A SPOTLIGHT ON THE MARKETPLACE - Q1 2021 Marketplace & E-commerce Review
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A SPOTLIGHT ON THE MARKETPLACE Q1 2021 Marketplace & E-commerce Review
EXECUTIVE SUMMARY
Marketplace & E-commerce Sector Wrap-Up
» 2021 has picked up where 2020 ended – it is a prolific time for marketplace and e-commerce companies
‒ With a general “return to life” underway as the vaccine roll-out continues we are seeing many behaviors that consumers learned over
the past year have carried over due to preference and convenience rather than necessity
‒ While social distancing is relaxing, new behaviors like online groceries, alcohol and pet food orders, home improvement and even
types of online travel (i.e. RVs, vacation home rentals) are here to stay
» The momentum in the IPO market continued into 2021 from its hot pace in 2020 with Q1 IPOs including ThredUp, Poshmark, Deliveroo,
and Coupang
‒ Major marketplace IPOs are on the near horizon with Instacart and Flipkart expected in 2021 and ZipRecruiter and Zomato having
already filed
» 12 significant M&A transactions across the segment have taken place thus far in 2021 including:
‒ Vacasa’s acquisition of GCA client TurnKey
‒ Uber’s acquisition of alcohol marketplace Drizly for $1.1Bn
» Massive financing rounds supporting companies that thrived during 2020 have continued, including for private funding leaders:
‒ Fanatics raised $320MM led by Fidelity Investments
‒ GoPuff raised $1.2Bn led by SoftBank
» One of our favorite reports on the segment came out, Andreessen Horowitz’s Top 100 Marketplaces report covered many interesting
trends that we highlight in this report including:
‒ The top 100 marketplaces as ranked by a16z; KPIs for marketplaces; trends and insights from the top 100
» Our sector spotlight focuses on seven subsectors of the online marketplace ecosystem – Travel, Music, Food and Beverage, Retail,
Education, Groceries, and Pets
Select Q1 Active Acquirors Select Q1 Active Investors
2
I. GCA OVERVIEW
II. MARKETPLACE & E-COMMERCE MARKET TRENDS & INSIGHTS
III. PUBLIC MARKETS
IV. M&A AND FINANCINGS
V. PUBLIC COMPS BACKUP
3
GCA OVERVIEW
Leading Global Investment Bank Providing Strategic M&A and Capital Markets Advisory Services
Global Marketplace & E-commerce Sector Team
John Lambros Josh Wepman Rupert Sadler Alex Grünwald Sam Fuller Tobias Schultheiss Thomas Egli
New York New York New York Zürich London Frankfurt Zürich
Managing Director;
Managing Director;
Managing Director Managing Director Member of Executive Managing Director Managing Director Managing Director
President, GCA US
Management Europe
JLambros@GCAGlobal.com JWepman@GCAGlobal.com RSadler@GCAGlobal.com Alexander.Gruenwald@GCAAltium.com Sam.Fuller@GCAAltium.com Tobias.Schultheiss@GCAAltium.com Thomas.Egli@GCAAltium.com
Highly Active in All Key Disruptive Areas of the Technology Market Full-Suite of M&A and Capital Market Advisory Services
Digital Media Software Tech-Enabled Services
» Marketplaces » Vertical Application » Marketing Services ~60% ~65% ~35% ~80%
» E-commerce » Commerce & Retail » Information Services TRANSACTIONS HAVE SELL-SIDE BUY-SIDE REPEAT OR
» Digital Content & IP Technology » Professional Services TECH COMPONENT TRANSACTIONS TRANSACTIONS REFERRED CLIENTS
» Marketing / Advertising » Data & Analytics » IT Services
Technology » Asset Maintenance & » Customer Care & Claims
» Music, Video & Social Repair Services
» Gaming » Infrastructure ~50% ~50% 500+ 100+
CROSS-BORDER FINANCIAL SPONSOR TOTAL TRANSACTIONS DEBT TRANSACTIONS
58 120 55 TRANSACTIONS TRANSACTIONS IN LAST 3 YEARS IN LAST 3 YEARS
DEALS LAST 3 YEARS DEALS LAST 3 YEARS DEALS LAST 3 YEARS
Leading Franchise in Marketplaces and E-commerce
4
GCA OVERVIEW
Leading Global Investment Bank
STOCKHOLM
MANCHESTER LEEDS
PARIS FRANKFURT
BIRMINGHAM MUNICH
KYOTO NAGOYA
ZURICH TOKYO
LONDON SHANGHAI
NEW YORK LAUSANNE MILAN
NEW DELHI OSAKA
TEL AVIV FUKUOKA
SAN FRANCISCO
TAIPEI
MUMBAI
SINGAPORE HO CHI MINH CITY
Global platform:
Sector expertise: Exceptional cross-
25 offices in key Experienced team:
Expansive coverage border capabilities:
markets across Over 500 employees
and deep Half of all
America, Asia and across the globe
specialization transactions
Europe
Broad spectrum
Diversified
Strong reputation of clients:
business model:
and track record: Leading
Geographically
High number of conglomerates, top
balanced, synergistic
repeat clients and private equity firms
and complementary
referrals and emerging high-
focus areas
growth companies
San Francisco | New York | Birmingham | Frankfurt | Fukuoka | Ho Chi Minh City | Kyoto | Lausanne | Leeds | London | Manchester | Milan | Mumbai |
Munich | Nagoya | New Delhi | Osaka | Paris | Shanghai | Singapore | Stockhom | Taipei | Tel Aviv | Tokyo | Zurich 5
