

8,4x

8,4x

13,9x

14,8x

19,9x

11,8x

11,7x

14,2x

15,1x

20,3x

12,0x

11,7x

17,4x

22,1x

13,9x

5,8x

3,8x

2,9x 1,5x

2,9x 1,5x

4,4x 2,4x

3,4x 2,0x

3,1x 1,5x

13,3x 12,7x

13,6x 13,1x

22,0x 17,5x

18,5x 12,5x

12,3x 12,2x

16,4x 15,4x

16,5x 15,4x

28,0x 20,4x

25,8x 15,5x

15,6x 15,3x

21,5x 17,5x

33,8x 19,9x

32,0x 22,6x

17,6x 19,6x

55,9x 22,5x

Mean Median

2012

Source: Capital IQ (30/09/2016)

20

Section III: Facilities Management Companies Comparable M&A Transactions The median EV/EBIT and EV/EBITDA for the comparable Facilities Management M&A transactions are 10.6x and 9.8x, respectively. Exhibit 6 Facilities Management Comparable M&A Transactions (€ in millions except where mentioned in $) Date

Deal value (m€)

Entreprise value/ Sales EBIT EBITDA

Target Company

Target Description

Mar-16

NWP Services Corporation

US-based company headquartered in Irvine, California, RealPage, Inc. is a provider of utility management, resident and property operation services to the multifamily industry.

US

Feb-16

Zip Textiles (Services) Limited

UK-based provider of laundry services for hotel and leisure sectors,

Johnson Service Group Plc

UK

20

Jan-16

CBM Qatar LLC

Qatar-based company which provides integrated facilities management services for private and public sector customers in Qatar.

CBM International Pte Ltd.

Singapore

2

Jan-16

Availon GmbH

Danemark-based company which maintains, and optimizes wind turbine systems and generators worldwide.

Vestas Wind Systems A/S

Denmark

512

Dec-15

Spectrum Technologies, Inc.

USA-based company which provides commercial Transcat Inc. instrument calibration and test equipment repair services for measurement and test equipment.

USA

Nov-15

RSY S.A.

Poland-based company which provides repair services Zastal Spolka Akcyjna for vehicles and machinery in Poland.

Nov-15

Furmanite Corporation

USA-based company which provides specialized technical maintenance services.

Nov-15

Ashbon Services Limited

UK-based specialist linen hire and laundry business

Oct-15

Ankateks Turizm Insaat Tekstil Temizleme San. Ve Tic. Ltd

Turkey-based company engaged in providing laundry Servizi Italia S.p.A. and sanitization services to hospitals

Oct-15

PONUTech Co., Ltd.

South Korea-based company which provides nuclear power plant integrated maintenance and control services.

Sukwon Industrial Co., Ltd.

Oct-15

Worldwide Flight Services, Inc.

France-based company that provides cargo, ground and technical services at airports.

Platinum Equity LLC

US

640

300

Sep-15

Sure Maintenance Group Limited UK-based company which provides gas, mechanical, electrical, maintenance services to residential and commercial markets in the United Kingdom.

Lakehouse plc

UK

277

106

Aug-15

Office & General Environmental Services Limited

UK-based company which operates as a facilities management company in the United Kingdom.

Tenon Facility Management UK Limited

UK

405

63

Jul-15

Purdy Contracts Limited

UK-based company which provides heating, electrical, Bilby Plc and mechanical repair and maintenance services in the United Kingdom.

UK

169

98

0,6x

Jul-15

Orchard Energy Ltd.

UK-based company which provides energy management services.

UK

7

14

2,0x

Bidder Company

Country

Revenue 53

61

1,1x

11,3x

751

1,5x

16,9x

45

91

2,0x

Poland

13

44

3,8x

Team, Inc.

USA

4 018

2 788

0,6x

Johnson Service Group Plc

UK

Lakehouse plc

IT

14,8x

9,2x

9

14

South Korea

6

100

4,1x

21

Section III: Facilities Management Companies Comparable M&A Transactions Exhibit 6 Facilities Management Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Bidder Company

Revenue

Entreprise value/ Sales EBIT EBITDA

Target Company

Target Description

Jul-15

Choquette CKS, Inc.

Canada-based company that provides repair and Heritage Foodservice maintenance services for commercial kitchen equipment Group, Inc. in Canada.

USA

109

Dec-14

Next Phase Solar, Inc.

USA-based company which provides enterprise solar Enphase Energy, Inc. operations and maintenance services, as well as asset management services to owners.

USA

19

Dec-14

UE Managed Solutions Pte Ltd. (nka:UEMS Pte Ltd.)

Singapore-based integrated facilities management company, provides facilities and environmental management services aiding hospitals in Singapore

Dymon Group; Dymon Asia Private Equity

Singapore

72

Dec-14

CKTiS Spólka Akcyjna

Poland-based company which provides equipment maintenance, technical supervision, and engineering services for power, oil and gas.

Termo-Rex Spólka Akcyjna

Poland

5

Nov-14

WBD Holdings Ltd.

Canada-based company which operates as an industrial and maintenance construction company.

Mosaic Capital L.P.

Canada

322

165

0,6x

Sep-14

Derek Gladwin Ltd

UK-based company which provides car body repair services in East Anglia.

UK

170

120

0,7x

Aug-14

Z-Power Automation Pte. Ltd.

Singapore-based company which is an assembler, manufacturer and repairer of switchboards and switchgears for vessels.

Nationwide Accident Repair Services Plc (nka:Nationwide Accident Repair Services Limited) XMH Holdings Ltd.

Singapore

128

76

May-14

Ansaldo Energia S.p.A.

China-based company which supplies, installs, and provides services for power generation plants and components to governments, public utilities

Shanghai Electric Group Company Limited

China

13 101

4 299

1,1x

11,9x

May-14

Vindea Oy

Finland-based company which provides logistics and industrial packing solutions primarily in Finland.

Suomen Transval Oy

Finland

30

17

0,6x

12,0x

Apr-14

Global Facilities Management Sdn Malaysia-based company which provides facilities Bhd management services to asset owners.

GFM Services Berhad

Malaysia

12

10

0,8x

Apr-14

Maine Industrial Repair

USA-based company which provides electric motor and Timken Co. (NYSE:TKR) controls and generator repairing services.

United States

9

0,7x

Apr-14

National Bulk Handling Corporation Ltd.

India-based company which operates as an integrated India Value Fund Advisors commodity and collateral management company in Private Ltd India.

India

28

1,5x

Apr-14

HSIL Properties (Self Storage) UK UK-based company which provides personal and Limited business self storage services.

Mar-14

Canterm Canadian Terminals, Inc. Canada-based company which operates public storage Vopak Canada terminals of chemical, agriculture, liquid, dry, and bulk products.

Big Yellow Group plc (LSE:BYG)

Country

Deal value (m€)

Date

55

United Kingdom

24

Canada

72

13,6x

5,2x

10,0x

6,0x

22

Section III: Facilities Management Companies Comparable M&A Transactions Exhibit 6 Facilities Management Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Country

Revenue

Entreprise value/ Sales EBIT EBITDA

Target Description

Mar-14

Weyburn Inland Terminal Ltd

Canada-based company which offers grain handling Parrish and Heimbecker, and marketing services, including sourcing, cleaning, Limited blending, processing, selling, and shipping grain to endusers.

Canada

79

0,5x

Dec-13

SeaCo SRL

Barbados-based company which operates as a marine Bohai Leasing Co., Ltd. container leasing company. (SZSE:000415)

China

978

2,7x

Oct-13

Mac-Gray Corporation

US-based laundry facilities management contractor

CSC ServiceWorks, Inc

USA

Sep-13

Tarvia Mantenimiento Ferroviario Spain-based provider of train repair and maintenance SA services

Patentes Talgo, S.A.

Spain

Aug-13

Balfour Beatty WorkPlace Ltd

UK-based provider of facilities management services to GDF Suez SA private and public sectors

Aug-13

SGP Property & Facilities Management Ltd.

UK-based company engaged in providing property and Bell Rock Bidco Limited facilities management support services

Aug-13

Servisair UK Limited

UK-based provider of aviation ground services

Swissport International Ltd.

May-13

Avio S.p.A. (Pratt & Whitney Canada’s PW100 engine maintenance business) Initial Hospital Services

Italy-based PW100 engine maintenance repair and overhaul activities business of Avio S.p.A.

Industria de Turbo Propulsores, S.A.

Belgium-based provider of laundry services in the healthcare sector

CleanLeaseFortex BV

Apr-13

Bidder Company

Deal value (m€)

Target Company

244

47

1,5x

24,5x

16

France

594

221

0,4x

UK

64

35

0,6x

Switzerland

688

450

0,7x

Spain

6

Netherlands

11

Mar-13

ISS A/S (Pest Control operations Denmark based pest control division, with operations in Anticimex AB in 12 countries) Australia, Austria, Belgium, Denmark, Germany, Italy, the Netherlands, New Zealand, Norway, Portugal, Spain, and Switzerland

Mar-13

MISCOR Group Ltd

Feb-13

Enterprise Group Holdings Limited UK-based provider of infrastructure maintenance services for the public and utility sectors, and other organisations

Ferrovial S.A.

Spain

Feb-13

PIMS Group Limited

UK-based provider of maintenance services for water and wastewater systems

Xylem Inc

USA

Nov-12

Autoclenz Limited; Autoclenz Services Limited

UK-based company engaged in car valeting and vehicle preparation services

Autoclenz Limited (MBO Vehicle)

UK

Nov-12

Morrison Facilities Services Limited

UK-based company engaged in repairing and maintaining social housing

Mears Group Plc

UK

349

12

Nov-12

SE Zheldorremmash (75% Stake) Russia-based provider of repair and maintenance services for railways

LCC TMH-Service

Russia

755

195

US-based company providing maintenance and repair Integrated Electrical services to the electric motor industry Services, Inc.

14,9x

Sweden

373

268

0,7x

USA

38

18

0,5x

9,0x

10,7x

7,8x

5,0x

445

29

42

1,5x

5

0,3x

23

Section III: Facilities Management Companies Comparable M&A Transactions Exhibit 6 Facilities Management Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Target Company

Target Description

Bidder Company

Oct-12

JBT Ascenseurs

France-based company engaged in maintenance and installation of elevators

Fain Ascensores S.A.

Oct-12

LH Group

Aug-12

Country

Revenue

Deal value (m€)

Entreprise value/ Sales EBIT EBITDA

Spain

12

10

0,8x

UK-based company engaged in providing maintenance Wabtec Corporation and overhaul services for the passenger transit market

USA

49

40

0,8x

PLH Aviation; Dryden Air Services

Canada based aircraft ground handling company and Aircraft Service International services provider delivering fuel farm management, into- Group plane refuelling, ground handling and de-icing services

USA

Aug-12

Rollright Facilities Limited

UK-based company engaged in the provision of facilities HSG Zander GmbH management services

Germany

12

7

0,6x

Aug-12

ISS A/S (26% Stake)

Denmark based facility services company engaged in Kirkbi A/S; Ontario Teachers' cleaning, support, property, catering, security and facility Pension Plan management services

Denmark Canada

10 447

500

Aug-12

Modus FM Ltd.

UK based provider of a range of business support services

Rentokil Initial Plc

UK

23

Jul-12

VT Services Inc.

US based technical support services company, provides base operations and facilities management services for military bases

VT Holdings Inc

USA

250

May-12

Radiant Hospitality Services Pvt Ltd

India based company provides housekeeping and cleaning services

OCS Group Limited

UK

May-12

Cannon Textile Care

UK based operator of textile rental business

Johnsons Apparelmaster Limited

UK

Apr-12

Absotherm Facility Management (P) Ltd. (51% Stake)

India based company engaged in provision of facility management and project management consultancy services

OCS Group Limited

UK

Mar-12

Clece, S.A. (23.5% Stake)

Spain based company engaged in provision of cleaning Mercapital, S.L. services, partial strategic services, energy services, logistics services, maintenance services, social and airport services

Spain

9,8x

0,6x

10,6x

8,8x

5

0,2x

12,5x

12,5x

77

0,3x

5,1x

0,4x

30,5x

0,6x

9,7x

8,6x

1,0x 0,7x

10,9x 10,6x

10,4x 9,8x

22

4

19

7

19

914

Average Median

Source: Capital IQ, Merger Market

13,4x

80

24

Section IV: Security Services Companies Comparable Public Company Valuations The Knowledge Centre’s security services comparable public company analysis involves 11 publicly traded security services companies (Exhibits 7 and 8). The median EBIT and EBITDA margins are 5.2% and 7.7%, respectively. The median EV/EBIT and EV/EBITDA are 16.1x and 9.1x, respectively. Exhibit 7 Security Services Comparable Company Profit Trends (€ in millions) EBITDA / Sales

Security Services Sales (Last)

Company Name

%EBITDA (Last)

%EBIT (Last)

Market Enterprise cap. Value (Current) (Current)

LTM

EBIT / Sales

2016

2015

2014

2013

2012

LTM

2016

2015

2014

2013

2012

Central Security Patrols Co., Ltd.

400

6%

2%

232

194

6,5%

5,6%

6,1%

6,2%

5,8%

5,8%

2,8%

2,0%

2,5%

2,6%

2,3%

2,2%

Command Security Corp.

119

-2%

-2%

25

32

-1,7%

-1,7%

1,8%

2,1%

2,8%

1,3%

-2,1%

-2,1%

1,4%

1,7%

2,4%

0,7%

7 813

8%

5%

4 104

6 342

7,7%

7,5%

7,4%

7,5%

8,0%

9,3%

5,2%

5,0%

4,5%

4,5%

4,9%

6,1%

Impel S.A.

421

5%

2%

69

136

4,2%

4,9%

5,4%

5,0%

5,2%

6,6%

1,6%

2,2%

2,5%

2,3%

2,6%

4,1%

Loomis AB

1 670

17%

10%

1 940

2 449

17,3%

17,2%

16,6%

16,3%

15,3%

14,3%

10,4%

10,2%

9,8%

9,4%

8,7%

8,1%

MITIE Group PLC

2 541

6%

5%

967

1 193

6,4%

6,4%

6,8%

9,9%

4,6%

6,5%

5,3%

5,3%

5,5%

8,7%

3,2%

5,1%

Prosegur Compañía de Seguridad, S.A. 3 959

11%

8%

3 508

4 213

11,3%

11,3%

11,1%

11,1%

12,3%

13,0%

8,6%

8,5%

8,2%

8,2%

9,4%

10,2%

SECOM CO.,LTD.

7 598

20%

15%

14 530

13 500

20,1%

20,5%

20,5%

20,5%

19,8%

17,9%

14,2%

14,5%

14,7%

14,6%

14,1%

11,9%

Securitas AB

8 391

6%

5%

5 546

7 124

6,4%

6,2%

6,3%

6,4%

5,9%

6,4%

4,8%

4,7%

4,6%

4,6%

4,1%

4,8%

Sohgo Security Services Co. Ltd.

3 293

11%

8%

4 477

4 361

11,0%

11,1%

9,6%

8,7%

7,7%

7,9%

7,5%

7,6%

6,3%

5,8%

3,7%

3,5%

The Brink's Company

2 732

8%

4%

1 578

1 934

7,7%

8,1%

5,5%

8,6%

8,1%

9,0%

4,0%

4,2%

1,6%

4,7%

4,3%

5,3%

8,8% 7,7%

8,8% 7,5%

8,8% 6,8%

9,3% 8,6%

8,7% 7,7%

8,9% 7,9%

5,7% 5,2%

5,6% 5,0%

5,6% 4,6%

6,1% 4,7%

5,4% 4,1%

5,6% 5,1%

G4S plc

Mean Median

Source: Capital IQ (30/09/2016)

Exhibit 8 Security Services Company Valuation Trends (€ in millions) EV/Net Sales

Security Services

EV/EBITDA

EV/EBIT

PER

Company Name

LTM

2016

2015

2014

2013

2012

LTM

2016

2015

2014

2013

2012

LTM

2016

2015

2014

2013

2012

LTM

2016

2015

2014

2013

2012

Central Security Patrols Co., Ltd.

0,5x

0,6x

0,4x

0,3x

0,2x

0,2x

7,3x

10,3x

6,5x

4,6x

3,9x

3,3x

16,8x

29,1x

15,6x

10,9x

9,7x

8,8x

29,7x

18,2x

29,2x

22,5x

20,0x

23,7x

Command Security Corp.

