144035 Resource 125367 1 200444 1149163199000 1210705957247 Controlled Software M&A Update

June 2006 Newsletter from Updata Capital

<table cellspacing="0" cellpadding="0" width="95%" align="center" border="0"><tbody><tr><td>IN THIS ISSUE:</td></tr><tr><td> Enterprise Software <ul><li>Market Dynamics The overall software market is experiencing a respectable recovery with most analysts pointing to an uptick in corporate IT spending. However, the enterprise applications market will likely… <a href="edit-item/144035#story1a">read more >></a>   </li><li>Public Equity Performance Looking back starting from the beginning of 2005, most enterprise application companies have enjoyed healthy stock price appreciation that handily outpaces the NASDAQ index. However, SCM-focused vendors have not… <a href="edit-item/144035#story1b">read more >></a>   </li><li>M&A Activity The M&A environment for enterprise applications is seeing smaller and targeted tuck-in acquisitions to fill out technology and vertical gaps, and sporadic larger deals such as… <a href="edit-item/144035#story1c">read more >></a> </li></ul> Infrastructure Software<ul><li>Market Dynamics As we have pointed out in a previous publication, we believe that there are a confluence of business and technology trends that are forcing enterprises to significantly evolve the management and… <a href="edit-item/144035#story2a">read more >></a>   </li><li>Public Equity Performance Over the last four months we have observed a marked shift in the relative performance of larger and small cap infrastructure management companies… <a href="edit-item/144035#story2b">read more >></a>   </li><li>M&A Activity For most of 2005, Infrastructure Management M&A exhibited steady volume and increasing valuations. Over the last 2 quarters, trend lines for both the volume of deals and the related valuations are… <a href="edit-item/144035#story2c">read more >></a>   </li><li>Featured Sector: Intelligent Storage Management The development of storage management solutions was shaped by a unique set of factors including: (i) the “siloed” and dedicated nature of traditional storage architecture, (ii) the proprietary nature of the storage systems… <a href="edit-item/144035#story2d">read more >></a> </li></ul> Public Company ValuationsRelevant financial data for publicly traded enterprise and infrastructure software companies, including the following sub-sectors: Software-as-a-Service, Supply Chain Management, CRM, ERP and Network & Systems Management… <a href="edit-item/144035#story3">read more >></a> Software M&A TransactionsSelected enterprise and infrastructure software company M&A transactions, including deal values and multiples, when disclosed… <a href="edit-item/144035#story4">read more >></a></td></tr></tbody></table> 10 application/xml false enterprise application software infrastructure software newsletter Updata Capital Mozilla/4.0 (compatible; MSIE 6.0; Windows NT 5.0; .NET CLR 1.1.4322; .NET CLR 2.0.50727; InfoPath.1) 127.0.0.1 127.0.0.1 fbartolomey 208.82.213.22 false true false false true 125367 blog blogsite/UpdataAdvisors/web