GCA OVERVIEW
Experience in Marketplace and E-commerce
Marketplace E-commerce
Online auction Vacation rental Online job Real estate rental Online hair and Online adult Online furniture & Kitchen & home
house marketplace classifieds marketplace beauty retail product retail home décor retail hub
Visual design Online RV rental Stock photo Insurance Online retail Online bike Online HQ Online
marketplace marketplace marketplace marketplace cashback enabler retail pictures grocery
Online job Online B2B Online education Online real estate Online mobile & Online fashion Online bike Online pet
classifieds classifieds portal classifieds fashion retail retail retail retail
6
GCA OVERVIEW
Global Experience in Consumer
7
GCA OVERVIEW
Case Study: Turnkey’s Sale to Vacasa
GCA acted as exclusive financial advisor to TurnKey, the leading full-service vacation rental
property management platform, on its sale to Vacasa
Background Transaction Summary
» TurnKey Vacation Rentals is a full-service vacation » On March 11, 2021, TurnKey announced it entered into a
rental property management company for premier definitive agreement to be acquired by Vacasa
vacation rental homes in top U.S. travel destinations.
As a leading vacation rental hospitality brand, TurnKey
TRANSACTION DATE provides guests with the consistency and quality of a
» The combination of Vacasa’s scale with TurnKey’s hospitality
Pending platform, efficient growth, and complementary geographic
fine hotel experience, while optimizing the
areas of operation creates a market leading rental management
management, marketing and return on investment for
INDUSTRY company
vacation rental homeowners
Digital Marketplace, Travel,
Consumer, Tech-Enabled » GCA acted as exclusive financial advisor to TurnKey in
Services » Since the Company’s founding in 2013, TurnKey has
connection with the transaction
successfully built a leading position in more than 80
premier destination markets across the United States
» Vacasa is a provider of vacation rental management
services intended to streamline the rental experience
between homeowners and guests. Vacasa’s rental
management services are offered through a
proprietary yield management technology, providing
a seamless experience for guests in vacation homes
across several destinations globally
8
GCA OVERVIEW
Case Study: Otto Wilde Grillers Sale to Miele
GCA acted as exclusive financial advisor to the shareholders of Otto Wilde Grillers, a leading D2C
grill brand, on its sale to Miele
Background Transaction Summary
» Otto Wilde Grillers is a leading D2C grill brand which » On March 5, 2021, Otto Wilde Grillers announced it would be
designs, manufactures and markets high-end gas and acquired by Miele
electric grills. Its first product, the Otto Grill, is a 900-
degree Celsius upper heat grill which brings
TRANSACTION DATE steakhouse quality to everyone’s home
» Miele is going to fully integrate and back Otto Wilde Grillers by
March 2021 providing support in leveraging technology and engineering
excellence, scaling operations, boosting the sales network
INDUSTRY » In 2020, Otto Wilde raised EUR 4.5m through a (especially international distribution and aftersales) and
Consumer, E-commerce, crowdfunding campaign on Kickstarter (most launching new products
Retail, Leisure successful German Kickstarter project to date) with a
smart/connected and modular grill platform, which is
currently being delivered to the Kickstarter backers
» GCA supported Otto Wilde Grillers on all aspects of the
transaction, including business plan and marketing document
preparation, due diligence process and SPA/SHA negotiations
» Otto Wilde has a D2C business with ~90% of its
products sold online, complemented with a growing
B2B sales network
» GCA acted as exclusive financial advisor to Otto Wilde in
connection with the transaction
» Miele is one of the largest manufacturers of high-end
domestic appliances and commercial equipment
9
GCA OVERVIEW
Case Study: Perfecthair.ch sale to Storskogen
GCA acted as exclusive financial advisor to the shareholders of PerfectHair.ch, the largest Swiss
e-commerce platform for professional haircare and beauty products, on its sale to Storskogen
Background Transaction Summary
» PerfectHair is the largest Swiss e-commerce platform » On February 25, 2021, PerfectHair announced it would be
for professional haircare and beauty products with a acquired by Storskogen
product offering covering >300 brands with >30’000
SKUs
TRANSACTION DATE » With the backing of Storskogen, PerfectHair will further
February 2021 strengthen its leading position as the number one retailer of
» Founded in 2008 in Switzerland with the aim of professional haircare and beauty products in Switzerland