0,3x

0,3x

0,2x

0,2x

0,1x

0,1x

na

na

8,8x

7,3x

5,2x

9,6x

na

na

11,8x

9,2x

6,1x

17,6x

na

na

14,9x

15,5x

27,0x

82,3x

G4S plc

0,8x

0,7x

0,9x

0,8x

0,9x

0,8x

10,4x

9,4x

12,6x

10,6x

11,1x

9,0x

15,3x

14,3x

20,9x

17,7x

18,0x

13,8x

124,4x 371,0x

32,0x

na

105,6x

21,8x

Impel S.A.

0,3x

0,3x

0,4x

0,4x

0,5x

0,3x

7,3x

6,6x

7,4x

8,1x

9,0x

5,1x

18,9x

14,9x

16,0x

17,9x

17,8x

8,3x

11,4x

14,3x

13,4x

23,4x

16,5x

5,2x

Loomis AB

1,4x

1,3x

1,7x

1,3x

1,0x

0,8x

8,3x

7,5x

10,5x

8,0x

6,4x

5,8x

13,8x

12,7x

17,8x

14,0x

11,2x

10,2x

16,2x

15,9x

22,0x

17,7x

13,6x

13,3x

MITIE Group PLC

0,5x

0,5x

0,6x

0,6x

0,6x

0,5x

7,4x

7,5x

8,9x

6,2x

12,1x

8,4x

8,9x

9,2x

11,0x

7,0x

17,6x

10,7x

11,2x

11,6x

33,7x

24,0x

23,2x

13,5x

Prosegur Compañía de Seguridad, S.A.1,1x

0,9x

1,0x

0,9x

0,9x

1,1x

7,9x

9,2x

8,5x

7,4x

8,1x

12,7x

10,6x

12,4x

11,4x

9,7x

10,4x

18,8x

15,9x

20,1x

17,3x

14,4x

15,4x

SECOM CO.,LTD.

1,7x

1,8x

2,1x

1,6x

1,6x

1,0x

8,7x

8,8x

10,2x

7,9x

8,0x

5,8x

12,3x

12,4x

14,3x

11,1x

11,2x

8,7x

22,0x

21,9x

23,6x

19,5x

19,3x

22,7x

Securitas AB

0,8x

0,7x

0,8x

0,6x

0,5x

0,5x

12,9x

11,7x

13,1x

9,0x

8,3x

8,0x

17,0x

15,6x

17,8x

12,4x

11,8x

10,8x

20,8x

20,0x

22,5x

15,2x

18,9x

13,3x

Sohgo Security Services Co. Ltd.

1,3x

1,4x

1,4x

0,6x

0,4x

0,2x

11,8x

12,9x

14,6x

7,2x

5,6x

2,3x

17,3x

18,8x

22,3x

10,9x

11,5x

5,2x

28,7x

27,9x

38,6x

22,5x

21,2x

28,3x

The Brink's Company

0,7x

0,6x

0,5x

0,5x

0,5x

0,4x

9,5x

7,9x

8,7x

5,2x

5,8x

4,6x

18,3x

15,3x

30,9x

9,6x

10,9x

7,7x

na

na

na

23,2x

14,0x

14,4x

0,9x 0,8x

0,8x 0,7x

0,9x 0,8x

0,7x 0,6x

0,6x 0,5x

0,6x 0,5x

9,3x 9,1x

9,1x 8,4x

10,1x 9,2x

7,5x 7,9x

7,5x 7,4x

6,4x 5,8x

15,1x 16,1x

15,3x 14,6x

17,3x 16,0x

12,0x 11,1x

12,3x 11,2x

10,2x 10,2x

31,5x 20,8x

57,4x 18,2x

25,0x 23,1x

20,1x 21,0x

26,7x 19,3x

23,1x 15,4x

Mean Median

9,7x

Source: Capital IQ (30/09/2016)

25

Section IV: Security Services Companies Comparable M&A Transactions The median EV/EBIT and EV/EBITDA for the comparable Security Services M&A transactions are 22.4x and 10.9x, respectively. Exhibit 9 Security Services Comparable M&A Transactions (€ in millions except where mentioned in $) Country

Revenue

Deal value (m€)

USA-based company providing after-market safety, CalAmp Corp. security, and protection products and services for (NasdaqGS:CAMP) tracking and recovering cars, trucks and other valuable mobile assets.

USA

119

129

Access Locksmiths Ltd.

UK-based company which provides locksmith and security services.

Croma Security Solutions Group PLC (AIM:CSSG)

UK

Nov-15

Proyectos futuro Sistemas S.A.

Spain-based company which offers installation and maintenance of fire and security equipment, devices, and protection systems.

IBEREXT SA

Nov-15

Frontline Security Pte Ltd

Singapore-based company which provides security manpower services, close protection officers, security systems, and organizations.

Tenon Facility Management Singapore Pte. Ltd.

Nov-15

Hi-tech Sekuriteit Laeveld Proprietary Limited

Sweden-based company which provides alarm CSG Holdings Ltd. installations, security monitoring, and guarding services. (JSE:CSG)

Oct-15

ABM Industries Incorporated, Security Business

USA-based company which offers security services Universal Services of including, security staffing, mobile patrol services, America, Inc. investigative services, and security consulting services.

Aug-15

Wemal Maxi-Protect Sdn Bhd

Malaysia-based company which provides central security and alarm-monitoring services.

Digistar Holdings Sdn Bhd

Sep-15

NICE Systems Ltd., Physical Security Business

Israel-based company which provides video surveillance services business.

Battery Ventures

Dec-15

AlliedBarton Security Services LLC

Jul-15

Date

Target Company

Target Description

Mar-16

LoJack Corporation

Dec-15

Bidder Company

Enterprise Value / Sales EBIT EBITDA 0,9x

31,9x

18,6x

3

Spain

Singapore

3

3

South Africa

3

USA

119

1,2x

Malaysia

USA

77

USA-based company which provides trained and Wendel (ENXTPA:MF) responsive security personnel to Fortune 500 companies and other organizations in the United States.

FR

1499

Protection 1, Inc.

USA-based company which provides security services Apollo Global Management, to residential, business, natioanl account and integrated LLC (NYSE:APO) system customers.

USA

1321

Jun-15

Guardforce 1 Limited

Hong Kong-based which provides cash-in-transit services to financial institutions and retailers.

China Anso (HK) Co., Ltd.

Hong Kong

104

Mar-15

Iron Protection Group, LLC

USA-based company which provides discreet armed protection servcies to clients in the US and internationally.

General Cannabis Corp. (OTCPK:CANN)

USA

1

Feb-15

LiveWatch Security, LLC

USA-based company which provides home security systems for customers in the US and Canada.

Monitronics International, Inc.

USA

54

Nov-14

Chubb Guarding Services Singapore Pte Ltd.

Singapore-based company which operates as a securities services company.

Takachiho Koheki Co. Ltd. (TSE:2676); Takachiho Fire, Security & Services (Thailand) Ltd.

Thailand

4

2

0,8x

11,3x

0,5x

26

Section IV: Security Services Companies Comparable M&A Transactions Exhibit 9 Security Services Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Revenue

Enterprise Value / Sales EBIT EBITDA

Target Description

Bidder Company

Nov-14

Centerra Group, LLC

USA-based company which provides security and fire support services to government and commercial customers in the US and internationally.

A&M Capital Advisors, LLC

USA

108

Oct-14

Transporte de Valores e Vigilância Brazil-based company which provides cash armored Ltda car transportation services.

Prosegur Compañía de Seguridad, S.A. (BME:PSG)

Spain

6

0,9x

Oct-14

Clear Image MMS Ltd.

UK-based company which provides security solutions, Gunnebo AB (OM:GUNN) and systems monitoring and maintenance services in the UK.

Sweden

4

0,6x

Sep-14

Protecs A&A CMS SDN BHD

Malaysia-based company which provides professional Digistar Holdings Sdn Bhd security services to commercial, financial, industrial, and private residential sectors in Malaysia.

Malaysia

1

Nov-14

Sunwin Services Group, Limited

UK-based company which provides security services in Cardtronics Europe Limited the UK.

UK

52

Sep-14

G4S Secure Solutions AB

Sweden-based company which provides manned security and security systems.

Sector Alarm Sverige AS

Norway

47

Jul-14

The Pride Group (QLD) Pty Ltd.

Australia-based company which provides electronic security services to the commercial market in Australia.

Turquino Equity LLC

USA

1

May-14

Tyco Fire & Security Services Korea Co., Ltd.

South Korea-based company which provides security solutions in Korea.

The Carlyle Group LP (NasdaqGS:CG)

USA

Jan-14

Evtec Management Services Pte Ltd

Singapore-based company which provides security services to various properties in Singapore.

Prosegur Compañía de Seguridad, S.A. (CATS:PSG)

Spain

4

Jan-14

Incendie Protection Sécurité SAS French-based company which offers fire extinguishers Étoile ID; Amundi Private and maintenance services. Equity Funds

France

5

Jan-14

G4s Cash Solutions (Canada) Ltd. Canada-based company which offers cash services security solutions.

Canada

Jan-14

Hawk Security, A Member of My Alarm Center

USA-based company which designs, installs, monitors, My Alarm Center, LLC sells, and services interactive security solutions for business and residential customers in the United States.

USA

Jan-14

Shagrir Systems Ltd.

Israel-based company which develops a system for Pointer Telocation Ltd. locating and protecting the human environment including (NasdaqCM:PNTR) vehicle security and locating services

Israel

40

14

Aug-13

G4S Cash Solutions (Canada) Ltd.

Canada based company engaged in providing Garda World Security outsourcing of cash cycle management, risk and security Corporation solutions

Canada

140

78

Garda World Security Corp.

Country

Deal value (m€)

Target Company

7

500

116

1791

3,5x

34,8x

17,5x

79

31

0,6x

27

Section IV: Security Services Companies Comparable M&A Transactions Exhibit 9 Security Services Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Bidder Company

Country

Revenue

Deal value Enterprise Value / (m€) Sales EBIT EBITDA

Date

Target Company

Target Description

Jul-13

Devcon Security Systems, Inc.

US based company engaged in the provision of The ADT Corporation electronic security services to commercial and residential customers

USA

Jul-13

Security Networks, LLC

US based company engaged in providing home security services

Monitronics International, Inc.

USA

59

395

6,5x

Jun-13

Infratek ASA

Norway based company that operates within three business segments: Infrastructure, Technical Systems and Guard Services

Triton Partners

Germany,UK, Sweden

382

80

0,2x

May-13

Central Investigation and Security India based company engaged in providing security Services Limited (Minority Stake) and safety services

OCS Group Limited

Apr-13

Arkoon Network Security SA (83.9% Stake)

France based company engaged in providing data protection and protection of information system

Cassidian CyberSecurity

France

11

12

1,3x

Feb-13

Acxiom Information Security Services, Inc.

US based company providing background screening services through legally compliant reports

Sterling Infosystems, Inc.

USA

37

55

1,5x

Dec-12

Deposita Systems Proprietary Limited (87% Stake)

South Africa based cash management and security company

G4S Cash Solutions Business (SA) Proprietary Limited

South Africa

Dec-12

Federal Resguard S.A.

Argentina based company engaged in security solution Securitas AB services

Sweden

16

6

0,4x

Sep-12

G4S Security Sp. z o.o.

Poland based company engaged in providing security Konsalnet SA solutions

Poland

45

10

0,2x

Aug-12

Intrepidus Group, Inc.

US based provider of mobile application and device security services

NCC Group Plc

United Kingdom

3

9

3,4x

Jul-12

The Shield Guarding Company Limited (49% Stake)

UK based security services provider

Tops Security Limited

India

66

25

0,4x

Apr-12

Chillida Sistemas de Seguridad, S.L.

Spain based manufacturer of security systems

Securitas AB

Sweden

26

23

0,9x

Mar-12

Segura

Urugay based alarms and security company

Prosegur Compania de Seguridad, S.A.

Spain

Mar-12

Transbank ; Nordeste Seguranca Brazil based security company specialising in cash in Prosegur Compania de transit, guarding and technology; Brazil based security Seguridad, S.A. company specialising in cash in transit, guarding and technology

Spain

112

UK

10,9x

5,5x

4,0x

5

6,4x

10

47,7x

11

345

359

1,0x

28

Section IV: Security Services Companies Comparable M&A Transactions Exhibit 9 Security Services Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Target Company

Target Description

Bidder Company

Country

Revenue

Spain

Deal value Enterprise Value / (m€) Sales EBIT EBITDA

Jan-12

Security and Intelligence Services India based Valuables Logistics and Cash Management Prosegur Compania de (India) Limited (Valuables Logistics division of Security and Intelligence Services (India) Seguridad, S.A. and Cash Management division) Limited (49% Stake)

16

Jan-12

Protect d.o.o. (85% Stake)

Croatia based provider of security services

Securitas AB

Sweden

8

6

0,8x

Jan-12

MPL Beveiligingsdiensten B.V.

Netherlands based company engaged in providing all kinds of security services

Securitas AB

Sweden

11

5

0,4x

Dec-11

SecurLog GmbH

Germany based provider of collection and delivery services for cash and other valuables

Prosegur Compania de Seguridad, S.A.

Spain

146

23

0,2x

Dec-11

CSS Internacional S.A.

Costa Rica based security services firm

Securitas AB

Sweden

11

6

0,6x

Nov-11

Pristis AS

Estonian based company engaged in the design, sale, K Grupp Turvateenused OU guarding, rental, installation, and maintenance of security systems

Estonia

13

10

0,8x

Oct-11

Cobelguard security NV

Belgium based company providing security systems services

Securitas AB

Sweden

59

38

0,6x

Oct-11

Aeroguard Group

Canada based provider of airport screening and security services

The Garda Security Group Inc.

Canada

Oct-11

Orbis Security Solutions

South Africa based provider of physical guarding services

Securitas AB

Sweden

8

4

0,5x

Sep-11

Sistem-FTO D.O.O.

Serbian company providing security services involving Securitas AB guarding and alarm monitoring

Sweden

14

4

0,3x

Sep-11

Chubb Singapore Pte Ltd

Singapore based security services company

Securitas AB

Sweden

43

4

0,1x

Sep-11

Sensormatic Guvenlik Group (51% Stake)

Turkey based company engaged in providing technical Securitas AB security services

Sweden

22

13

1,2x

Sep-11

Grupo Segur Iberica (41.2% Stake)

Spain based security and safety products and services Corpfin Capital; MCH Private provider Equity

Spain;Spain

220

26

0,3x

10,9x

57,2x

3,5x

0,8x

1,0x

12

Average Median

Source: Capital IQ , Merger Market

13,0x

1,0x 0,6x

3,5x

23,9x 22,4x

12,3x 10,9x

29

Section V: Contract Catering Companies Comparable Public Company Valuations The Knowledge Centre’s contract catering comparable public company analysis involves publicly traded contract catering companies (Exhibits 10 and 11).

5

The median EBIT and EBITDA margins are 5.0% and 7.9%, respectively. The median EV/EBIT and EV/EBITDA are 15.7x and 12.1x, respectively. Exhibit 10 Contract Catering Comparable Company Profit Trends (€ in millions) Catering Sales (Last)

Company Name Aramark

%EBITDA (Last)

%EBIT (Last)

Market Enterprise cap. Value (Current) (Current)

EBITDA / Sales

EBIT / Sales

LTM

2015

2014

2013

2012

LTM

2015

2014

2013

2012

12 785

8%

5%

8 192

12 949

8,5%

8,0%

7,4%

7,6%

8,2%

5,0%

4,5%

3,9%

3,7%

4,3%

4 839

8%

3%

1 940

2 745

7,9%

7,7%

7,0%

6,6%

6,9%

3,7%

3,4%

2,8%

2,0%

2,6%

Catering International & Services 272 SA

5%

4%

105

90

4,3%

4,8%

7,0%

7,5%

7,4%

3,0%

3,5%

5,9%

6,5%

6,5%

Compass Group PLC

20 024

9%

7%

27 576

31 171

9,1%

9,1%

8,9%

8,7%

8,5%

7,1%

7,1%

7,0%

6,9%

6,7%

Sodexo S.A.

19 815

7%

6%

16 012

17 826

7,1%

7,1%

6,4%

5,8%

7,0%

5,5%

5,7%

5,0%

4,4%

5,2%

7,4% 7,9%

7,3% 7,7%

7,4% 7,0%

7,2% 7,5%

7,6% 7,4%

4,9% 5,0%

4,9% 4,5%

4,9% 5,0%

4,7% 4,4%

5,1% 5,2%

Autogrill S.p.A.

