The view from GP Bullhound

GP Bullhound has closed 30+ deals YTD

NORDIC

international

With significant engineering and technical competencies, Norway's skilled workforce is being re-deployed from oil to tech

Norwegian Unicorns have emerged due to the injection of capital 

Norwegian technology firms are receiving more and more interest from financial investors, both local as well as international

Strong growth in investments into Norwegian tech

The emerging tech landscape encompasses multiple subsectors

Multiple subsectors are forming based on Norway’s traditional strongholds as well as deep-rooted industrial competence

Fertile ground for tech Unicorns 

One-third of all Norwegian Unicorns reached this coveted status in 2021 alone, with many more waiting in the wings

Overview of listed Norwegian tech companies

The Norwegian stock market has seen a high inflow of companies in the past two years – particularly software small caps

Valuation multiples of listed Norwegian tech companies

Digital Media and Software firms are priced at the highest valuations – global category leaders rewarded by investors

Norwegian tech M&A activity

High activity levels during the last three years driven by both strategic and financial acquirers

Largest Norwegian M&A deals in the past 10 years

Visma stands out in Norway, with numerous transactions, including both majority and minority deals

Norwegian tech IPOs since the Covid outbreak

Norwegian tech IPOs have been dominated by software businesses since the pandemic began, supported by highly regarded local institutional investors

Norwegian capital raisings

Significant increase in interest for Norwegian tech companies in 2021, particularly from prominent international investors, driving larger round sizes

Norwegian capital raising in a Nordic context

Norwegian fundraising volumes are catching up to the levels of Denmark and Finland

Select Norwegian tech investors

Norway boasts a strong local tech ecosystem as well as significant investments from prominent international investors

Jørn Lyseggen, Founder and Chairman of Meltwater

Henrik Müller, CEO & Founder of Gelato

John Magnus Lervik, CEO & Co-founder of Cognite

Eilert Hanoa, CEO of Kahoot!

Terje Wibe, CEO of Mercell

Sindre Haaland, CEO of SalesScreen

Viking Venture

Listed Norwegian tech companies

Adevinta and Kahoot! stand out as the highest valued companies,
at 10x+ 2021E revenues

Share price evolution – Norwegian Software

Top performing companies found in the healthcare software vertical

Share price evolution – Norwegian Digital Services

Crayon stands out as the star performer among listed digital services companies

Share price evolution – Digital Media and Marketplaces

Despite the drawback in the last three months, Kahoot! is the star performer among listed Norwegian digital media firms

Disclaimer

No information set out or referred to in this communication shall form the basis of any contract. The issue of this insights report (the “report”) shall not be deemed to be any form of binding offer or commitment on the part of GP Bullhound Corporate Finance Ltd. This report is provided for use by the intended recipient for information purposes only. It is prepared on the basis that the recipients are sophisticated investors (so-called “professional clients” in the meaning of Annex II of Directive 2014/65/EU on markets in financial instruments, or their equivalent elsewhere) with a high degree of financial sophistication and knowledge. This report and any of its information is not intended for use by private or retail investors in the UK or any other jurisdiction where access, use or availability of this information would be unlawful.

This report does not provide personalized advice or recommendations of any kind. You, as the recipient of this report, acknowledge and agree that no person has nor is held out as having any authority to give any statement, warranty, representation, or undertaking on behalf of GP Bullhound Corporate Finance Ltd in connection with the contents of this communication. Although the information contained in this report has been prepared in good faith, no representation or warranty, express or implied, is or will be made and no responsibility or liability is or will be accepted by GP Bullhound Corporate Finance Ltd. In particular, but without prejudice to the generality of the foregoing, no representation or warranty is given as to the accuracy, completeness or reasonableness of any projections, targets, estimates or forecasts contained in this report or in such other written or oral information that may be provided by GP Bullhound Corporate Finance Ltd. The information in this report may be subject to change at any time without notice.

 GP Bullhound Corporate Finance Ltd is under no obligation to provide you with any such updated information. All liability is expressly excluded to the fullest extent permitted by law. Without prejudice to the generality of the foregoing, no party shall have any claim for innocent or negligent misrepresentation based upon any statement in this report or any representation made in relation thereto. Liability (if it would otherwise but for this paragraph have arisen) for death or personal injury caused by the negligence (as defined in Section 65 of the Consumer Rights Act 2015) of GP Bullhound Corporate Finance Ltd, or any of its respective affiliates, agents or employees, is not hereby excluded nor is damage caused by their fraud or fraudulent misrepresentation.

This report should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall they, or the fact of the distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. The information contained in this report has no regard for the specific investment objectives, financial situation or needs of any specific entity and is not a personal recommendation to anyone. Persons reading this report should make their own investment decisions based upon their own financial objectives and financial resources and, if in any doubt, should seek advice from an investment advisor.