INDUSTRY bringing the sale of professional haircare and beauty
Consumer, E-commerce, products online. Over the years PerfectHair.ch has
enlarged its product portfolio significantly. Today,
» Furthermore, the support of Storskogen offers additional
Retail opportunities, such as extending the product portfolio or
PerfectHair not only sells haircare products but also
expanding the business to Europe and other countries
professional beauty products as well as operating five
hair and beauty salons located in the greater Zurich
area » GCA acted as exclusive financial advisor to PerfectHair in
connection with the transaction
» Storskogen is a privately owned company founded in
2012 with a mission to acquire and operate well-
managed and profitable companies with leading
positions in their markets. It is divided into three
business areas, consisting of 58 business units with
over 3,700 employees
10GCA OVERVIEW
Case Study: Kapten & Son sale of minority stake to Ardian Growth
GCA acted as exclusive financial advisor to the founders of Kapten & Son, a leading European
fashion accessories DTC brand, on the sale of a minority stake to Ardian Growth
Background Transaction Summary
» Kapten & Son is one of the fastest growing, yet » On March 10, 2021, Kapten & Son announced a minority
profitable, fashion and accessories companies in investment from Ardian Growth
Europe. Thanks to high-quality products, a strong DTC
focus and unique marketing expertise, Kapten & Son
TRANSACTION DATE has developed into an internationally operating
» With the new shareholder, Kapten & Son plans to drive
February 2021 international growth
company
INDUSTRY » GCA was retained to lead a structured process for a minority
Consumer, E-commerce, » The firm’s diversified product portfolio includes
stake sale coupled with a growth equity injection targeted on
Retail backpacks, sunglasses, glasses, watches, suitcases and
high profile investors
accessories, which are sold in over 30 countries via an
online store, as well as six retail flagship stores and
exclusive boutique partners. » GCA supported the founders on all aspects of the transaction,
i.e. the creation of all marketing documents, financial model,
due diligence process coordination and extensive SPA/ISHA
» Ardian is a global private investment house with
negotiations
assets $110bn managed or advised in Europe, the
Americas and Asia that keeps entrepreneurship at its
heart and focuses on delivering excellent investment » GCA acted as exclusive financial advisor to Kapten & Son in
performance to its global investor base connection with the transaction
11I. GCA OVERVIEW
II. MARKETPLACE & E-COMMERCE MARKET TRENDS & INSIGHTS
III. PUBLIC MARKETS
IV. M&A AND FINANCINGS
V. PUBLIC COMPS BACKUP
12MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
GCA’s Key Performance Metrics for E-commerce and Marketplace Companies
Key metrics for e-commerce and marketplace companies
Market trends Traffic Shop/front-end Conversion Customers After sales Financials
% market growth % paid vs. Load times % match rate Repurchase rate Fast delivery / % top-line growth
unpaid traffic completion
% online-share CPCs for Market depth % cancellation rate Split existing and new # of SKUs and % EBITDA margin
growth paid channels customers/orders % on stock
% market share % direct traffic Scalability Drop out rate AOV Handling time % take rate
Net promoter score Filtering functionality Response times LTV to CAC ratio Returned goods % cash conversion
share
% mobile Mobile friendliness Churn rate/customer NWC requirement
traffic share cohorts
The key metrics consistently driving value for both marketplace and e-commerce companies are topline
growth, overall margin structure, and most importantly, customer engagement and economic metrics
Importance of criteria
Source: (Full = high; empty = low)
GCA research. 13MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
Key Marketplace Themes from Andreesen Horowitz’s Report
A16Z’s Key Marketplace Themes 1 A16Z’s Key Marketplace Metrics 1
1
Most New Top 100 Marketplaces are Focused ✓ Match Rate
in Food and Bev., Travel, Music, and Fashion How successfully can the two sides of the marketplace
find each other? Key to the value proposition of each side
Bandcamp, Mercato, Tentrr, and Curtsy headline the new
entrants to a16z’s top 100 marketplaces rankings
✓ Market Depth
Is there enough supply? For a positive user experience,
Even Within the Top 100, Consumer Spending having a deep market with a large, tailored supply is critical
2 is Concentrated to the Top Few
Instacart accounts for 70%+ of the GMV in the Top 100, with
✓ Time to Match
How long does it take for supply and demand to match?