Mean Median

Source: Capital IQ (30/09/2016)

Exhibit 11 Contract Catering Public Company Valuation Trends (€ in millions) EV/Net Sales

Catering

EV/EBITDA

Company Name

LTM

2015

2014

2013

2012

LTM

2015

2014

2013

Aramark

1,0x

0,9x

0,9x

0,4x

0,4x

12,1x

11,3x

11,6x

Autogrill S.p.A.

0,6x

0,6x

0,7x

0,6x

0,8x

7,1x

7,2x

10,0x

Catering International & Services 0,4x na SA

0,5x

0,4x

0,5x

8,4x

na

6,9x

Compass Group PLC

1,5x

1,2x

1,2x

1,1x

0,9x

16,5x

13,6x

14,0x

Sodexo S.A.

0,9x

0,8x

0,7x

0,7x

0,6x

12,3x

10,9x

11,4x

0,9x 0,9x

0,9x 0,8x

0,8x 0,7x

0,6x 0,6x

0,6x 0,6x

11,3x 12,1x

10,7x 11,1x

10,8x 11,4x

Mean Median

EV/EBIT 2012

LTM

2015

2014

2013

5,5x

5,2x

20,4x

20,1x

22,1x

8,8x

12,3x

15,2x

16,4x

24,8x

5,8x

6,8x

11,9x

na

8,2x

6,6x

12,2x

10,4x

21,1x

17,4x

17,8x

15,3x

11,2x

8,4x

15,7x

13,5x

14,6x

14,9x

8,7x 8,8x

8,6x 8,4x

16,9x 15,7x

16,8x 16,9x

17,5x 17,8x

15,4x 14,9x

PER 2012

2011

LTM

2015

2014

2013

2012

11,2x

9,9x

10,1x

36,0x

32,8x

49,3x

0,0x

0,0x

29,2x

32,2x

11,3x

20,1x

29,4x

90,6x

21,0x

24,9x

7,6x

7,9x

44,4x

21,6x

20,7x

24,1x

18,9x

13,1x

11,7x

26,7x

21,8x

21,4x

40,3x

22,9x

11,4x

10,5x

22,4x

20,0x

24,8x

24,9x

18,4x

14,9x 11,4x

10,3x 10,5x

29,9x 26,7x

25,1x 21,8x

41,4x 24,8x

22,1x 24,1x

17,0x 18,9x

Source: Capital IQ (30/09/2016)

30

Section V: Contract Catering Companies Comparable M&A Transactions The median EV/EBIT and EV/EBITDA for the comparable contract catering M&A transactions are 13.3x and 7.7x, respectively. Exhibit 12 Contract Catering Comparable M&A Transactions (€ in millions except where mentioned in $) Date

Deal value Enterprise Value / (m€) Sales EBIT EBITDA

Target Company

Target Description

Bidder Company

Country

Feb-16

Oak Event AB

Sweden-based company which provides catering services.

ExeoTech Invest AB (publ) (NGM:ETIN MTF)

Sweden

Dec-15

Peppermint Events Limited

UK-based company which provides bars and catering Matthew Clark Wholesale services to outdoor events. Limited

UK

Jun-15

CH & Co Catering Limited

UK-based company which offers catering services to corporate and commercial customers.

UK

104

May-15

Reem al Bawadi Group

UAE-based company which operates a chain of Marka PJSC (DFM:MARKA) restaurants and provides outsourcing catering servcies for corporate and private clients.

UAE

76

May-15

The National Exhibition Centre Limited

UK-based venue management company operating spaces, a ticketing agency, a hospitality brand, a catering company.

UK

403

Dec-14

Allterrain Services Incorporated

Ghana-based company which povides remote site and Tsebo Outsourcing Group corporate catering services. Proprietary Limited

South Africa

17

Oct-14

Lexington Catering Limited

UK-based company which provides food catering services to blue chip businesses in London and the South East of England.

Dec-14

Malaysian Airline System Bhd

Malaysia-based company which provides air Khazanah Nasional Berhad transportation and related servcies. It provides equally catering and cabin handling services.

Jul-14

60% Stake in Gruppo Dac S.p.A. UK-based company which provides commercial and Unknown Stake in PCL 24/7 catering services in Italy. Limited Alliance in Partnership Limited UK-based company which provides catering services to the educational market in central England and West London.

Apr-14

Jul-13

Creativevents Limited (51% Stake)

Mar-13

CIBUS Business Meals Ltd. (81% Israel-based company providing catering services Stake)

Jan-13

MML Capital Partners; CH&Co Group

LDC (Managers) Limited

Elior (ENXTPA:ELIOR)

18

4

40

18

0,4x

Malaysia

3 283

321

1,0x

UK

7,5x

120

15

13

0,8x

17

5

0,6x

Sodexo Pass International S.A.S.

France

14

LSG Lufthansa Service Holding AG (34.3% Stake)

Germany-based company engaged in providing airline Brahim's Holdings Berhad catering, in-flight equipment and logistics, in-flight management services, and airport services

Malaysia

32

Nov-12

Alpha Flight Services BV

Netherlands-based company that provides inflight catering services

Oct-12

Crown Camp Service

Colombia-based provider of food and support services Compass Group Services Colombia S.A. (Subsidiary of Compass UK)

Gate Gourmet Holding Netherlands B.V.

0,3x

France

The Bidvest Group Ltd UK South Africa (JSE:BVT); Bidvest Logistics Ltd Key Capital Partners UK

UK-based provider of catering and hospitality services MITIE Group Plc to a broad range of clients in the exhibition, sporting, festival, culture and heritage sectors

Revenue

Netherlands

14

5

0,3x

Colombia

19

7

0,4x

15,0x

7,9x

31

Section V: Contract Catering Companies Comparable M&A Transactions Exhibit 12 Contract Catering Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Bidder Company

Target Description

Dec-11

Usas Ucak Servisi A.S. (56.25% Stake)

Turkey-based company that provides catering services Turkraft Holding A.S. for both domestic and international airline flights

Turkey

2

11

14,5x

Sep-11

Alessa Catering Services S.A.

Spain-based provider of catering services

Spain

51

23

0,5x

Sep-11

Lenotre SA

France-based company engaged in food and catering Sodexo SA services which also owns and operates gourmet shops and restaurants

France

105

75

0,7x

Sep-11

Puras do Brasil S.A.

Brazil-based company engaged in operating Sodexo SA restaurants and providing meal plan services to schools and companies

France

500

525

1,1x

Sep-11

Cygnet Catering Limited

UK-based company engaged in provides food and Compass Group Plc catering services to schools and colleges, operating individual contracts, and local authority group contracts

UK

11

6

0,5x

Aug-11

Bunzl Vending Services Limited

UK-based firm that distributes, installs, and maintains vending machines serving beverages, snacks, food, water, and cans and bottles

Autobar UK Limited

UK

36

Jun-11

Comissaria Aerea Brasilia Ltda.; Comissaria Aerea Brasil Ltda

Brazil-based catering company providing meals to airlines at the Brasilia and Goiania airports

Grupo RA Catering

Brazil

16

Jun-11

Shing Hin Catering Group Limited Hong Kong-based company that provides catering services to universities and other institutions

Hong Kong

7

Jun-11

Catersource (70% Stake)

USA-based conference and exhibition organizer for catering and event planning industry.

Compass Group Hong Kong Limited (Subsidiary of Compass UK) United Business Media Limited

UK

3

3

1,8x

Apr-11

Elior Nederland BV

Netherlands-based firm offering contract catering services

Netherlands

96

70

0,7x

Jan-11

RistoChef S.p.A.

Compass Group Nederland Holding BV (Subsidiary of Compass UK) Italy-based company engaged in providing restaurant Edenred Italia Srl (Edenred and airline catering services France subsidiary)

Italy France

12

Jan-11

Menke Menue

Germany UK

5

Dec-10

Alpha Flight Group Limited

Germany-based company engaged in food service Compass Group business operating in education and healthcare sectors Deutschland GmbH (Subsidiary of Compass UK) UK-based engaged in providing in-flight catering Dnata service

Nov-10

Life's A Party Group Ltd

Australia-based company engaged in food catering service, educational service and organising events

Australia UK

Nov-10

Alpha-Airfayre Limited (49% Stake)

UK-based company providing food catering services

Compass Group (Australia) Pty Ltd (Subsidiary of Compass UK) Alpha Flight UK Limited

Nov-10

SkyGourmet Catering Private Limited (74% Stake)

India-based company engaged in providing airline catering services

gategroup Holding AG

Switzerland

Serunion, S.A.

Country

United Arab Emirates

UK

Revenue

Deal value Enterprise Value / (m€) Sales EBIT EBITDA

Target Company

189

183

1,0x

71,1x

24,2x

17

8

4

1,1x

57

32

Section V: Contract Catering Companies Comparable M&A Transactions Exhibit 12 Contract Catering Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Target Description

Apr-10

Gruppo Copra

Italy-based provider of catering services to businesses, Elior SCA schools, healthcare, self-service restaurants, buffets and banquets

France

Dec-09

Mediterranea de Catering SL

Spain-based catering company

Alia Private Equity SCR SA Inversiones Ibersuizas SA

Spain

Oct-09

Vanyera3 SL

Spain-based catering company

Union Castellana de Alimentacion SA

Spain

Apr-09

Radhakrishna Hospitality Services India-based food service & hospitality solutions, Sodexo SA Pvt Ltd integrated facilities management and vending solutions

France

70

99

1,4x

Dec-08

G2M (50.00% stake)

Turkey

96

24

0,5x

Oct-08

Horkram Schulz Food Service AS Denmark-based catering company

Oct-08

ITP services, s.r.o.

Oct-08

Arjan van Dijk Groep (75.00% stake)

Sep-08

Centerplate, Inc.

Sep-08

Fast Food Servis

Aug-08

CAFE Group Capitol Vending

USA-based food service provider; US based local vending operation servicing central Indiana

Treat America Food Services Inc

Aug-08

7 Yedi Endustriyel Yemek

Turkey-based catering company

Yemekci

Jul-08

Qua.ser s.r.l.; Zilch Ristorazione s.r.l.

Italy-based company engaged in catering services.; Italy based provider of canteen and refectory outsourcing services.

Gruppo Gemeaz Cusin Srl

Jul-08

CLS Catering Services Limited (30.00% stake)

Canada-based provider of catering services in airlines LSG Lufthansa Service Europa Afrika GmbH

Germany

4

Jul-08

Olympic Catering SA (55.70% stake)

Greece-based inflight catering company

Alkmini Catering

Greece

24

Jul-08

Lufthansa Airport ServiceGesellschaft

Germany-based catering company which has its core competencies in food processing, logistics and service profitably on the ground

SSP Deutschland GmbH

Germany

Turkey-based catering company

Bidder Company

Actera Group

Citti Handelsges mbH & Co. KG

Czech Republic-based company engaged in managing Airest Slovakia Gastronomy food and beverage activities at Prague Airport and Retail sro Airest Terminal & Catering Business Holding Netherland-based event management services Jaarbeurs CateringGmbH Services provider. USA-based provider of food and related services, Kohlberg & Company LLC including concessions, catering and merchandise services in sports facilities, convention centers and other entertainment facilities Czech Republic-based provider of operator activities in Airest Terminal & Catering Food & Beverage at the airport in Prague Czech Business Holding GmbH Republic

Country

Revenue

Deal value Enterprise Value / (m€) Sales EBIT EBITDA

Target Company

13

74

70

0,9x

11,7x

9,5x

4,1x

5

Germany

80

Slovakia Austria

8

Netherlands

30

USA

503

150

0,3x

9,5x

Austria

6

15

2,6x

19,6x

USA

Turkey

Italy

27

33

Section V: Contract Catering Companies Comparable M&A Transactions Exhibit 12 Contract Catering Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Country

Revenue

Deal value Enterprise Value / (m€) Sales EBIT EBITDA

Target Company

Target Description

Bidder Company

Jun-08

Sardunya AS

Turkey-based catering group

ISS Turkey

Turkey

Jun-08

Cerfal Lecocq SA SDM

France-based company providing food catering and event organisation related services.

Holding SDPL Finorpa

France

Jun-08

Grupo Servicoin S.A. de C.V

Mexico-based catering company

ISS A/S

Jun-08

Yedi

Turkey-based company engaged in catering business. Bulutoglu Gida ve Lojistik Hizmetleri AS

Turkey

Jun-08

SCK DUS GmbH& Co KG Duesseldorf

Germany-based joint venture, created by Air Berlin and Gate Gourmet Switzerland SCK Sky Catering Kitchen GmbH Bordverpflegung & GmbH Co Service KG Ulm

Switzerland USA

May-08

Topic Caterers

Australy-based resources catering company

ISS A/S

Denmark

Apr-08

Polrest SA (formerly Gastropol Group Sp. z.o.o.)

Poland-based catering company and restaurant operator.

ISS A/S

Denmark

Apr-08

Aeromeal (majority stake)

Russia-based provider of airline catering services

LSG Lufthansa Service Europa Afrika GmbH

Germany

Mar-08

Cremonini s.p.a.

Italy-based company operating in the food sector. The Luigi Cremonini business interests include distribution, production and catering.

Italy

2 482

138

0,4x

Mar-08

Catering Partnership Holdings Limited

UK-based food services operator

Mitie Facilities Services Limited

UK

18

9

0,5x

Mar-08

Accor (GR Brasil Servicos de Alimentacao) (50.00% stake)

Brasil-based provider of catering services

Compass Group Plc

UK

383

119

0,6x

Feb-08

The Oggenfuss Catering by Switzerland-based restaurant operator and catering Wilfinger services GmbH (Majority service provider Stake)

Kofler & Kompanie AG

Jan-08

Redcoral Catering Limited (Insomnia) (51.00% stake)

Ireland-based coffee shops chain and catering company

Penninn H F

Jan-08

Patman Services

Indian provider of facilities management, housekeeping, Aramark Corporation business dining, catering and other services

Denmark

13

20

10

11,1x

7,0x

23,0x 13,3x

10,0x 7,7x

Germany

Iceland

16

USA

Average Median

1,4x 0,7x

Source: Capital IQ , Merger Market

34

Section VI: Human Resources Services Companies Comparable Public Company Valuations The Knowledge Centre’s Human Resources comparable public company analysis involves 25 publicly traded Human Resources Services companies (Exhibits 13 and 14). The median EBIT and EBITDA margins are 4.3% and 5.2%, respectively. The median EV/EBIT and EV/EBITDA are 9.0x and 6.4x, respectively. Exhibit 13 Human Resources Services Comparable Company Profit Trends (€ in millions)

EBITDA / Sales

HR Company Name

Country Last Year

Sales (Last)

%EBITDA (Last)

%EBIT (Last)

Market Enterprise cap. Value (Current) (Current)

EBIT / Sales

LTM

2015

2014

2013

2012

2011

LTM

2015

2014

2013

2012

2011

Adecco Group AG

SZ

31/12/15

20 117

5%

5%

8 846

10 272

5,3%

5,4%

5,0%

4,5%

4,3%

4,4%

5,0%

5,0%

4,6%

4,0%

3,7%

3,7%

CPL Resources plc

IR

30/06/16

433

4%

4%

173

140

3,7%

3,7%

3,7%

4,0%

3,7%

3,6%

3,6%

3,6%

3,5%

3,8%

3,5%

3,5%

DLSI

FR

31/12/15

190

5%

5%

44

54

5,4%

5,2%

4,0%

4,0%

2,3%

3,3%

5,1%

4,9%

3,6%

3,6%

1,8%

2,9%

Groupe CRIT SA

FR

31/12/15

1 940

6%

5%

636

708

5,9%

6,0%

5,7%

5,2%

3,6%

3,7%

5,0%

5,1%

4,9%

4,5%

3,0%

3,2%

Harvey Nash Group plc

UK

31/01/16

770

2%

2%

52

60

1,4%

1,7%

1,6%

1,3%

1,8%

2,1%

1,2%

1,5%

1,4%

1,0%

1,5%

1,7%

Hays plc

UK

30/06/16

4 817

7%

6%

2 151

2 109

6,9%

6,9%

4,8%

4,0%

3,7%

4,0%

6,4%

6,4%

4,2%

3,7%

3,4%

3,7%

Hydrogen Group PLC

UK

31/12/15

140

0%

-1%

10

9

-0,1%

-0,4%

1,7%

1,6%

2,3%

2,8%

-0,2%

-0,5%

1,5%

1,4%

2,0%

2,5%

Insperity, Inc.