Past performance of securities is not necessarily a guide to future performance and the value of securities may fall as well as rise. In particular, investments in the technology sector may be subject to frequent fluctuations. The information contained in this report is based on materials and sources that are believed to be reliable; however, they have not been independently verified and are not guaranteed as being accurate. The information contained in this report is not intended to be a complete statement or summary of any securities, markets, reports or developments referred to herein.

This report may contain forward-looking statements, which involve risks and uncertainties. Forward-looking information is provided for illustrative purposes only and is not intended to serve as, and must not be relied upon as a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and may differ from assumptions.

Any and all opinions expressed are current opinions as of the date appearing on the documents included in this report.

The information contained in this report should not be relied upon as being an independent or impartial view of the subject matter, and for the purposes of the rules and guidance of the Financial Conduct Authority (“the FCA”) and of Financial Industry Regulatory Authority (“FINRA”),  this report shall not be viewed as research report and is considered marketing communication and a financial promotion. 

Thus, in accordance with COBS 12.2.18 of the FCA Handbook, its contents have not been prepared in accordance with legal requirements designed to promote the independence of investment research and it is not subject to any prohibition on dealing ahead of the dissemination of the report.

The individuals who prepared the information contained in this report may be involved in providing other financial services to the company or companies referenced in this report or to other companies who might be said to be competitors of the company or companies referenced in this report. GP Bullhound Corporate Finance Ltd, through its investment banking department, does and seek to do business with companies which are, or may be covered in this report. As a result, both GP Bullhound Corporate Finance Ltd and the individual members, directors, officers and/ or employees who prepared the information contained in this report may have responsibilities that conflict with the interests of the persons who access this report.

GP Bullhound Corporate Finance Ltd and/or connected persons may, from time to time, have positions in, make a market in and/ or effect transactions in any investment or related investment mentioned in this report and may provide financial services to the issuers of such investments. The information contained in this report or any copy of part thereof should not be accessed by a person in any jurisdictions where its access may be restricted by law and persons into whose possession the information in this report comes should inform themselves about, and observe, any such restrictions. Access of the information contained in this report in any such jurisdictions may constitute a violation of UK or US securities law, or the law of any such other jurisdictions. Neither the whole nor any part of the information contained in this report may be duplicated in any form or by any means. Neither should the information contained in this report, or any part thereof, be redistributed or disclosed to anyone without the prior consent of GP Bullhound Corporate Finance Ltd. GP Bullhound Corporate Finance Ltd and/or its associated undertakings may from time-to-time provide investment advice or other services to, or solicit such business from, any of the companies referred to in the information contained in this report.

Accordingly, information may be available to GP Bullhound Corporate Finance Ltd that is not reflected in this material and GP Bullhound Corporate Finance Ltd may have acted upon or used the information prior to or immediately following its publication. However, no person at GP Bullhound (which includes its members, directors, officers and/or employees), may undertake personal transactions in financial instruments of companies to which this report relates, without receiving prior clearance from the GP Bullhound Compliance Officer or nominated delegated. In addition, GP Bullhound Corporate Finance Ltd, the members, directors, officers and/or employees thereof and/or any connected persons may have an interest in the securities, warrants, futures, options, derivatives or other financial instrument of any of the companies referred to in this report and may from time-to-time add or dispose of such interests. GP Bullhound Corporate Finance Ltd is a limited liability partnership registered in England and Wales, registered number OC352636, and is authorised and regulated by the Financial Conduct Authority. Any reference to a partner in relation to GP Bullhound Corporate Finance Ltd is to a member of GP Bullhound Corporate Finance Ltd or an employee with equivalent standing and qualifications. A list of the members of GP Bullhound Corporate Finance Ltd is available for inspection at its registered office, 52 Jermyn Street, London SW1Y 6LX.

For US Persons: This report is distributed to US persons by GP Bullhound Inc. a broker-dealer registered with the SEC and a member of the FINRA. GP Bullhound Inc. is an affiliate of GP Bullhound Corporate Finance Ltd. All investments bear certain material risks that should be considered in consultation with an investors financial, legal and tax advisors. GP Bullhound Inc. engages in private placement and mergers and acquisitions advisory activities with clients and counterparties in the Technology and CleanTech sectors.

In addition, the persons involved in the production of this report certify that no part of their compensation was, or will be, directly or indirectly related to the specific views expressed in this report. As such, no person at GP Bullhound (including its members, directors, officers and/or employees) has received, or is authorized to accept, any inducement, whether monetary or in whatsoever form, in counterparty of promise to issue favorable coverage for the companies to which this report relates.

In the last twelve months, GP Bullhound Corporate Finance Ltd or an affiliate is or has been engaged as an advisor to and received compensation from, or has invested in the following companies mentioned in this report: Amazon, Animoca (EVG Management), Apple, Cleanshelf, Gamerefinery, Klear, Logicbroker, Linkfluence, Oxbotica, Partnerize, Recruitee, Signavio, Smarp, and Zervant.