Valve, Vacasa, StockX, Rover, and GOAT accounting for an For suppliers, low ‘days to turn’ is essential for success
additional 14%
✓ Fragmentation
The COVID-19 Pandemic Drastically Altered the How concentrated are the supply and demand sides? A
3 Marketplace Landscape marketplace’s core utility is aggregating a fragmented market
Childcare, Ticketing, and Office Space Marketplaces shrunk
drastically while Education, Celebrity Engagement, and ✓ Multi-tenancy
How many users are active on similar services? Meeting all
Grocery Marketplaces experienced significant growth
related needs in one place strengthens competitive moats
Network Effects are Critical to a Marketplace’s
4 ✓ Switching / Multi-housing Costs
Success and Strengthen Moats How easy is it for users to join a new network? Friction can
In categories without a strong incumbent, newcomers were protect from users switching over or pricing competitions
able to achieve significant growth, otherwise, network effects
typically proved too much to overcome ✓ Retention
Is user retention improving for newer cohorts? Network
Marketplaces are Able to Both Sustain High effects should cause retention to increase over time
5 Growth and High GMC ✓ Take Rate
Unlike in previous years, marketplace companies were able How valuable is the marketplace? Capitalization on the
to maintain high growth rates as well as high GMVs in 2020 GMV transacted reflects the value of the marketplace
Source:
1) Andreesen Horowitz, The a16z Marketplace 100: 2021. https://a16z.com/marketplace-100 14MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
Key Sector Themes: Travel
Key Themes and Selected Companies A16Z Top Marketplace Companies
» With Airbnb and Vrbo having already disrupted the travel industry with Incumbents
marketplace benefits, current a16z top marketplace companies
differentiate by offering specific expertise in a travel subcategory
» Consumers easily switch between platforms and turn to whichever
marketplace best matches their current needs, whether it be an RV
(RVshare), Glamping Site (GlampingHub), Boat (BoatSetter), or Local
Tour Guide (Verlocal)
» HipCamp: Platform used to search for available campsites based on
location, landscape, activities offered, and amenities, enabling travelers
to make travel fun and simple while providing new revenue streams to
landowners such as farmers, ranchers, and vintners
» TourRadar: Multi-day tour marketplace intended to help book and
compare tours, read reviews, and meet guides and other travelers. The
online platform assists in booking multi-day tours at the click of a
button, enabling travelers to have an improved user experience
GCA Experience
Sources:
Andreesen Horowitz, Pitchbook, Companies’ websites. 15MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
Key Sector Themes: Music
Key Themes and Selected Companies A16Z Top Marketplace Companies
» Legacy music labels such as Sony and WMG, as well as newer streaming Incumbents
platforms such as Spotify and Apple Music, offer consumers a near
infinite opportunity to listen and discover music
» Thus, the a16z top music marketplaces differentiate themselves by
offering greater benefits to musicians and artists
» Bandcamp: Offers users the opportunity to instantly stream music
purchases, follow favorite artists, keep a ‘wishlist’, showcase the
collection, and explore the music of like-minded fans, enabling artists to
have easy access to customers' data, real-time statistics, and music
chart reporting
» BeatStars: Digital production marketplace that provides the tools to
distribute, monetize, and protect content, enabling music producers
and recording artists to collaborate, share, sell, and distribute any type
of music
GCA Experience
Sources:
Andreesen Horowitz, Pitchbook, Companies’ websites. 16MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
Key Sector Themes: Food & Beverage
Key Themes and Selected Companies A16Z Top Marketplace Companies
» The food & beverage marketplace ecosystem is incredibly crowded Incumbents
with strong marketplace incumbents with very little competitive
differentiation
» As established marketplaces become commoditized, new entrants are
differentiated by offering services in smaller markets (Delivery Dudes),
specializing in healthy options (Territory), or encouraging group
ordering (Ritual)
» Saucey: Ordering platform providing on-demand alcohol delivery. The
platform delivers beer, wine, or spirits at the push of a button and
offers the convenience of 30-minutes delivery
» MealPal: Provider of a lunchtime meal subscription service, letting
members select lunch packs from hundreds of restaurants. The
platform enables users to pre-order the night before or in the morning
and choose a time to pick up their lunch to skip the lunch lines
GCA Experience
Sources:
Andreesen Horowitz, Pitchbook, Companies’ websites. 17MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
Key Sector Themes: Retail Marketplace
Key Themes and Selected Companies A16Z Top Marketplace Companies
» General retail marketplaces, offering a wide range of different types of Incumbents
products, are one of the most established areas of the online
marketplace ecosystem, providing consumers with a one-stop-shop
» Marketplaces offer more attractive economics to wholesalers and
consumers by connecting the two directly, as well as offering additional
value such as curation and expertise
» Faire: Wholesale marketplace designed to mitigate the burden of
inventory risk for retailers. The platform leverages artificial intelligence
and predictive analytics to forecast which products will fly off its virtual
shelves in order to efficiently source and manage inventory
» Curated: Collaborative shopping platform that brings the personal
touch of an in-store specialty shopping experience to customers. The
platform matches customers with experts for high-consideration
purchases and items that have some degree of complexity, enabling
shoppers to get access to unbiased product recommendations
GCA Experience
Sources:
Andreesen Horowitz, Pitchbook, Companies’ websites. 18MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
Key Sector Themes: Education
Key Themes and Selected Companies A16Z Top Marketplace Companies
» While most marketplaces are not replacing primary education services, Incumbents
they are providing parents and students with avenues to supplement
learning and offering adults a chance to learn a new skill
» EdTech had been a rapidly growing sector even before the COVID-19
pandemic catalysed its long-term growth, with over half of U.S.