US

31/12/15

2 323

4%

3%

1 511

1 361

4,1%

3,5%

2,9%

3,4%

4,0%

3,6%

3,6%

2,9%

2,2%

2,6%

3,3%

2,9%

Interquest Group PLC

UK

31/12/15

181

4%

3%

20

31

3,0%

3,6%

3,0%

2,2%

1,7%

3,3%

2,5%

3,1%

2,5%

1,9%

1,0%

2,5%

Kelly Services, Inc.

US

03/01/16

4 924

2%

1%

642

636

1,7%

1,6%

1,0%

1,4%

1,8%

1,7%

1,3%

1,2%

0,6%

1,0%

1,4%

1,1%

Korn/Ferry International

US

30/04/16

1 153

12%

10%

1 139

1 162

11,1%

12,1%

13,2%

12,5%

10,5%

12,0%

9,1%

10,1%

11,4%

10,4%

8,7%

10,6%

Monster Worldwide, Inc.

US

31/12/15

595

14%

7%

291

362

11,8%

14,1%

7,5%

12,7%

15,4%

17,4%

5,1%

7,3%

0,8%

4,9%

7,5%

9,9%

Parity Group plc

UK

31/12/15

97

1%

1%

10

17

1,7%

1,1%

1,1%

1,2%

0,9%

-0,2%

1,3%

0,5%

0,8%

1,0%

0,6%

-0,6%

Poolia AB (publ)

SW

31/12/15

711

3%

2%

23

24

2,9%

2,5%

1,3%

0,9%

-1,3%

2,2%

2,5%

2,1%

0,8%

0,3%

-2,1%

1,5%

Prime People Plc

UK

31/03/16

24

11%

10%

15

14

11,3%

11,3%

9,6%

7,9%

6,6%

8,3%

10,4%

10,4%

8,6%

7,1%

5,9%

7,4%

Randstad Holding NV

NE

31/12/15

19 219

5%

4%

8 488

9 553

4,6%

4,6%

4,1%

3,5%

3,0%

3,8%

3,9%

3,7%

3,0%

2,3%

1,6%

2,3%

Robert Half International Inc.

US

31/12/15

6 326

12%

11%

4 783

4 538

12,2%

12,4%

11,6%

10,5%

10,0%

8,0%

11,1%

11,4%

10,6%

9,3%

8,8%

6,6%

Robert Walters PLC

UK

31/12/15

788

3%

3%

304

283

3,1%

3,3%

3,2%

2,3%

2,0%

3,4%

2,7%

2,8%

2,7%

1,8%

1,5%

3,0%

SThree Plc.

UK

30/11/15

823

5%

5%

631

642

5,1%

5,1%

4,3%

3,8%

4,9%

6,1%

4,8%

4,9%

4,0%

3,3%

4,3%

5,5%

Synergie SA

FR

31/12/15

1 799

5%

5%

442

451

5,3%

5,4%

4,9%

4,4%

3,1%

3,6%

5,0%

5,0%

4,4%

3,9%

2,6%

TrueBlue, Inc.

US

25/12/15

3 347

5%

4%

986

893

5,3%

5,4%

5,4%

5,2%

5,2%

4,9%

3,7%

3,8%

4,0%

4,0%

3,8%

3,6%

Willis Towers Watson Public Limited Company UK 31/12/15

4 719

23%

18%

6 872

8 379

20,5%

22,5%

22,4%

22,8%

10,8%

26,6%

13,8%

18,0%

18,5%

18,9%

6,8%

22,6%

0

na

na

3

1

na

na

-13,1%

-8,2%

-37,2%

0,8%

na

na

-15,6%

-9,7%

-38,2%

0,3%

6,0% 5,2%

6,2% 5,2%

4,7% 4,1%

4,8% 4,0%

2,7% 3,6%

5,6% 3,6%

4,9% 4,3%

5,2% 4,3%

3,6% 3,5%

3,7% 3,6%

1,6% 3,0%

4,5% 3,2%

Work Group plc

UK

31/12/15

Mean Median

3,2%

Source: Capital IQ (30/09/2016)

35

Section VI: Human Resources Services Companies Comparable Public Company Valuations Exhibit 14 Human Resources Services Public Company Valuation Trends (€ in millions)

EV/Net Sales

HR

EV/EBITDA

EV/EBIT

PER

Company Name

LTM

2015

2014

2013

2012

LTM

2015

2014

2013

2012

LTM

2015

2014

2013

2012

Adecco Group AG

0,5x

0,6x

0,8x

0,7x

0,5x

9,3x

10,2x

15,3x

16,7x

11,9x

10,0x

11,0x

16,6x

18,7x

13,7x

CPL Resources plc

0,3x

0,3x

0,4x

0,5x

0,5x

8,7x

8,6x

10,4x

12,0x

12,7x

9,0x

8,9x

10,7x

12,4x

13,1x

DLSI

0,3x

0,2x

0,3x

0,2x

0,2x

5,1x

3,2x

6,7x

5,8x

7,1x

5,5x

3,4x

7,4x

6,5x

9,0x

6,6x

Groupe CRIT SA

0,3x

0,3x

0,4x

na

na

5,9x

5,7x

6,4x

na

na

6,9x

6,7x

7,5x

na

na

Harvey Nash Group plc

0,1x

0,1x

0,1x

0,1x

0,1x

5,1x

4,5x

5,9x

9,3x

4,3x

5,8x

5,1x

6,7x

11,8x

Hays plc

0,4x

0,4x

0,5x

0,5x

0,5x

6,4x

6,4x

11,3x

11,8x

13,2x

6,9x

6,9x

12,9x

12,5x

Hydrogen Group PLC

0,1x

0,0x

0,1x

0,2x

0,2x

na

na

7,6x

10,4x

6,8x

na

na

8,6x

12,2x

7,7x

na

Insperity, Inc.

0,5x

0,4x

0,4x

0,2x

0,2x

11,7x

10,7x

14,7x

6,9x

4,9x

13,4x

12,8x

19,7x

8,9x

6,0x

24,6x

Interquest Group PLC

0,2x

0,2x

0,3x

0,4x

0,2x

6,1x

6,8x

9,9x

19,8x

13,5x

7,4x

7,9x

11,9x

22,7x

23,0x

na

10,8x

Kelly Services, Inc.

0,1x

0,1x

0,1x

0,1x

0,1x

7,5x

8,3x

11,9x

9,7x

6,7x

9,9x

11,0x

19,6x

13,2x

8,7x

11,4x

Korn/Ferry International

0,9x

0,9x

1,3x

1,2x

0,8x

8,3x

7,8x

9,6x

8,1x

10,2x

9,2x

11,1x

11,4x

9,8x

Monster Worldwide, Inc.

0,6x

0,5x

1,0x

1,1x

0,6x

5,3x

3,5x

13,6x

8,5x

3,9x

12,2x

6,7x

125,5x

21,9x

8,0x

Parity Group plc

0,2x

0,2x

0,2x

0,2x

0,3x

9,7x

19,6x

16,1x

17,2x

36,6x

13,3x

39,2x

21,9x

22,0x

54,5x

Poolia AB (publ)

0,0x

0,3x

0,3x

0,3x

0,2x

1,4x

11,6x

23,3x

36,4x

na

1,6x

13,7x

37,0x

na

Prime People Plc

0,6x

0,5x

0,9x

0,6x

0,4x

5,2x

4,5x

9,0x

7,6x

6,5x

5,6x

4,9x

10,1x

Randstad Holding NV

0,5x

0,5x

0,6x

0,5x

0,4x

10,1x

10,3x

14,9x

14,1x

11,9x

12,0x

12,8x

Robert Half International Inc.

0,7x

1,1x

1,6x

1,3x

1,1x

5,5x

8,7x

13,8x

12,4x

11,5x

6,1x

9,5x

Robert Walters PLC

0,3x

0,3x

0,4x

0,4x

0,3x

10,9x

8,4x

12,5x

15,1x

12,9x

12,5x

9,7x

SThree Plc.

0,7x

0,5x

0,6x

0,7x

0,7x

14,6x

9,1x

13,3x

19,8x

13,8x

15,3x

Synergie SA

0,3x

0,3x

0,3x

0,3x

0,1x

4,7x

6,0x

6,2x

7,2x

4,7x

TrueBlue, Inc.

0,2x

0,4x

0,5x

0,6x

0,5x

4,4x

8,2x

10,0x

11,4x

3,0x na

2,9x 0,1x

2,6x 0,1x

2,5x 0,1x

10,6x na

13,4x na

12,8x na

0,5x 0,4x

0,6x 0,4x

0,6x 0,4x

0,5x 0,4x

7,5x 6,4x

8,4x 8,3x

11,6x 11,6x

Willis Towers Watson Public Limited Company 2,2x na Work Group plc

Mean Median

0,5x 0,3x

2015

2014

2013

2012

na

na

22,5x

24,1x

25,1x

12,9x

12,8x

14,5x

16,6x

17,0x

4,9x

8,3x

6,5x

27,6x

9,1x

8,3x

9,0x

13,2x

16,4x

5,5x

na

na

12,9x

22,9x

9,5x

14,3x

15,2x

15,2x

19,3x

18,2x

23,5x

na

na

17,8x

10,3x

32,1x

46,9x

25,0x

17,5x

17,7x

41,1x

na

13,4x

27,7x

14,3x

13,3x

115,6x

43,7x

19,4x

20,3x

28,0x

na

4,0x

na

na

na

na

na

na

na

na

na

1,6x

15,5x

na

na

na

8,5x

7,3x

7,7x

6,8x

13,7x

13,9x

14,0x

20,4x

21,8x

23,2x

14,4x

16,8x

29,6x

32,4x

142,5x

15,2x

14,0x

13,0x

10,5x

16,1x

25,7x

23,0x

23,8x

14,7x

19,6x

17,5x

18,8x

15,8x

25,0x

37,5x

32,8x

9,5x

14,2x

22,3x

15,6x

25,0x

15,0x

26,0x

65,2x

25,0x

5,0x

6,4x

6,8x

8,0x

5,7x

7,4x

10,5x

10,3x

14,6x

13,3x

9,4x

6,2x

11,5x

13,4x

14,8x

12,7x

na

14,6x

16,3x

25,7x

23,3x

11,2x na

23,3x na

15,8x na

16,8x na

15,4x na

13,5x na

37,1x na

27,9x 2,6x

21,9x 1,2x

24,0x na

20,8x na

na na

13,0x 11,4x

11,2x 10,4x

9,1x 9,0x

10,7x 9,5x

19,4x 13,8x

14,8x 13,4x

15,3x 12,9x

19,5x 12,1x

14,7x 14,6x

20,5x 19,4x

23,9x 20,8x

27,2x 23,3x

9,5x

LTM

Source: Capital IQ (30/09/2016)

36

Section VI: Human Resources Services Companies Comparable M&A Transactions The median EV/EBIT and EV/EBITDA for the comparable Human Resources Services M&A transactions are 12.8x and 9.9x, respectively. Exhibit 15 Human Resources Services Comparable M&A Transactions (€ in millions except where mentioned in $) Date

Target Description

Bidder Company

Feb-16

Qualtech Resourcing Ltd.

UK-based company which provides industry specific recruitment services to organizations in the UK

Capital Outsourcing Group Ltd

Jan-16

Human Capital Group AB

Sweden-based company which provides recruitment services.

NGS Group AB (publ)

Jan-16

Aon Hewitt LLC, RPO Business

USA-based company which provides recruitment process outsourcing business.

PeopleScout Inc.

USA

Dec-15

Paladin Consulting, Inc.

USA-based company which provides permanent and temporary professional staffing services in the United States.

General Employment Enterprises Inc.

USA

Dec-15

The Bartech Group, Inc.

USA-based provider of workforce management and staff Impellam Group PLC augmentation solutions to Fortune 1000 companies and (AIM:IPEL) other users of non-employee labor and business process outsourcing.

USA

116

Dec-15

Operating Businesses in the UK, Hong Kong and USA

UK-based company which comprises businesses of providing employee recruitment services.

UK

3

Dec-15

The Bartech Group, Inc.

USA-based company which provides workforce Impellam Group PLC management and staff augmentation solutions to Fortune 1000 companies.

UK

116

Dec-15

Allied Healthcare International Inc. USA-based company which provides healthcare staffing Aurelius SE & Co. KGaA services to the healthcare and social care industry in the United Kingdom.

Germany

400

27

0,1x

Nov-15

Proffice AB (Publ)

Sweden-based company which provides staffing, recruitment, and outplacement assistance services for companies.

Randstad Nordic AB

Sweden

442

186

Oct-15

Miura Challendy CO.,LTD.

Japan-based company which provides employees staffing solutions.

Crie Anabuki Inc.

Japan

3

Oct-15

Access Data Consulting Corporation

USA-based company which provides systems outsourcing and information systems professionals to Fortune 500 clients.

General Employment Enterprises Inc.

USA

19

Sep-15

JobKorea Ltd.

South-Korea based company which operates online recruitment portal.

H&Q Korea Partners Co., Ltd

Sep-15

RiseSmart, Inc.

USA-based outplacement firm which provides Randstad Holding NV contemporary career transition services that strengthen employer brands, improve retention, and re-engage talent.

Sep-15

A+ Teachers Limited

UK-based company which provides education Servoca Plc recruitment services for teachers in the United Kingdom.

Aug-15

Yingjiesheng

China-based company which operates an online recruitment Website/job search portal that focuses on graduates and college students in China.

Capita Resourcing Ltd.; Capita International Limited

51job Inc.

Country

Revenue

Deal value Enterprise Value / (€m) Sales EBIT EBITDA

Target Company

UK

Sweden

9

8

7

0,9x

66

19

6

13

South Korea

75

Netherlands

89

UK

5

China

37

0,3x

19,1x

15,6x

0,4x

13,5x

12,5x

0,1x

6,6x

0,7x

6,0x

37

Section VI: Human Resources Services Companies Comparable M&A Transactions Exhibit 15 Human Resources Services Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Target Description

Bidder Company

Country

Aug-15

Bluefin Resources Pty Limited

Australia-based company which offers permanent and contract recruitment services.

Outsourcing, Inc.

Japan

Jul-15

Lighthouse Placement Services, LLC

USA-based company which provides staffing services for engineering and technical professionals.

Staffing 360 Solutions, Inc.

USA

14

6

0,4x

Jun-15

7S Group GmbH

Germany-based company which provides human resource services in Germany and internationally.

ManpowerGroup Inc.

USA

310

137

0,4x

Jun-15

Towers Watson & Co.

UK

3 272

7 807

2,2x

Jun-15

PT Monroe Consulting Group

USA-based company which offers risk management and Willis Group Holdings Plc human resource consulting services. (nka:Willis Towers Watson Plc) Indonesia-based company which offers executive Empresaria Group plc search and recruitment services.

UK

2

Jun-15

Speed Group AB

Sweden-based company which provides solutions in Ratos AB staffing, recruitment, production, education, logistics, and warehousing.

Sweden

45

35

1,1x

Jun-15

SKILLED Group Limited

Australia-based company which provides staffing and related solutions to the public and private sectors.

Programmed Maintenance Services Ltd.

Australia

1 379

400

0,3x

Jun-15

7S Group GmbH

Germany-based company which provides human resource services in Germany and internationally.

ManpowerGroup Inc.

USA

310

137

0,4x

May-15

CTC Aviation Group Ltd. (nka:L-3 UK-based company which provides airline pilot training L-3 Communications CTC Ltd.) and crew resourcing services. Holdings Inc.

USA

May-15

Creative Circle, LLC

USA-based company which is a specialized staffing company.

USA

May-15

McDowall Associates Human Resource Consultants Ltd.

Canada-based company which provides compensation Gallagher Benefit Services consulting services. (Canada) Group Inc.

Apr-15

Atterro, Inc.

USA-based company which offers specialty staffing, Advantage Resourcing contingent workforce solutions, and recruitment process America, Inc. outsourcing services.

Apr-15

A. Soriano Corp.

Philippines-based company which provides temporary Anscor Consolidated health-care staffing services in the United States and the Corporation Philippines.

Apr-15

Proffice Aviation AB

Sweden-based company which offers staffing services for the Norwegian airline.

Apr-15

Clarius Group Limited

Australia-based company which provides employment Ego Pty Ltd. services for businesses and government in Australia, New Zealand, and Asia.

Mar-15

Knightsbridge Human Capital Canada-based company which provides talent mobility Lee Hecht Harrison, LLC Management Inc. (nka:Lee Hecht solutions. Harrison Knightsbridge)

On Assignment Inc.

OSM Aviation AS

Revenue

Deal value Enterprise Value / (€m) Sales EBIT EBITDA

Target Company

13

13,2x

11,0x

2,5x

8,3x

8,1x

6,4x

200

203

Canada

534

2,6x

19,7x

35

0,1x

5,4x

4

USA

236

Philippines

117

Norway

32

5

0,2x

Australia

127

3

0,1x

USA

41

59

1,4x

3,8x

38

Section VI: Human Resources Services Companies Comparable M&A Transactions Exhibit 15 Human Resources Services Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Target Company

Target Description

Bidder Company

Country

Revenue

Deal value Enterprise Value / (€m) Sales EBIT EBITDA

Mar-15

Grasshopper Staffing Incorporated USA-based company which provides staffing solutions. Tomichi Creek Outfitters

USA

Mar-15

Payroll 1, Inc.

USA-based company which provides payroll processing and tax filing services for employers in the United States.

USA

Jan-15

Networkers International Plc

UK-based company which provides permanent and Matchtech Group Plc temporary recruitment services in Africa, Asia, Europe, the Middle East, and the Americas.

Jan-15

Chandler Macleod Group Limited Australia-based company which provides human resource outsourcing (HRO)

RGF Staffing Melbourne two Pty Ltd.

Jan-15

EmployBridge Holding Company USA-based company which offers staffing services.

Eastern Staffing, LLC

USA

Dec-14

Panasonic Excel Staff Co., Ltd.

Tempstaff Co., Ltd.

Japan

Dec-14

Independent Benefit Services, Inc. USA-based company which provides advisory services Arthur J Gallagher & Co. human resources (HR) practices in the United States.

USA

32

Dec-14

KDE Holding Corporation

Japan-based company which offers placement services Outsourcing, Inc. for construction engineers.

Japan

9

Dec-14

Employability & Skills Group Ltd.

UK-based company which provides training services in Interserve plc the areas of employability and skills for businesses and individuals.

UK

32

Dec-14

RIG Energy Limited

UK-based company is an engineering recruitment agency.

Ganymede Solutions Limited

UK

7

1

0,2x

Dec-14

Global Outreach Ventures, Inc.

USA-based company which operates as a career consultation company.

Professional Diversity Network, Inc.

USA

4

2

0,4x

Dec-14

Ryukosha Netware Inc.

Japan-based company which provides human resources outsourcing business for fields such as systems operation and service support.

Internet Initiative Japan Inc.

Japan

9

4

0,4x

Nov-14

HeadHunter Company

Russia

33

121

Nov-14

Lorien Resourcing Limited

Russia-based company which provides online Elbrus Capital Investment resources for job hunting and personnel hiring for mid- Adviser; Goldman Sachs level and top managers. European Special Situations Group UK-based company which provides technology Impellam Group PLC recruitment consultancy services and solutions for organizations in the United Kingdom.

UK

81

Oct-14

PRO Unlimited, Inc.

USA-based company which develops contingent Investcorp Bank B.S.C.; workforce management solutions for Global and Fortune Bahrain Mumtalakat Holding 500 companies worldwide. Company B.S.C.

Bahrain

238

Japan-based company which offers temporary staffing services.

Heartland Payment Systems, Inc.

27

UK

227

93

0,4x

10,1x

9,3x

Australia

965

274

0,3x

13,8x

11,2x

344

435

114

0,4x

4,2x

39

Section VI: Human Resources Services Companies Comparable M&A Transactions Exhibit 15 Human Resources Services Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Target Company

Target Description

Bidder Company

Oct-14

Avanti Staff Corp.

Japan-based company which offers temporary staffing services.

Hulic Co., Ltd.

Japan

126

Sep-14

Ergalis SAS

France-based company which offers temporary employment services banking and financing sectors.

LFPI Gestion

France

160

80

0,5x

Aug-14

Aus-Com Training Services Pty Ltd.

Australia-based company which specializes in facilitating BJC Heavy Industries Public training and assessment programs for personnel in the Company Limited mining and civil industry.

Thailand

1

1

1,2x

Aug-14

Hawksmoor Search Limited

UK-based executive search boutique.

The Caldwell Partners International Inc.

Canada

1

Aug-14

RogenSi Worldwide Pty Ltd.

Australia-based company which provides training and professional development services for leaders, managers, and business professionals.

TeleTech Holdings Inc.

USA

25

Jul-14

Personalhuset Staffing Group AS Norway-based company which provides tailor-made staffing and recruitment services in the Nordic region.

The Adolfsen Group

Norway

May-14

Jobsite UK (Worldwide) Ltd.

UK-based company which operates an online career portal that connects jobseekers with recruiters/hiring managers.

StepStone Deutschland GmbH

Germany

Apr-14

Kelly Group Limited

South Africa-based company which provides employment services primarily in South Africa.

Paracon Holdings Ltd.

South Africa

Feb-14

JobStreet.com Pte. Ltd. and Agensi Pekerjaan Js Staffing Services Sdn. Bhd. Multiple Technology MSC Sdn. Bhd.

JobStreet.com Pte. Ltd. and Agensi Pekerjaan JS Staffing Services Sdn.

SEEK Asia Investments Pte. Ltd.

Singapore

Malaysia-based company offering training services to organizations, organizing educational activities and distributing training material and products.

Eduspec Holdings Berhad (KLSE:EDUSPEC)

Malaysia

Oct-13

Work Express Sp. z o.o. (80% Stake)

Poland based provider of recruitment services

Work Service S.A.

Poland

10

Sep-13

The Work Connection, Inc.

US based company engaged in providing recruiting, staffing and screening solutions

TrueBlue, Inc.

USA

15

Sep-13

KGIC Education Group, Inc.

Canada based company engaged in operating schools Loyalist Group ltd and colleges

Sep-13

The British School of Guangzhou China based international school

Nord Anglia Education (UK) Holdings PLC

Aug-13

Pan Am International Flight Academy

Aug-13

Orane Consultants Pvt. Ltd.; India based companies offering recruitment services, NuGrid Consulting Pvt Ltd; Stanton retained executive search services in the areas of Chase Mumbai FS banking, financial services and insurance

Nov-13

US based company provides flight training for airlines and aviation professionals

Country

Canada

Revenue

Deal value Enterprise Value / (€m) Sales EBIT EBITDA

Date

100

0,1x

42

3,7x

0,4x

110

104

19

0,1x

11,1x

8,9x

0,8x

7,7x

-

460

1

18

1

10

UK

21

ANA Holdings Inc.

Japan

105

RGF HR Agent India Private Limited

India

19

0,5x

40

Section VI: Human Resources Services Companies Comparable M&A Transactions Exhibit 15 Human Resources Services Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Target Company

Target Description

Bidder Company

Aug-13

ATC Group B.V.

Netherlands based company engaged in providing financial training services

Intertrust Group Holding S.A.

Aug-13

TrainSignal, Inc.

US based online training resource for serious IT professionals

Jul-13

Job Board Enterprises Limited

Jul-13

Country

Revenue

Deal value Enterprise Value / (€m) Sales EBIT EBITDA

Netherlands

303

Pluralsight LLC

USA

18

UK based provider of information technology (IT) recruitment services

Dice Holdings, Inc.

USA

6

9

1,6x

Informa Group Plc (Five Corporate Training businesses)

Switzerland based corporate training businesses of Informa Group Plc

Providence Equity Partners LLC

USA

147

137

1,3x

Jul-13

Nigel Frank International Limited (Undisclosed Stake)

UK based company engaged in providing recruitment services

ISIS Equity Partners LLP

UK

Jul-13

Fortune Industries, Inc.

US based holding company that provides full service human resources outsourcing services

CEP, Inc.

USA

44

13

0,3x

May-13

Prospero Learning Solutions Inc. Canada based company engaged in providing custom GP Strategies Corporation learning and content development solutions

USA

5

8

1,5x

May-13

Jobboom Inc.; Reseau Contact

Canada based company engaged in online dating services; Canada based company engaged in online recruitment services

Mediagrif Interactive Technologies Inc

Canada

Apr-13

Intelligence Holdings, Ltd.

Japan based recruitment, human resources services company in Japan as well as permanent placement services In China and South East Asia

Temp Holdings Co Ltd

Japan

632

554

1,0x

13,5x

Apr-13

Centre for Investor Education Pty Australia Based company providing investment forums Euromoney Institutional Ltd. (75% Stake) and training modules for pension funds, institutional Investor Plc investment bodies and entities operating in the financial services market

UK

3

11

4,5x

12,8x

2,4x 0,5x

21,5x 12,8x

11,0x

10,4x

26

9,3x

7,0x

48

Average Median

Source: Capital IQ , Merger Market

12,5x

14,2x 9,9x

41

Section VII: Waste Management Services Companies Comparable Public Company Valuations The Knowledge Centre’s Waste Management comparable public company analysis involves 23 publicly traded Waste Management & 7 Recycling companies (Exhibits 16 and & 17). The median EBIT and EBITDA margins for the Waste Management industry are 6.7% and 16.5%, respectively. The median EV/EBIT and EV/EBITDA for the Waste Management industry are 16.5x and 9.0x, respectively. The median EBIT and EBITDA margins for the Recycling industry are 0.3% and 4.1%, respectively. The median EV/EBIT and EV/EBITDA for the Recycling industry are 13.8x and 7.4x, respectively. Exhibit 16 Waste Management & Recycling Comparable Company Profit Trends (€ in millions)

EBITDA / Sales

Waste Management Company Name

Country Last Year

Sales (Last)

%EBITDA (Last)

%EBIT (Last)

Market Enterpris cap. e Value (Current) (Current)

LTM

2015

2014

2013

EBIT / Sales 2012

LTM

2015

2014

2013

2012

ALBA SE

GE

31/12/15

1 356

1%

1%

486

476

0,8%

1,4%

1,0%

-0,2%

0,8%

0,0%

0,6%

0,1%

-1,2%

-0,1%

Augean plc

UK

31/12/15

69

19%

11%

59

74

19,2%

19,4%

17,9%

17,9%

21,4%

10,2%

11,0%

11,0%

11,8%

12,5%

Casella Waste Systems Inc.

US

31/12/15

488

17%

5%

350

799

18,0%

16,7%

17,4%

16,0%

18,6%

6,7%

5,2%

6,1%

3,9%

6,6%

Clean Harbors, Inc.

US

31/12/15

2 922

15%

7%

2 416

3 561

14,7%

15,1%

15,0%

14,2%

16,9%

5,1%

6,7%

6,9%

6,7%

9,5%

Cleanaway Waste Management Limited

AU

30/06/16

1 521

18%

7%

1 263

1 957

17,5%

17,5%

15,4%

24,0%

21,3%

6,6%

6,6%

5,6%

7,8%

8,9%

Covanta Holding Corporation

US

31/12/15

1 415

22%

10%

1 786

4 095

21,3%

22,1%

27,1%

29,2%

30,4%

8,7%

9,6%

13,8%

15,4%

17,0%

Fomento de Construcciones y Contratas, S.A. SP

31/12/15

6 508

13%

6%

2 266

6 770

12,8%

12,8%

12,8%

7,3%

11,1%

5,7%

6,1%

6,4%

1,0%

4,5%

Gruppo Waste Italia S.p.A.

IT

31/12/15

119

16%

-1%

114

227

14,5%

15,9%

17,7%

23,9%

6,6%

-6,8%

-1,3%

-3,3%

9,2%

2,9%

Groupe Pizzorno Environnement

FR

31/12/15

222

17%

4%

82

129

17,0%

16,7%

15,3%

16,9%

17,3%

4,4%

4,5%

3,5%

5,7%

6,6%

Heritage-Crystal Clean, Inc

US

02/01/16

312

7%

2%

265

304

6,9%

7,3%

4,7%

6,5%

5,0%

2,0%

2,4%

0,9%

3,1%

1,8%

Lassila & Tikanoja Oyj

FI

31/12/15

646

14%

8%

664

752

13,6%

13,9%

13,8%

12,8%

12,8%

7,6%

7,7%

7,5%

6,6%

6,5%

Newalta Corporation

CA

31/12/15

222

18%

-1%

90

296

12,0%

17,8%

24,7%

24,4%

17,9%

-11,7%

-0,8%

13,1%

13,8%

9,3%

Perma-Fix Environmental Services Inc.

US

31/12/15

56

8%

2%

53

64

3,1%

7,7%

5,1%

-4,6%

-2,0%

-3,3%

1,7%

-2,4%

-8,5%

-3,5%

Promotora Ambiental SAB de CV

MX

31/12/15

158

18%

7%

140

196

18,0%

17,7%

15,0%

18,3%

21,1%

7,5%

7,5%

6,3%

7,3%

7,4%

Republic Services, Inc.

US

31/12/15

11 292

28%

17%

10 630

16 729

27,9%

28,1%

25,7%

27,7%

28,2%

16,4%

16,6%

14,5%

16,3%

16,8%

Séché Environnement SA

FR

31/12/15

465

16%

8%

247

551

16,5%

16,0%

13,2%

13,7%

14,1%

8,1%

8,5%

6,1%

6,9%

6,8%

Shanks Group plc

UK

31/03/16

699

11%

5%

472

788

10,8%

10,8%

11,5%

14,0%

10,7%

4,9%

4,9%

5,0%

6,9%

3,3%

Stericycle, Inc.

US

31/12/15

2 664

23%

18%

6 282

9 058

21,3%

22,6%

26,8%

29,6%

28,9%

15,3%

18,3%

22,7%

25,5%

24,9%

SUEZ SA

FR

31/12/15

15 135

14%

7%

7 831

18 502

13,9%

14,2%

14,0%

15,0%

14,4%

7,0%

7,2%

6,9%

7,9%

7,5%

US Ecology, Inc.

US

31/12/15

699

22%

14%

701

635

22,8%

22,1%

25,5%

35,0%

33,9%

15,1%

14,1%

17,6%

26,3%

24,0%

Veolia Environnement S.A.

FR

31/12/15

24 965

10%

5%

7 001

16 584

10,3%

10,0%

9,6%

9,0%

8,8%

5,0%

4,8%

4,2%

3,5%

3,8%

Waste Connections US, Inc.

US

31/12/15

na

33%

21%

0

1 859

32,2%

33,5%

34,3%

33,9%

31,4%

19,0%

20,8%

21,9%

21,3%

19,7%

Waste Management, Inc.

US

31/12/15

16 091

26%

16%

16 965

26 767

27,2%

26,1%

25,3%

24,3%

24,2%

16,9%

16,0%

14,1%

14,7%

14,7%

16,2% 16,5%

16,7% 16,7%

16,9% 15,3%

17,8% 16,9%

17,1% 17,3%

6,5% 6,7%

7,8% 6,7%

8,2% 6,4%

9,2% 7,3%

9,2% 7,4%

Mean Median

Source: Capital IQ (30/09/2016)

42

Section VII: Waste Management Services Companies EBITDA / Sales

Recycling %EBITDA (Last)

%EBIT (Last)

Market Enterprise cap. Value (Current) (Current)

Country

Last Year

Sales (Last)

ALBA SE

GE

31/12/15

1 356

1%

1%

486

Aurea SA

FR

31/12/15

176

5%

2%

59

Commercial Metals Company

US

31/08/15

5 343

8%

6%

Daiseki Co. Ltd.

JN

29/02/16

438

21%

Derichebourg

FR

30/09/15

2 356

Industrial Services of America, Inc.

US

31/12/15

41

Sims Metal Management Limited

US

30/06/16

3 172

2%

Company Name

EBIT / Sales

LTM

2015

2014

2013

2012

2011

LTM

2015

2014

2013

2012

476

0,8%

1,4%

1,0%

-0,2%

0,8%

1,9%

0,0%

0,6%

0,1%

-1,2%

-0,1%

57

4,1%

5,3%

5,0%

5,0%

6,7%

6,2%

0,3%

1,8%

1,5%

1,7%

3,4%

1 615

2 147

9,0%

7,8%

5,5%

5,2%

4,9%

3,8%

6,3%

5,5%

3,5%

3,2%

3,1%

15%

726

555

22,1%

20,9%

19,5%

21,5%

20,1%

20,5%

15,7%

15,5%

16,0%

17,3%

15,0%

5%

2%

445

723

5,1%

5,2%

1,7%

2,2%

-12%

-18%

12

17

-1%

1 325

1 154

Mean Median

-10,3% -12,4%

4,5%

4,7%

4,8%

7,3%

1,6%

1,0%

2,1%

-4,7%

-2,8%

1,3%

0,2%

-17,4% -17,5%

-7,2%

-5,7%

-0,9%

1,6%

1,6%

4,0%

3,3%

-0,3%

1,6%

-1,1%

-1,1%

2,0%

1,5%

-2,0%

4,6% 4,1%

4,2% 5,2%

5,0% 4,5%

5,3% 4,7%

5,5% 4,8%

5,9% 3,8%

0,8% 0,3%

1,0% 1,8%

2,5% 1,6%

2,5% 1,5%

2,9% 2,1%

2014

2013

2012

Source: Capital IQ (30/09/2016)

Comparable Public Company Valuations Exhibit 17 Waste Management Public Company Valuation Trends (€ in millions) EV/Net Sales

Waste Management Company Name

LTM

2015

2014

ALBA SE

0,5x

0,4x

Augean plc

1,0x

0,9x

Casella Waste Systems Inc.