schoolchildren learning in remote or hybrid models and supplementary
education becoming increasingly utilized (1)
» Outschool: Developer of an e-learning platform that offers live online
classes for kids aged between 3 to 18. The platform connects students
and teachers for group learning based on their needs and interests at a
lower price point than private tutoring
» Skillshare: Developer of an online global learning community platform
that offers classes on any type of expertise – from baking cupcakes to
raising startup capital – enabling members to harness their creative
power and learn skills in an enhanced way
GCA Experience
Sources:
Andreesen Horowitz, Pitchbook, Companies’ websites.
1) Institution of Education Services, February 2021. 19MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
Other Key Sector Themes: Grocery Delivery & Pet Marketplaces
Key Grocery Marketplace Themes and Selected Companies Key Pet Marketplace Themes and Selected Companies
» Grocery marketplaces experienced extreme growth during the » The pet industry has experienced significant growth through COVID as
pandemic as users looked to stay sheltered in place as much as possible 11.4MM U.S. households have gotten a new pet during the pandemic (1)
» Instacart represented majority of GMV in both the grocery subcategory » While users have turned to traditional marketplaces such as Amazon
and in Andreesen Horowitz’s Top 100 Marketplaces overall, despite and established e-commerce brands such as Chewy for most pet foods
having competitors that offered very similar services and products, a16z top marketplaces have found success connecting
pet owners with walkers, sitters, trainers, and breeders
» Mercato: Operator of a grocery marketplace that connects consumers
with local merchants. The marketplace helps users order fresh » Rover: Developer of a pet care platform designed to connect pet
groceries online from a single store or combine items from multiple owners with pet sitters and walkers. The company's platform offers a
merchants in the same order delivered to their door range of pet care services including overnight pet care, house sitting,
daycare, drop-in visits, and playdates, enabling users to find people
» GrubMarket: Developer of an online food marketplace platform
who'll treat their pets like family
intended to deliver farm-fresh food to door across the United States.
The company provides consumers and artisan wholesalers with a » Good Dog: Operator of a pet breeder screening platform that educates
variety of producers that provider quality foods and other items at prospective dog owners and connects them with responsible breeders,
competitive prices enabling owners to avoid the bad breeders and create a movement
that elevates the standards in the dog world overall
A16Z Top Marketplaces GCA Experience A16Z Top Marketplaces GCA Experience
Sources:
Andreesen Horowitz, Pitchbook, Companies’ websites.
1) COVID-19 Pulse Study, American Pet Products Association. 20MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
Marketplace and E-commerce Companies Continued to See Growth and Value Expansion Throughout the Year
E-commerce & Marketplace Companies Have Significantly Outperformed the S&P 500 LTM
250%
200% 200%
150%
160%
100%
50%
25%
0%
-50%
March April May June July August September October November December January February
Marketplace E-commerce S&P 500
Marketplace E-commerce
160% 200%
LTM Share Price Performance
Source:
Capital IQ as of 4/23/20. 21MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
Marketplace Case Study Spotlight: ThreadUp’s IPO and the Continued Importance of Re-Commerce
» Shares of ThredUp popped 40%+ on its opening trading day as shares were originally priced at $14, opened trading at $16, and closed above $20
̶ ThredUp’s market cap was over $2Bn on its first day of trading, though it still lagged behind direct competitors Poshmark and The
RealReal, and other legacy competitors such as eBay
» The online secondhand marketplace category is quickly rising with strong tailwinds as new consumers increasingly utilize the combination of step
discounting, always present with secondhand marketplaces, with the increased supply and ease of online shopping
̶ Piper Sandler notes that 47% of upper-income teens have bought something secondhand and 55% have sold something secondhand
̶ They also cited that 34% of all females have heard of ThredUp, while 19% have used the service
» In addition to consignment sales, ThredUp also offers RaaS (Resale-as-a-Service), partnering with 21 brands and retailers such as Athleta,
Madewell, Walmart, Banana Republic, and eBay
̶ This type of service benefits ThredUp through high margin sales, managing supply more efficiently, and by creating brand awareness while
the partner drives incremental revenue and is introduced to new customers
ThredUp Stock Performance since IPO Analyst Coverage and Key Stats
Mkt. Cap $1.6Bn
EV / LTM Rev 10.2x
$35 “infrastructure
TDUP’s automated logistics
and unit efficiency
“advantage
ThredUp has a decade long
against potential new
9MM “
create a moat around “
$30 competition due to investments in
Shares open the business infrastructure, technology, and data
trading at $18.25
Shares now trade $25
slightly above $18
6MM
$20
Raises $168MM in IPO
priced at $14.00/share
$15
1.2 MM 428k 4 MM
3MM $10 Active Buyers Active Sellers 2020 Orders
$5 5.5 MM $3.3 Bn
- -
Item Distribution Saved off Retail
3/26/21 4/2/21 4/9/21 4/16/21 4/23/21 Capacity Price by Users
Sources:
ThredUp S-1 Filing, Wall Street Research. Stock data as of 4/27/21. 22MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
SPACs are on Fire – What is Going On?
2020 SET NEW IPO PROCEEDS HIGHWATER MARK
Issuance in $Bn; average size in $MM
» In recent years, the number of SPAC IPOs has accelerated as
10 8 17 12 33 46 59 248 189
they have gained credibility
$108.4
$294 $335
» The SPAC IPO market is shattering historical highs
$11 0.0 $35 0
$269 $321
$233 $83.0
$30 0
$90 .0
$231 $47.7
– SPAC IPO proceeds grew ~6x in 2020, with $83Bn+ closed vs. $70 .0
$195 $25 0
$14Bn in 2019 $150 $20 0
$110
$50 .0
$15 0
– The average SPAC IPO size increased ~45% from $231MM in $30 .0
$10.0 $10.7 $13.6 $60.7 $10 0
$1.1 $1.8 $3.9 $3.5
2019 to $335MM in 2020 $10 .0
$50
($10.0) -
– SPAC IPOs represented ~25% of overall U.S. IPOs in 2020(1) 2013 2014 2015 2016 2017 2018 2019 2020 2021
YTD
» ~$113Bn in SPAC IPO proceeds ready for deployment # of IPOs IPO Pending IPO Average Size
» De-SPAC success rate is high, 90+%, with only 5 that have
liquidated since 2017
HISTORICAL DE-SPAC VOLUMES
De-SPAC in $Bn; average size in $MM
» Strong M&A backdrop, with 66 de-SPAC transactions
9 13 17 25 66 15
completed in 2020 $14 0.0 $2, 000
$1,793 $1,843 $1, 800
– De-SPAC volumes jumped from $3Bn in 2016 to $115Bn+ in $12 0.0
$1,330 $1, 600
2020 $10 0.0
$1,035
$1, 400
$118.3
$1, 200
$80 .0
$1, 000
$60 .0
$562 $22.6 $80 0
$40 .0
$356 $25.9 $60 0
$40 0
$20 .0
$7.3
$3.2 $27.6 $20 0
- $0
2016 2017 2018 2019 2020 2021 YTD
# of De-SPACs De-Spac Value Average Size
High Profile Participants Further Boost Credibility
Sources:
Wall Street research, FactSet, Capital IQ, GCA research, as of 3/1/2021. 23
1) SPAC IPO % represents # of SPAC IPOs over # of SPAC IPOs + # of Traditional IPOs.MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
SPAC Trading Performance is Improving with Quality
Size Matters Quality is Increasing Over Time Tech Outperforms the Broader Market
Mean Share Price Median Share Price
~30% Premium ~30% Premium ~45% Premium
$16.63 $16.65
$18 .00
$18 .00
$25 .00
$16 .00
$16 .00
$14 .00
$12.84 $14 .00
$13.05 $19.46
$13.52 $13.52 $20 .00
$12 .00
$12 .00
$10 .00
$10.49 $10 .00
$15 .00
$15.77 $13.72
$8. 00
$8. 00
$8.66
$10 .00
$10.89
$6. 00
$6. 00
$4. 00
$4. 00
$5. 00
$2. 00
$2. 00
-
- -
$200M+MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
Three Recent Consumer Subscription Companies Going Public via SPAC
Subscription-based
Subscription-based at-home
platform supplying sexual Subscription-based platform
Description fitness classes, connected
health, hair loss, and other supplying treat boxes for dogs
machines, and wellness products
medical treatments
’21E / ’20A Growth 36% 65% 26%
’21E Revenue $202M $369 $1.1Bn
EV / ’21E Rev 11.8x 4.4x 2.6x
’21E Gross Margin 75% 60% 68%
EV / ’21E Gross Profit 15.8x 7.4x 3.9x
The SPAC path to IPO will be an increasingly relevant option for emerging e-commerce and marketplace
companies over the next 24 months and there are more than 20 relevant SPACs for the sector on file
Sources:
Capital IQ, and company filings. 25MARKETPLACE & E-COMMERCE: MARKET TRENDS & INSIGHTS
Selected LTM M&A and Financing Activity
M&A Transactions ($MM) Financings ($MM)
Ann. Enterprise Ann.