1,6x

Clean Harbors, Inc.

EV/EBITDA

2013

2012

LTM

2015

2014

0,4x

na

0,4x

56,9x

28,6x

1,0x

1,2x

1,2x

5,1x

4,4x

1,5x

1,4x

1,4x

1,6x

9,0x

1,4x

1,2x

1,3x

1,3x

2,1x

9,2x

Cleanaway Waste Management Limited 1,4x Covanta Holding Corporation

EV/EBIT

2013

2012

38,8x

na

5,7x

6,9x

8,9x

7,9x

8,1x

8,8x

PER

LTM

2015

2014

2013

44,2x

na

62,3x

309,0x

na

5,5x

9,5x

7,7x

9,2x

10,4x

8,8x

8,7x

24,2x

28,7x

22,5x

35,9x

8,9x

12,3x

26,4x

18,2x

19,2x

2012

LTM

2015

na

65,6x

47,9x

na

na

18,9x

9,3x

141,8x

29,2x

10,0x

na

18,3x

24,4x

na

na

na

na

na

19,0x

21,7x

113,3x

63,8x

na

35,3x

26,0x

1,5x

1,0x

1,0x

1,9x

7,8x

8,3x

6,4x

4,2x

9,1x

20,6x

22,0x

17,5x

13,1x

21,9x

27,0x

40,1x

na

48,8x

na

2,8x

2,9x

3,2x

3,0x

3,2x

13,2x

13,1x

11,8x

10,1x

10,7x

32,4x

30,2x

23,1x

19,2x

19,1x

43,4x

32,5x

na

na

22,3x

Fomento de Construcciones y Contratas, S.A. 1,3x

1,3x

1,5x

1,5x

1,1x

10,0x

9,9x

12,1x

21,1x

10,4x

22,3x

20,7x

24,0x

147,6x

25,2x

161,7x

na

na

na

na

Gruppo Waste Italia S.p.A.

2,0x

2,2x

6,7x

2,4x

0,9x

13,7x

13,9x

38,1x

10,2x

13,0x

na

na

na

26,5x

29,7x

na

na

na

36,2x

46,8x

Groupe Pizzorno Environnement

0,6x

0,6x

0,6x

0,7x

na

3,8x

3,5x

4,2x

4,1x

na

14,5x

12,8x

18,2x

12,3x

na

11,8x

10,4x

na

16,3x

13,5x

Heritage-Crystal Clean, Inc

1,0x

0,8x

1,0x

1,1x

0,9x

14,5x

11,1x

21,0x

17,4x

18,5x

50,6x

33,9x

112,8x

36,3x

51,3x

na

187,9x

na

70,2x

116,1x

Lassila & Tikanoja Oyj

1,2x

1,1x

1,2x

1,0x

0,9x

8,5x

7,8x

8,6x

7,5x

6,9x

15,4x

14,1x

15,8x

14,6x

13,6x

16,2x

15,8x

38,1x

25,1x

14,7x

Newalta Corporation

2,1x

1,3x

2,7x

3,6x

1,5x

17,9x

7,4x

10,8x

14,9x

8,2x

na

na

20,3x

26,2x

15,9x

na

na

na

51,5x

17,4x

Perma-Fix Environmental Services Inc.

1,3x

0,8x

0,9x

0,9x

0,4x

40,6x

10,9x

17,6x

na

na

na

50,0x

na

na

na

na

na

na

na

na

Promotora Ambiental SAB de CV

1,2x

1,1x

1,0x

1,1x

1,1x

6,9x

6,4x

6,5x

6,1x

5,4x

16,5x

15,1x

15,5x

15,3x

15,2x

20,1x

20,7x

38,7x

32,9x

39,9x

Republic Services, Inc.

1,7x

2,6x

2,5x

2,3x

2,3x

5,9x

9,3x

9,6x

8,3x

8,3x

10,1x

15,7x

17,1x

14,0x

13,9x

11,7x

21,6x

26,2x

21,1x

21,0x

Séché Environnement SA

1,2x

1,1x

1,1x

1,1x

1,0x

7,1x

6,9x

8,3x

8,1x

7,4x

14,4x

13,1x

18,1x

16,2x

15,5x

15,8x

13,4x

28,2x

34,2x

na

Shanks Group plc

1,1x

1,1x

1,3x

1,2x

1,0x

10,4x

10,2x

11,2x

8,5x

9,6x

23,0x

22,5x

25,8x

17,1x

30,9x

na

na

na

na

na

Stericycle, Inc.

3,0x

4,6x

5,3x

5,2x

5,5x

14,0x

20,6x

19,7x

17,5x

19,1x

19,5x

25,4x

23,2x

20,3x

22,1x

25,3x

40,1x

36,2x

31,0x

34,3x

SUEZ SA

1,2x

1,2x

1,3x

1,2x

1,0x

8,7x

8,8x

9,3x

7,9x

6,6x

17,2x

17,1x

18,9x

15,0x

12,7x

17,8x

21,5x

22,3x

20,9x

20,6x

US Ecology, Inc.

0,9x

2,1x

3,2x

4,1x

3,0x

4,1x

9,7x

12,6x

11,6x

9,0x

6,2x

15,1x

18,2x

15,4x

12,7x

16,6x

36,1x

28,0x

27,7x

18,6x

Veolia Environnement S.A.

0,6x

0,8x

0,8x

0,7x

0,7x

6,2x

8,4x

8,6x

8,3x

8,5x

12,8x

17,6x

19,6x

21,3x

19,8x

20,1x

25,7x

42,4x

na

12,5x

Waste Connections US, Inc.

0,9x

1,0x

1,0x

1,0x

1,3x

2,8x

2,9x

2,8x

3,1x

4,1x

4,7x

4,7x

4,4x

4,9x

6,5x

na

na

0,0x

0,0x

0,0x

Waste Management, Inc.

1,8x

2,7x

2,4x

2,2x

2,1x

6,8x

10,5x

9,4x

9,0x

8,7x

10,8x

17,1x

16,9x

14,9x

14,4x

11,7x

34,3x

18,8x

202,0x

22,2x

1,4x 1,2x

1,5x 1,2x

1,9x 1,3x

1,8x 1,2x

1,6x 1,2x

12,3x 8,7x

10,0x 8,9x

12,6x 9,4x

9,6x 8,5x

11,1x 8,7x

18,5x 16,5x

22,1x 17,6x

36,6x 18,9x

24,6x 16,2x

19,8x 17,5x

45,0x 20,1x

40,1x 30,8x

26,3x 28,0x

43,6x 32,9x

27,3x 20,6x

Mean Median

Source: Capital IQ (30/09/2016)

43

EV/Net Sales

Recycling Company Name

LTM

2015

2014

ALBA SE

0,5x

0,4x

Aurea SA

0,3x

0,4x

Commercial Metals Company

0,5x

Daiseki Co. Ltd.

EV/EBITDA

2013

2012

LTM

2015

2014

0,4x

na

0,4x

56,9x

28,6x

0,4x

0,4x

0,3x

8,4x

6,8x

0,4x

0,4x

0,5x

0,3x

5,5x

1,4x

1,5x

2,0x

1,5x

1,6x

Derichebourg

0,3x

0,3x

0,3x

0,4x

Industrial Services of America, Inc.

0,6x

0,4x

0,4x

0,4x

Sims Metal Management Limited

0,4x

0,4x

0,3x

0,6x 0,5x

0,5x 0,4x

0,6x 0,4x

Mean Median

EV/EBIT

2013

2012

LTM

2015

2014

38,8x

na

7,9x

8,0x

44,2x

na

62,3x

309,0x

3,9x

102,6x

19,7x

27,3x

5,4x

7,7x

9,6x

7,2x

7,9x

7,6x

12,2x

6,1x

7,0x

10,2x

7,0x

8,0x

8,6x

9,4x

0,4x

6,5x

0,2x

na

5,9x

6,8x

8,5x

9,0x

19,0x

na

na

na

17,6x

na

0,3x

0,3x

22,6x

22,7x

6,9x

9,4x

na

0,6x 0,4x

0,5x 0,3x

17,7x 7,4x

12,7x 6,9x

13,1x 7,8x

8,5x 8,5x

15,0x 8,5x

PER

2013

2012

LTM

2015

2014

2013

2012

na

na

65,6x

47,9x

24,1x

7,7x

56,3x

41,1x

na

na

18,9x

13,2x

41,2x

15,9x

11,4x

13,9x

11,7x

16,3x

29,8x

24,3x 7,9x

12,5x

8,7x

10,7x

21,3x

24,3x

27,1x

20,7x

24,2x

14,2x

19,0x

41,5x

20,1x

28,6x

16,8x

na

na

12,2x

na

na

na

na

27,8x

na

na

na

na

na

na

13,3x

20,5x

na

na

na

18,5x

na

na

34,5x 13,8x

22,6x 14,2x

65,5x 16,1x

22,1x 20,5x

12,4x 11,0x

35,6x 28,2x

28,4x 24,3x

18,8x 17,4x

30,6x 29,8x

17,5x 18,9x

Source: Capital IQ (30/09/2016)

44

Section VII: Waste Management Services Companies Comparable M&A Transactions The median EV/EBIT and EV/EBITDA for the comparable Waste Management M&A transactions are 15.3x and 6.4x, respectively. Exhibit 18 Waste Management Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Deal value Date

Target Description

Bidder Company

Dec-15

M2 Renewables. Inc.

UK-based company engaged in the treatment of domestic wastewater

Hydro International plc (AIM:HYD)

UK

50

10

Nov-15

Gateway Rolloff Services. L.P.

USA-based company providing waste management services in the United States

National Waste Management Holdings. Inc.

USA

2

3

1,5x

Nov-15

Rock River Environmental Services. Inc.

USA-based company providing waste disposal and composting, waste hauling and recycling, in northern Illinois.

Waste Connections Inc. (NYSE:WCN)

USA

62

207

3,0x

Oct-15

Waste Recovery Enterprises. LLC USA-based company providing waste processing and National Waste Management disposal services Holdings. Inc.

USA

1

5

Oct-15

Christian Disposal. LLC

USA-based company providing solid waste collection

Meridian Waste Solutions. Inc. (OTCPK:MRDN)

USA

Aug-15

Guangzhou LvYou Industrial Waste Recycling and Treatment Co., Ltd. Johnson Cleaning Services Co. Ltd.

China-based company engaged in the recycling, disposal and utilization of industrial wastes

CT Environmental Group Limited

China

14

82

Hong Kong

5

27

Aug-15

Hong Kong-based company providing cleaning and iOne Holdings Ltd waste management services in Hong Kong and China. (SEHK:982); Hong Kong Huafa Investment Holdings Ltd

Country

Revenue

(€m)

Enterprise Value /

Target Company

Sales

EBIT

EBITDA

29,7x

29,7x

3,4x

135,7x

25,0x

1,4x

16,9x

17

Jul-15

EGF - Empresa Geral de Fomento Portugal-based company engaged in waste SA (95% Stake) management

Urbaser S.A.; Mota-Engil SGPS SA

Spain

150

Jun-15

MS. Industrial Services Limited

UK-based company providing environmental waste management and inspection services

Primary Capital Limited

UK

27

Jun-15

ECO Industrial Environmental Engineering Pte Ltd.

Singapore-based company providing waste management services

Beijing Capital (Hong Kong) Limited

Hong Kong

35

163

Jun-15

Ladurner Ambiente SpA

Italy-based company designing. building. and operating plants for treating of municipal solid waste, civil and industrial wastewater producing energy from solid and liquid waste and agricultural biomass.

China

65

66

May-15

Advanced Waste Services. Inc.

USA-based company providing hazardous and nonhazardous waste collection and recycling

Zoomlion Heavy Industry Science and Technology Co.. Ltd. (SZSE:000157); Mandarin Capital Management SA; China Development Bank Capital Corporation Ltd. Corporation Covanta Holding

USA

43

(NYSE:CVA)

May-15

Altergis SAS

France-based company which provides energy, climatic, and environmental services.

Veolia Environnement S.A.

Apr-15

North Maine Utilities

USA-based water and wastewater treatment facility

Aqua Illinois, Inc.

Mar-15

Indaver N.V.

Belgium-based company providing waste management Katoen Natie NV services for industrial businesses and public authorities in Belgium.NL, Ireland. Germany. UK. Italy. and Portugal.

France

70

USA Netherlands

50

0,7x

16 519

607

1,4x

14,2x

6,4x

45

Section VII: Waste Management Services Companies Comparable M&A Transactions Exhibit 18 Waste Management Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Deal value Date

Target Description

Feb-15

Shanghai Biofit Environmental Technology Co., Ltd.

China-based company engaged in organic wastewater Xi Hua Shanghai Investment treatment, sludge treatment and disposal Management Company Ltd

China

Feb-15

Thermo Fluids. Inc.

USA-based company providing environmental and oil recycling services in the Western United States.

Safety-Kleen. Inc.

USA

74

Jan-15

BCG NZ Investment Holding Limited

New Zealand-based company offering collection and treatment of solid and liquid waste.

Beijing Capital (Hong Kong) Limited

Hong Kong

242

Dec-14

Essencis Soluções Ambientais S.A.

Brasil-based company providing waste management and treatment, and environmental recovery solutions.

Solví Participações S.A.

Brazil

156

3,3x

Nov-14

Ecoenergy Srl

Italy-based company engaged in the collection of recoverable residues, and grading and treating of special wastes

Herambiente Recuperi Srl

Italiy

11

1,0x

Nov-14

CITIC Envirotech Ltd. (SGX:U19) Singapore-based company providing environmental engineering services in China, UK and Malaysea

China

1 417

6,2x

24,1x

21,1x

Nov-14

Geotea S.p.A.

KKR China Water Investment Holdings Ltd; CITIC Environment Protection Co. Waste Italia S.p.A.

Italy

84

2,6x

12,2x

5,7x

Oct-14

Guangzhou Lvyou Industrial China-based company which collects, treats, recycles, Waste Recycle And Treatment Co disposes, and utilizes industrial wastes Ltd

Guangzhou Xintao Wastewater Treatment Company Limited

China

82

Oct-14

Deffenbaugh Disposal. Inc.

USA-based company which offers commercial and Waste Management residential waste disposal, collection, and transportation Holdings. Inc. services.

USA

322

Sep-14

Dongguan Fenggang Yantian Fangzhong Water Services Co., Ltd.

China-based company engaged in providing wastewater treatment services

China

10

Jul-14

Wheelabrator Technologies Inc.

USA-based company which develops, owns, and Granite Acquisition. Inc. operates energy-from-waste facilities in North America, Europe, and China.

USA

1 446

2,3x

Jul-14

Fanhe (Hulu Island) Water Investment Co.. Ltd

China-based company offering sewage treatment services.

Beijing Capital Co..Ltd (SHSE:600008)

China

12

3,1x

Jul-14

Guodian Langxinming Puyang Water Co.. Ltd.

China-based company which constructs and operates waste water treatment plants.

China

7

Jul-14

SIA Vides Konsultaciju BirojsServiss

Latvia-based company providing environmental consulting, tank cleaning, and hazardous waste handling services.

Chongqing Kangda Environmental Protection Industry (Group) Co.. Ltd. Ragn-Sells AS

Estonia

2

Jun-14

Veolia E.S. Matières Résiduelles Inc.

Canada-based company offering services for collection, Services Matrec Inc. transportation, disposal and recycling of trash and industrial waste to municipalities.

Canada

17

Italiy-based company operating non-hazardous industrial waste treatment and disposal and bio gas plants.

Bidder Company

SIIC Environment Holdings (Weifang) Co., Ltd.

Country

Revenue 6

(€m)

Enterprise Value /

Target Company

5

Sales

EBIT

EBITDA

0,7x

0,8x

5,0x

46

Section VII: Waste Management Services Companies Comparable M&A Transactions Exhibit 18 Waste Management Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Deal value Date

Target Company

Target Description

Bidder Company

Apr-14

Qingyuan Luyou Environmental Protection Technology Co. Ltd

China-based company engaged in the treatment of municipal and industrial sludge and solid waste

CT Environmental Group Limited

Apr-14

Tri-Line Disposal Inc. and Deuce Canada-based company providing waste collection and GFL Environmental Inc. Disposal Ltd. recycling servcies for customers throughout the greater Edmonton area.

Apr-14

Nanchang Xinguan Energy China-based company providing waste disposal Development Co.. Ltd. and Hefei services. Xinguan Energy Development Co.. Ltd.

Apr-14

Country

Revenue

(€m)

Enterprise Value / Sales

China

15

Canada

47

Shenzhen Dongjiang Environmental Renewable Energy Company Limited

China

11

Screwbean Landfill. LLC and S.A. USA-based company operating and managing waste Dunn & Company. LLC landfills.

R3 Treatment Inc.

USA

22

Apr-14

Stericycle Environmental Solutions. Inc.

USA-based company offering recycling, industrial cleaning, and environmental services.

Stericycle. Inc. (NasdaqGS:SRCL)

USA

227

Apr-14

Sostenya Plc

UK-based company providing waste management and Gruppo Waste Italia S.p.A. disposal services in Italy. (BIT:WIG)

Italia

59

0,7x

Mar-14

SteriHealth Limited

Australy-based company provides medical waste collection and disposal services in Australia.

Australia

31

1,1x

Mar-14

Beijing Capital Waste Management New Zealand-based company engaged in the Beijing Capital Group Co.. NZ Ltd. collection, transportation, treatment, and disposal of solid Ltd. residential, commercial, in New Zealand.

China

578

Feb-14

Newpark Environmental Services. USA-based company providing waste management L.P. solutions.

Ecoserv. LLC

USA

73

Feb-14

UAB Ecoservice

Lithuania-based company specialising in waste management

AS BaltCap

Estonia

15

Jan-14

Shenzhen City Li Sai Industrial Development Limited

China-based company offering treatment of domestic wastewater, pollution and noise

New China Water (Nanjing) Renewable Resources Investment Company Ltd Star Atlantic Waste Holdings. L.P. USA-based company which offers solid waste collection, BTG Pactual Group treatment and disposal services. (BOVESPA:BBTG11)

China

7

Brazil

68

Nov-13

Dale Service Corporation

USA

21

Nov-13

Hunan Renhe Huiming China-based company owning and operating domestic Jiangsu WELLE Environmental Technology Limited waste landfill sites. Environmental Co..Ltd (SZSE:300190) Inutec Limited UK-based company providing integrated radioactive Tradebe S.a.r.l waste management and decommissioning services in the UK and internationally.

China

8

France

10

Singapore

4

Dec-13

Nov-13

Oct-13

Sembramky Environmental Management Private Limited

Catilina Nominees Proprietary Limited

USA-based company engaged in providing wastewater Virginia-American Water collection and treatment services Company

India-based company operating biomedical waste Ramky International treatment facilities and providing collection and treatment (Singapore) Pte Limited services.

EBIT

EBITDA

3,6x

1,7x

8,8x

5,4x

47

Section VII: Waste Management Services Companies Comparable M&A Transactions Exhibit 18 Waste Management Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Deal value Date

Target Company

Target Description

Bidder Company

Country

Oct-13

Beijing CM Environmental Engineering Co. Ltd

China-based waste water treatment company

Luoyang Longhua Heat Transfer & Energy Conservation Co Ltd

China

Sep-13

Evergreen Oil, Inc.

USA-based company engaged in collecting, handling, and recycling of automotive and industrial wastes

Clean Harbors, Inc.

USA

Sep-13

OSS Group, Ltd.

UK-based company engaged in the waste oil and hazardous waste collection, and oil recycling activities

Hydrodec Group Plc

Australia UK USA

Sep-13

Tomoe Corporation

Japan-based company engaged in the collection, transportation, and treatment of industrial wastes

Natoco Co.. Ltd. (JASDAQ:4627)

Sep-13

Revenue 33

(€m) 60

Enterprise Value / Sales 1,7x

EBIT 11,7x

0,2x

Japan

8

0,4x

3,8x

AMGA Azienda Multiservizi S.p.A Italy-based company distributing gas, electricity, and Hera S.p.A. (BIT:HER) water in the unicipality of Udine and surrounding areas.

Italy

184

1,5x

15,3x

Aug-13

Terra Renewal Services, Inc.

USA-based non-hazardous waste management company

Darling International Inc.

USA

90

Aug-13

Rothsay Ltd.

Canada-based company engaged in the collection, processing and recycling of animal by-products

Darling International Inc.

USA

462

Aug-13

Oilfield Water Lines LP

USA-based company providing water disposeal services

NGL Energy Partners LP

USA

225

Aug-13

AVR-Afvalverwerking B.V.

Netherlands-based company engaged in the business Consortium led by Cheung of waste processing and production and supply of Kong Infrastructure Holdings renewable energy from the incineration of waste Limited

HongKong

944

Jul-13

Sims Metal Management Limited USA-based scrap metal facility in Mississippi and auto (Scrap Metal Facility in Mississippi) shredder in Birmingham

USA

9

Sep-13

Evergreen Oil, Inc.

US-based company engaged in collecting, handling, and recycling of automotive and industrial wastes

USA

45

Sep-13

OSS Group, Ltd.

UK-based company engaged in the waste oil and hazardous waste collection, and oil recycling activities

Aug-13

Terra Renewal Services, Inc.

US-based non-hazardous waste management company Darling International Inc.

USA

90

Aug-13

Rothsay Ltd.

Canada-based company engaged in the collection, processing and recycling of animal by-products

USA

462

Aug-13

Oilfield Water Lines LP

US-based company providing water disposeal services NGL Energy Partners LP

USA

225

Jul-13

Befesa Medio Ambiente, S.A.

Spain-based company engaged in steel waste recycling, aluminum waste recycling, and industrial waste management activities

Germany UK Sweden

1 075

Hydrodec Group Plc

Darling International Inc.

Triton Partners

Australia UK USA

11,3x

45

6

Steel City Recycling, LLC; Virtual Realty Enterprises, LLC Clean Harbors, Inc.

EBITDA

35

35

6

4,7x

6,4x

7,2x

0,2x

4,7x

7,2x

48

Section VII: Waste Management Services Companies Comparable M&A Transactions Exhibit 18 Waste Management Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Deal value Date

Target Company

Target Description

Bidder Company

Country

Jun-13

AVE Osterreich GmbH (Eastern European Assets)

Czech Republic, Slovakia, Hungary, Romania, Moldova, and Ukraine-based assets of Austrian recycling group AVE

EP Industries, a.s.

Czech Republic

Jun-13

Proactiva Medio Ambiente, S.A. (50% Stake)

Spain-based company engaged in providing waste and Veolia Environnement SA water management services

Jun-13

TERRA Recycling S.A. (50.83% Poland-based company engaged in treatment of waste Elemental Holding S.A. Stake) electrical and electronic equipment

Poland

6

May-13

Benev Capital Inc. (Waste Treatment Plant)

Canada-based waste treatment plant of Benev Capital Inc.

8439117 Canada Inc.

Canada

6

May-13

EnergySolutions, Inc.

USA-based provider of integrated technologies and services focused on decommissioning and decontamination

Energy Capital Partners

May-13

Predpriyatie ZhKKh OOO

Russia-based waste disposal and utilization company

Apr-13

Synagro Technologies, Inc.

USA-based company provides waste capture and conversion services to municipal and industrial water and wastewater facilities

Apr-13

County Waste of Virginia LLC (Undisclosed stake)

Apr-13

KL Resources Pte Ltd (40% Stake)

USA-based waste and recycling company engaged in Clairvest Equity Partners IV providing residential, commercial, industrial, and Ltd Partnership; Clairvest construction and demolition waste collection Equity Partners IV-A Ltd Partnership Singapore-based based company engaged in recycling Tansfield Limited of waste paper and processing business

Apr-13

EnviroWaste Services Limited

France

Revenue

Enterprise Value / Sales

EBIT

EBITDA

108

540

209

0,8x

USA

1 369

778

0,6x

RT-Invest OOO

Russia

30

31

1,0x

EQT Infrastructure II

Sweden

350

Canada

12

British Virgin Islands

8

Hong Kong

307

New Zealand-based company provides waste Cheung Kong Infrastructure management and recycling services to communities and Holdings Limited businesses

Average Median

Source: Capital IQ , Merger Market

(€m)

1,7x 1,3x

4,4x

25,5x

8,5x

27,1x 15,3x

9,7x 6,4x

49

Section VIII: Consulting Services – Excluding IT Comparable Public Company Valuations The Knowledge Centre’s Consulting Services comparable public company analysis involves 17 publicly traded Consulting Services companies (Exhibits 19 and 20). The median EBIT and EBITDA margins are 9.5% and 10.2%, respectively. The median EV/EBIT and EV/EBITDA are 13.9x and 11.2x, respectively. Exhibit 19 Consulting Services Comparable Company Profit Trends (€ in millions) EBITDA / Sales

Consulting Service Sales (Last)

Company Name Accenture plc

%EBITDA (Last)

%EBIT (Last)

Market Enterprise cap. Value (Current) (Current)

EBIT / Sales

LTM

2016

2015

2014

2013

2012

LTM

2016

2015

2014

2013

2012 13,9%

29 340

17%

15%

63 224

63 764

16,8%

16,8%

16,6%

16,3%

16,3%

15,0%

14,6%

14,6%

14,5%

14,3%

14,2%

Akka Technologies

1 002

8%

6%

632

na

7,9%

7,7%

8,0%

8,4%

9,0%

9,8%

6,4%

6,1%

6,2%

6,6%

7,5%

9,0%

Alten SA

1 541

11%

10%

2 079

2 140

11,1%

10,5%

10,3%

10,2%

10,7%

10,8%

10,5%

9,8%

9,7%

9,4%

10,1%

10,1%

Altran Technologies S.A.

1 945

10%

9%

2 338

2 557

10,2%

10,2%

10,3%

9,6%

9,5%

8,8%

9,8%

9,3%

9,1%

8,5%

8,5%

7,9%

Amec Foster Wheeler plc

6 210

6%

4%

2 474

3 724

5,8%

6,1%

7,6%

8,3%

7,8%

9,4%

3,6%

3,7%

6,3%

6,8%

6,5%

8,0%

Assystem SA

908

7%

6%

547

397

7,3%

7,0%

6,6%

7,6%

7,9%

8,2%

6,5%

6,3%

5,9%

6,8%

7,1%

7,4%

WS Atkins plc

2 120

9%

7%

1 587

1 399

8,6%

8,6%

7,7%

6,8%

6,5%

6,8%

7,2%

7,2%

6,3%

5,8%

5,5%

Cap Gemini S.A.

5,5%

11 915

12%

10%

15 035

17 482

12,3%

11,9%

10,3%

9,5%

9,4%

8,7%

9,9%

9,7%

8,4%

7,4%

7,1%

6,7%

FTI Consulting, Inc.

1 587

11%

9%

1 592

1 871

11,5%

11,2%

11,7%

14,8%

15,8%

16,8%

9,5%

9,2%

9,2%

11,8%

12,4%

13,7%

Intertek Group plc

2 466

19%

14%

6 435

7 991

18,3%

18,5%

17,5%

18,2%

19,1%

18,9%

14,3%

14,1%

13,2%

14,2%

14,8%

14,2%

Management Consulting Group PLC

158

0%

-1%

102

100

-1,2%

-0,1%

5,3%

8,2%

9,0%

9,6%

-2,3%

-1,1%

4,2%

6,9%

7,9%

8,4%

49

21%

16%

208

174

20,9%

20,9%

20,9%

22,8%

25,0%

25,9%

16,1%

16,1%

16,6%

18,0%

20,5%

21,6%

Ricardo plc

378

14%

11%

523

562

13,7%

13,7%

12,9%

13,2%

13,0%

12,3%

10,7%

10,7%

9,9%

9,9%

9,6%

9,0%

RPS Group plc

645

11%

6%

432

540

10,2%

11,4%

13,7%

13,1%

12,6%

11,8%

5,5%

6,4%

9,2%

9,3%

9,1%

8,2%

SMS Management & Technology Ltd.

224

5%

5%

78

83

5,0%

5,0%

8,9%

6,6%

10,1%

13,1%

4,6%

4,6%

8,1%

6,1%

9,8%

12,8%

The Hackett Group, Inc.

209

12%

10%

463

469

13,0%

11,8%

10,4%

9,6%

10,1%

10,6%

11,3%

9,7%

8,3%

8,4%

8,8%

9,1%

WYG PLC

151

4%

2%

98

97

4,0%

4,0%

2,9%

3,7%

-0,2%

28,5%

1,8%

1,8%

0,9%

1,8%

-2,0%

26,8%

10,3% 10,2%

10,3% 10,5%

10,7% 10,3%

11,0% 9,6%

11,3% 10,1%

13,2% 10,8%

8,2% 9,5%

8,1% 9,2%

8,6% 8,4%

8,9% 8,4%

9,3% 8,8%

11,3% 9,0%

Mattioli Woods PLC

Mean Median

Source: Capital IQ (30/09/2016)

50

Section VIII: Consulting Services – Excluding IT Comparable Public Company Valuations Exhibit 20 Consulting Services Comparable Company Profit Trends (€ in millions) EV/Net Sales

Consulting Service

EV/EBITDA

EV/EBIT

PER

Company Name

LTM

2016

2015

2014

2013

2012

LTM

2016

2015

2014

2013

2012

LTM

2016

2015

2014

2013

2012

LTM

2016

2015

2014

2013

2012

Accenture plc

2,2x

-0,1x

2,2x

1,8x

1,7x

1,5x

12,9x

-0,9x

13,3x

11,3x

10,7x

10,1x

14,9x

-1,0x

15,3x

12,9x

12,2x

10,9x

17,2x

0,0x

21,8x

18,6x

15,2x

17,1x

Akka Technologies

na

0,7x

0,7x

0,5x

0,5x

0,6x

na

8,9x

8,3x

6,2x

5,9x

5,7x

na

11,2x

10,8x

7,9x

7,0x

6,3x

18,8x

20,1x

20,4x

12,7x

8,5x

10,7x

Alten SA

1,3x

1,2x

1,0x

0,9x

0,8x

0,6x

11,7x

11,0x

10,1x

9,2x

7,2x

5,8x

12,4x

11,7x

10,8x

10,0x

7,7x

6,2x

17,1x

16,8x

18,3x

16,4x

12,6x

11,8x

Altran Technologies S.A.

1,2x

1,2x

1,0x

0,9x

0,7x

0,6x

12,1x

11,6x

9,4x

9,1x

7,0x

6,7x

12,7x

12,7x

10,7x

10,2x

7,7x

7,4x

20,4x

21,3x

20,2x

21,5x

12,2x

na

Amec Foster Wheeler plc

0,6x

0,5x

1,1x

0,9x

0,7x

1,0x

9,9x

8,4x

14,5x

10,6x

9,4x

10,8x

16,4x

13,8x

17,4x

12,9x

11,4x

12,7x

na

na

43,2x

20,0x

14,9x

16,3x

Assystem SA

0,4x

0,3x

0,3x

0,5x

0,3x

0,4x

5,8x

4,9x

3,8x

6,2x

3,8x

4,4x

6,5x

5,4x

4,3x

7,0x

4,2x

4,9x

19,8x

18,7x

19,9x

14,6x

7,9x

6,9x

WS Atkins plc

0,7x

0,6x

0,8x

0,6x

0,5x

0,4x

8,0x

7,1x

9,9x

9,3x

8,3x

5,3x

9,4x

8,4x

12,0x

10,8x

9,8x

6,5x

13,5x

12,7x

17,4x

13,2x

12,4x

6,7x

Cap Gemini S.A.

1,4x

1,3x

1,1x

0,8x

0,4x

0,4x

11,2x

11,2x

10,5x

8,1x

4,8x

5,1x

13,9x

13,8x

12,9x

10,3x

6,3x

6,6x

12,4x

12,4x

21,6x

18,7x

15,1x

11,9x

FTI Consulting, Inc.