Acquirer Target Investor Target Amount
Date Value Date
3/11/21 Conf. 3/24/21 $320
2/2/21 $1,100 3/23/21 $1,150
10/30/20 $1,500 3/16/21 $200
10/13/20 NA 11/12/20 $275
10/2/20 $300 10/28/20 $100
9/29/20 $420 10/21/20 $100+
9/8/20 $425 10/8/20 $200
8/3/20 $252 9/11/20 $85
6/10/20 $7,521 9/10/20 $33
5/28/20 $280 7/1/20 $453
5/13/20 $190 4/29/20 $128
Sources:
Capital IQ, Pitchbook, company press releases. 26MARKETPLACE & E-COMMERCE MARKET SUMMARY
Top 10 Leaders in Private Funding Raised-to-Date
Company Headquarters Founded Amt. Raised ($MM)(1) Company Description
Provider of an on-demand goods delivery application
San Francisco, CA 2012 $2,640
designed to order groceries from local stores
Provider of on-demand delivery services intended to
Philadelphia, PA 2013 $2,435
offer convenience items
Operator of the e-commerce business for all major
Jacksonville, FL 1995 $2,290 professional sports leagues, major media brands and
collegiate and professional team properties
Operator of an e-commerce and retail brand created
Walpole, MA 2018 $1,950
to acquire and cultivate category-leading products
Provider of a peer-to-peer, car-sharing marketplace
San Francisco, CA 2009 $840
intended to serve cities across the US and Europe
Operator of an online shopping platform designed to
Bellevue, WA 2011 $834
offer a simple way to buy and sell locally
Provider of meetings and events technology that offers
McLean, VA 1999 $762
a marketplace that connects venues with professionals
Palo Alto, CA 2009 $664 Operator of an online home furnishing marketplace
Provider of vacation rental marketplace that
Portland, OR 2009 $639 streamlines the rental experience for homeowners and
guests
Provider of an online marketplace designed to trade
Detroit, MI 2015 $565
high-demand and limited-edition sneakers
Notes:
Represents U.S. companies.
Sources: Pitchbook, LinkedIn, Company Websites. 27
1) Includes debt and equity financing.MARKETPLACE & E-COMMERCE MARKET SUMMARY
Selected Active Investors
Investor Type Investor Logos
Accelerators / Seed
Venture Capital /
Private Equity
Corporate Investors
Alternative
Investors
Sources:
Capital IQ, Pitchbook, Wall Street Research. 28MARKETPLACE & E-COMMERCE MARKET SUMMARY
Most Active Deal Makers
Company Headquarters Number of Deals Selected Investments & M&A
San Jose, CA 15
Tokyo, Japan 12
Shirebrook, United
Kingdom 10
Seattle, WA 10
Unterföhring,
Germany 10
Hangzhou, China 9
Cape Town, South
Africa 9
Northwich, United
Kingdom 9
Chicago, IL 7
Bentonville, AR 7
Notes:
Represents investments since 2010 in North America and Europe with the exception of Walmart’s acquisition of Flipkart. 29
Sources: Capital IQ, Pitchbook, Wall Street Research.I. GCA OVERVIEW
II. MARKETPLACE & E-COMMERCE MARKET TRENDS & INSIGHTS
III. PUBLIC MARKETS
IV. M&A AND FINANCINGS
V. PUBLIC COMPS BACKUP
30MARKETPLACE & E-COMMERCE MARKET SUMMARY
Valuation Overview
Marketplace E-commerce
EV / ’21 Revenue 8.5x EV / ’21 Revenue 2.7x
Revenue CAGR ‘20-’22 31.9% Revenue CAGR ‘20-’22 23.3%
EV / ’21 EBITDA 23.3x EV / ’21 EBITDA 22.5x
’21 EBITDA margin 6.2% ’21 EBITDA margin 7.2%
Marketplace and e-commerce multiples have remained strong as the categories continue to reap the
benefits of robust business momentum and industry tailwinds
Source:
Capital IQ as of 4/27/21. 31MARKETPLACE & E-COMMERCE MARKET SUMMARY
Public Offerings Coming Soon
Capital Raised Latest
Company Status Description
to Date Valuation
Provider of an online shopping platform designed to offer craft luxury-
Filed for IPO on grade denim. The company's online shopping platform offers denim with a
the Nasdaq on $25MM $94MM simple design, superior quality and a pared-down product selection,
April 12th enabling consumers to get premium denim and luxury essentials at
discounted rates than the traditional retail price.