1,1x

1,0x

1,1x

1,1x

1,2x

1,3x

10,0x

9,3x

9,8x

7,3x

7,6x

7,7x

12,1x

11,3x

12,4x

9,1x

9,7x

9,4x

23,1x

22,2x

25,9x

na

na

14,3x

Intertek Group plc

3,0x

3,0x

2,4x

2,5x

3,0x

2,7x

16,6x

15,9x

13,6x

13,9x

15,7x

14,5x

21,2x

21,0x

18,0x

17,8x

20,4x

19,3x

na

23,9x

23,7x

31,2x

29,1x

Management Consulting Group PLC

0,7x

0,9x

0,8x

0,6x

0,6x

0,7x

na

na

14,4x

7,2x

7,2x

7,5x

na

na

18,2x

8,5x

8,2x

8,5x

na

na

na

12,2x

15,0x

11,4x

Mattioli Woods PLC

3,6x

3,6x

3,5x

2,6x

2,4x

1,6x

17,0x

17,0x

16,6x

11,5x

9,7x

6,0x

22,1x

22,1x

20,9x

14,6x

11,8x

7,2x

34,9x

34,8x

32,5x

20,3x

17,9x

12,0x

Ricardo plc

1,5x

1,7x

1,8x

1,4x

1,3x

0,9x

10,9x

12,2x

13,8x

10,5x

10,2x

7,7x

13,9x

15,6x

17,9x

13,8x

13,8x

10,5x

17,9x

20,4x

25,5x

17,6x

18,5x

12,9x

RPS Group plc

0,8x

0,9x

1,0x

1,2x

1,0x

1,0x

8,1x

8,0x

7,5x

9,3x

8,1x

8,5x

15,0x

14,2x

11,2x

13,1x

11,2x

12,1x

165,3x

63,8x

15,4x

23,0x

21,3x

17,3x

SMS Management & Technology Ltd.

0,4x

0,4x

0,9x

0,8x

1,0x

1,1x

7,4x

7,4x

10,6x

12,5x

9,8x

8,6x

8,1x

8,1x

11,6x

13,7x

10,1x

8,8x

11,8x

11,7x

20,3x

21,3x

14,8x

13,3x

The Hackett Group, Inc.

2,1x

1,9x

1,3x

0,9x

0,8x

1,1x

15,9x

16,1x

12,6x

9,7x

7,6x

10,8x

18,3x

19,5x

15,9x

11,2x

8,8x

12,6x

30,1x

34,0x

28,4x

21,4x

8,8x

11,3x

WYG PLC

0,6x

0,6x

0,6x

0,5x

0,4x

0,1x

16,1x

14,8x

19,5x

12,9x

na

0,2x

35,4x

32,6x

65,2x

26,1x

na

0,2x

30,3x

27,9x

44,5x

36,6x

na

2,8x

1,3x 1,2x

1,2x 0,9x

1,3x 1,0x

1,1x 0,9x

1,0x 0,8x

0,9x 0,9x

11,6x 11,2x

10,2x 10,1x

11,7x 10,6x

9,7x 9,3x

8,3x 7,9x

7,4x 7,5x

15,5x 13,9x

13,8x 13,2x

16,8x 12,9x

12,3x 11,2x

10,0x 9,8x

8,8x 8,5x

30,9x 19,3x

22,6x 20,2x

24,9x 21,7x

19,5x 19,4x

15,1x 14,9x

12,9x 12,0x

Mean Median

na

Source: Capital IQ (30/09/2016)

51

Section VIII: Consulting Services – Excluding IT Comparable M&A Transactions The median EV/EBIT and EV/EBITDA for the comparable Consulting Services M&A transactions are 12.8x and 8.6x, respectively. Exhibit 21 Consulting Services Comparable M&A Transactions (€ in millions except where mentioned in $) Date

Target Company

Target Description

Bidder Company

Country

Revenue

Deal value Enterprise Value / (€m) Sales EBIT EBITDA

Mar-16

New Paradigm Resources Group, USA-based company which operates as a magicJack VocalTec Ltd. Inc. telecommunications research and consulting company.

Feb-16

LOC Consulting Limited

UK-based company which provides management iBe TSE Ltd consultancy services to public sector, financial services, new media, and consumer sectors.

Jan-16

Greater China Appraisal Limited

Hong Kong-based company which offers asset and business valuation services.

Roma Group Limited

Dec-15

Efeso Consulting SA

France-based company which provides management consultancy services.

Partners In Action

Dec-15

JMP Consultants Ltd.

UK-based company which provides transport consultancy and planning services in the UK.

Systra Ltd.

Dec-15

EastSideCapital Spólka Akcyjna

Poland-based company which provides financial, legal, EBC Solicitors Spólka and tax consulting services. Akcyjna

Nov-15

STC Energy and Carbon Holdings Limited

UK-based energy management consultancy

Inspired Energy plc

UK

5

17

3,2x

Oct-15

Professional Service Industries, Inc.

USA-based company which provides consulting engineering and testing services in the United States.

Intertek Group plc

UK

222

288

1,3x

11,4x

8,3x

Oct-15

Coffey International Limited

Australia-based company which provides consulting Tetra Tech, Inc. services in the geoservices, international development, and project management areas worldwide.

USA

353

127

0,3x

13,5x

8,2x

Oct-15

Starland Holdings Limited

Singapore-based investment holding company which engages in financial consulting services.

Singapore

46

4

0,4x

1,4x

1,4x

Sep-15

EastSideCapital Spólka Akcyjna

Poland-based company which provides financial, legal, EBC Solicitors Spólka and tax consulting services. Akcyjna

Poland

0

3,4x

Sep-15

Cardno Limited

Australia-based company which provides professional consulting services in the development and improvement of physical and social infrastructure for communities worldwide.

Australia

939

79

0,5x

14,3x

8,9x

Sep-15

Jelf Group plc

UK-based company which provides consultancy Marsh & McLennan services on insurance, employee benefits, and financial Companies, Inc. planning for businesses and individuals in the UK.

USA

119

357

2,9x

27,8x

16,3x

Sep-15

Taylor Patterson Group Ltd.

UK-based company which provides financial advisory services to businesses and individuals.

UK

4

11

2,6x

Aug-15

Gilardi & Company LLC

USA-based company which provides class action notice Kurtzman Carson and claim administration services. Consultants LLC

USA

35

36

1,0x

GRP Land Pte. Ltd.

Crescent Capital Investments Pty Limited

Mattioli Woods PLC

Israel

12

38

3,2x

9,2x

UK

9

5

0,2x

2,4x

Hong Kong

4

3

3,4x

France

69

18

1,3x

UK

16

11

0,7x

Poland

12,2x

11,3x

7,8x

7,1x

52

Section VIII: Consulting Services – Excluding IT Comparable M&A Transactions Exhibit 21 Consulting Services Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Target Company

Target Description

Bidder Company

Aug-15

MMM Group Limited

Canada-based company which provides management, WSP Global Inc. planning, engineering, and advisory services.

Jul-15

Wholesale Power UK Limited

UK-based company which provides energy procurement consulting services for companies in commercial and industrial sectors.

Jul-15

Chime Communications plc

Jul-15

Deal value Enterprise Value / (€m) Sales EBIT EBITDA

Country

Revenue

Canada

178

281

1,5x

Inspired Energy plc

UK

1

4

3,2x

UK-based company which provides sports marketing, public relations, advertising, market research, direct marketing, and design and event management consultancy services.

WPP plc; Providence Equity Partners

USA

534

544

1,2x

36,3x

19,9x

Ecology & Environment, Inc.

USA-based environmental consulting firm.

Mill Road Capital

USA

114

4

0,4x

9,7x

7,4x

Jul-15

SDIC CGOG Futures Co,LTD.

China-based which offers futures brokerage, consulting, SDIC Capital Holding Co., and business training services. Ltd.

China

74

45

2,2x

17,1x

Jun-15

Towers Watson & Co.

USA-based which offers risk management and human resource consulting services.

UK

3 272

7 807

2,2x

13,2x

Jun-15

Kerensen Consulting SAS

France-based company which provides management consulting, business solutions, and technology services.

USA

15

22

1,4x

May-15

Seat Pagine Gialle SpA

Italy-based company which provides marketing services Italiaonline S.p.A. in Italy.

Italy

399

154

0,4x

Apr-15

Trissential, LLC

USA-based management consulting company which offers strategic planning and project management

SQS Software Quality Systems AG

Germany

29

28

1,0x

Apr-15

Inspecta Group Oy

Finland-based company which provides certification, technical consultancy, and training services.

ACTA Holding BV

Netherlands

198

202

1,0x

Mar-15

Quindell Plc, Professional Services UK-based company which provides legal, claims Division management, health and medical reporting services.

Slater and Gordon (UK), Investment Arm

UK

882

926

1,0x

Mar-15

Impetus Automotive Limited

UK-based company which provides automotive consultancy services to vehicle manufacturers.

Volvere plc

UK

21

2

0,1x

Mar-15

Wood Mackenzie Ltd

UK-based company which provides research and consulting services.

Verisk Analytics, Inc.

USA

320

2 605

8,1x

Mar-15

Scitor Holdings, Inc.

USA-based company which provides systems engineering, management consulting, and information services to customers in the United States.

Science Applications International Corporation

USA

539

878

1,6x

Feb-15

Oakland Innovation Ltd.

UK-based company which delivers research, understanding, and insight services for food and beverages.

Sagentia Group plc (nka:Science Group plc)

UK

5

7

1,1x

Feb-15

Research and Development, Inc. Japan-based company which provides analysis services for consumer insights and trends in Japan.

Japan

16

1

0,1x

Willis Group Holdings Plc (nka: Willis Towers Watson Plc) salesforce.com, inc.

Cross Marketing Inc.

8,9x

11,0x

5,5x

2,3x

17,3x

33,0x

18,3x

4,2x

53

Section VIII: Consulting Services – Excluding IT Comparable M&A Transactions Exhibit 21 Consulting Services Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Target Company

Target Description

Bidder Company

Feb-15

B.I. Appraisals Limited

Hong Kong-based company which provides property valuation, appraisal, business analysis, and related professional services.

United Brilliant Limited

Dec-14

Country

Revenue

Deal value Enterprise Value / (€m) Sales EBIT EBITDA

British Virgin Islands

1

5

8,0x

Beaumonts Risk Management LLP UK-based company which provides health, safety, and Jelf Insurance Brokers Ltd. employment law advisory services.

UK

1

1

1,1x

Dec-14

Royall & Company, Inc.

UK-based company which provides enrollment management, financial aid optimization, and alumni fundraising services to colleges and universities.

The Advisory Board Company

USA

84

684

8,1x

Dec-14

Initiate Consulting Ltd.

UK-based consultancy that provides development management, project management, and construction management services.

Driver Group Plc

UK

9

7

0,7x

Nov-14

Source8

UK-based company which offers telecommunications management consultancy services.

Mitie Investments Limited

UK

6

20

4,0x

Nov-14

Lightbridge Communications Corporation

USA-based company which provides consulting and network services to the telecommunications industry in the United States and internationally.

Tech Mahindra Limited

India

343

192

0,6x

Sep-14

Alliance Environment and Planning Ltd.

UK-based company which provides town planning, environmental, and development consulting services.

WYG Plc

UK

4

4

1,0x

Sep-14

Business Aspect Group Pty Ltd

Australia-based company which provides business and Data#3 Ltd. technology consulting services.

Australia

10

9

0,9x

Sep-14

Nurun Inc.

Canada-based company which provides design and technology consultancy services worldwide.

France

97

87

0,9x

Aug-14

Paragem Pty. Ltd.

Australia-based company which offers consulting and HUB24 Limited support services to small-sized businesses and licensed representatives.

Australia

14

6

0,4x

Jul-14

Hyder Consulting PLC

UK-based design and engineering consultancy company.

Netherlands

374

372

0,9x

18,2x

12,9x

May-14

Crowe Horwath Australasia Limited

Australia-based company which provides business and KKR Asset Management, financial services. LLC (nka:KKR Credit Advisors (US) LLC); Financial Index Australia Pty Ltd US-based environmental consulting firm RPS Group Plc

USA

270

130

0,5x

17,9x

10,1x

UK

11

25

2,2x

Publicis Groupe SA

ARCADIS NV

20/05/2014

GaiaTech, Inc.

19/05/2014

Medaxial Limited

UK-based value communication consultancy engaged in Covance Inc the provision of research, analytical, and presentational services to the healthcare sector

USA

13/05/2014

Axia Strategies, Inc.

US-based company providing catastrophic care services including specialty claims review and audit, specialty contract negotiation, oncology risk management, and subrogation

USA

Axiom Re, LP

7,9x

22,2x

7,3x

9

3

7

2,7x

54

Section VIII: Consulting Services – Excluding IT Comparable M&A Transactions Exhibit 21 Consulting Services Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Target Company

Target Description

Bidder Company

17/04/2014

RINA S.p.A (20% Stake)

Italy-based company engaged in ship classification, Intesa Sanpaolo S.p.A.; VEI assessment, control, certification and research services Capital SPA and in charge of the operational activities of Registro Italiano Navale

Italy

14/04/2014

Simpler Consulting, L.P.

US-based company that provides consulting services for lean enterprise transformation

Truven Health Analytics Inc.

USA

10/04/2014

Clear Environmental Consultants UK-based consultancy providing services primarily to Limited the water industry

RPS Group Plc

UK

28/03/2014

Only Italia Srl (80% Stake)

08/04/2014

TERA Environmental Consultants Canada based environmental consulting services provider

21/02/2014

Santiago & Cintra Consultoria (50% Stake)

Brazil based company engaged in providing consulting BlackBridge AG services and solutions in geospatial technology

03/03/2014

VALTEQ Gesellschaft mbH

Germany based technical and economical consulting firm

08/01/2014

Finnamore Limited

18/12/2013

Italy based company promoting the exportation of Made Balletown in Italy products to the Chinese market

Country

Revenue 291

Deal value Enterprise Value / (€m) Sales EBIT EBITDA 125

0,4x

5,5x

0,7x

2,2x

4,3x

55

7

5

China

13

USA

71

Germany

10

CBRE Group, Inc.

USA

50

UK based health and social care consultancy firm

GE Healthcare Ltd.

UK

10

18

1,8x

13,4x

11,1x

Getinsa Ingenieria S.L. (70% Stake)

Spain-based company engaged in providing civil engineering consultancy services

TPF Group N.V.

Belgium

26

42

1,6x

23,0x

20,2x

16/12/2013

Context Information Security Limited

UK based company providing technical consultancy services for cyber security market

Babcock International Group Plc

UK

12

38

3,2x

17/01/2014

Opus Capital Markets Consultants, US based company engaged in providing mortgage LLC consulting services

Wipro Limited

India

25/11/2013

Advanced Geomechanics Pty Ltd Australia based company engaged in geotechnical and Fugro N.V. geophysical engineering and consulting services to the oil and gas industry

Netherlands

15/11/2013

Dans Energy Consulting Private Limited

India based company engaged in providing consultancy Hydreq Pte Ltd services and assistance to hydropower project developers

Singapore

02/01/2014

Brand Loyalty International B.V. (60% Stake)

Netherlands based provider of loyalty concepts for the food retail sector

01/11/2013

JMJ Associates, LLC

US based management consultancy company providing 3i Group Plc enterprise transformation services to energy, petrochemical, mining and construction industries

CH2M

Alliance Data Systems Corporation

55

24

24

USA

444

UK

128

1,2x

55

Section VIII: Consulting Services – Excluding IT Comparable M&A Transactions Exhibit 21 Consulting Services Comparable M&A Transactions (Con’t) (€ in millions except where mentioned in $) Date

Deal value Enterprise Value / (€m) Sales EBIT EBITDA

Target Company

Target Description

Bidder Company

Country

14/02/2014

PT Wisesa Inspirasi Nusantara (74% Stake)

Indonesia-based company engaged in providing management consulting services

Kulim (Malaysia) Berhad

Malaysia

18

03/10/2013

Enovity Inc (80% Stake)

US based energy engineering consulting company headquartered in California

ORIX Corporation

Japan

19

15/10/2013

Lambert Smith Hampton Limited

UK-based company engaged in providing commercial property consultancy services

Countrywide Plc

UK

75

41

0,5x

03/10/2013

The Birchman Group Asia Pacific Australia based company offering business consulting, Pty Ltd integration and managed services to enterprise and government clients

SMS Management & Technology Limited

Australia

25

17

0,8x

12/12/2013

Sinclair Knight Merz Pty Ltd.

Australia-based company that provides engineering, strategic consulting, and project delivery services

Jacobs Engineering Group Inc

04/09/2013

Stewart, Weir & Co. Ltd.

Canada based engineering and environmental consultancy firm

Opus International Consultants Limited

Revenue

USA

New Zealand

908

67

Average Median

Source: Capital IQ , Merger Market

45

0,6x

6,5x

5,4x

2,6x 1,2x

13,9x 12,8x

10,2x 8,6x

56

Appendix Sampling of Business Services Deals

57

Appendix Sampling of Business Services Deals

58

Appendix Sampling of Business Services Deals

59

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