Developer of an online employment marketplace intended to help
Filed for direct
employees find the right job. The company's connects employers and job
listing on the
$219MM $1.5Bn seekers, enabling job seekers to easily search and apply for jobs and help
NYSE on April
businesses distribute job postings affordably and filter candidates and
23rd
review applications.
Developer of a mobile-based restaurant discovery platform designed to
Filed for IPO on
place food orders online. The company's platform provides information
Indian stock
about restaurants globally and offers online ordering, food delivery, table
exchanges NSE $2.4Bn $5.4Bn
reservations and premium restaurant subscription services, enabling users
and BSE on
to discover, rate and review restaurants, as well as create their own
April 28th
networks of fellow food enthusiasts for trusted recommendations.
Operator of an on-demand goods delivery application that facilitates the
In discussion
delivery of essential goods to busy people and families. The company
with banks;
$2.5Bn $17.7Bn offers full-service and in-store shopper services through a network of
potential H1
independent shoppers with same-day delivery and pickup service of fresh
2021 IPO (1)
groceries and everyday essentials.
Flipkart is an Indian-based e-commerce marketplace that connects sellers
Targeting IPO
Majority owned and consumers. The platform offers over 80 million products across over
as soon as $20.8Bn(3)
by Walmart 80 categories such as electronics, fashion, home essentials, groceries, and
Q4 2021(2)
other lifestyle products. Flipkart is aiming for a valuation of at $35Bn. (2)
Sources:
1) The Guardian, January 2021.
2) Business Insider, April 2021. 32
3) Enterprise Value of Walmart’s acquisition of a 77% stake in Flipkart for $16Bn in 2018.I. GCA OVERVIEW
II. MARKETPLACE & E-COMMERCE MARKET TRENDS & INSIGHTS
III. PUBLIC MARKETS
IV. M&A AND FINANCINGS
V. PUBLIC COMPS BACKUP
33M&A AND FINANCINGS
Precedent M&A Transactions
($MM)
Announced Enterprise EV / Revenue EV / EBITDA
Date Acquirer Target Value (EV) LTM NTM LTM NTM Target Description
Operator of an online marketplace designed to offer information related to strategic acquisition
4/8/21 NA NA NA NA NA
opportunities
Operator of an online marketplace that sells pet products. The company offers beds, toys and
4/6/21 NA NA NA NA NA
accessories such as blankets and mats for dogs and cats
Operator of an ecommerce brand that specializes in supplying lifestyle products on third-party
3/17/21 NA NA NA NA NA
ecommerce platforms
Provider of on-demand food delivery services intended to deliver local food at the doorstep of
3/17/21 $23 NA NA NA NA
users
Operator of a full-service rental property management platform intended to provide premier
3/11/21 Confidential
vacation homes in various travel destinations
Operator of an online sports retail platform that supplies a wide range of tennis racquets and
2/11/21 NA NA NA NA NA
equipment, running shoes, sports apparel and accessories from various sports brands
Operator of an online retailer of precious metals, from bars to rounds to coins that works directly
2/9/21 $113 NA NA NA NA
with mints and distributors
Developer of artificial intelligence driven online marketplace for employers and job seekers that
2/8/21 $9 NA NA NA NA
brings technology expertise to the staffing sector
2/5/21 NA NA NA NA NA Operator of an online retail store offering a wide range of discounted consumer apparel
Developer of an online liquor retail platform intended to deliver alcohol and other related
2/2/21 $1,100 NA NA NA NA
products
Operator of a marketplace and innovation discovery platform for health care purchasers to drive
1/22/21 NA NA NA NA NA
impact through action
Manufacturer and online retailer of reliable IT and A/V infrastructure components for data
1/6/21 NA NA NA NA NA
centers
Operates an online rental classifieds service, at www.avail.co, for do-it-yourself landlords and
12/17/20 NA NA NA NA NA
tenants
Operator of a shipping payment e-commerce network intended to connect retailers with
12/2/20 NA NA NA NA NA
consumers
Provider of food preparing and delivery services intended to offer a perfect balance of nutrition
11/23/20 $277 1.8 x 2.7 x NA NA
and taste to enhance mind and body performance
Provider of a weekly subscription service intended to offer fresh, chef-cooked meals that can be
10/30/20 $1,500 NA 4.2 x NA NA
heated and served directly to customers' doors
10/13/20 Broadband Capital Investments $70 NA NA NA NA Provider of online retail platform intended to sell indoor and outdoor gardening products
99designs is an operator of a global creative platform intended to connect designers and
10/5/20 NA NA NA NA NA
businesses
10/2/20 $300 0.5 x NA NA NA Operator of an online retail platform selling food and grocery products
Provider of an online marketplace for bikes intended to help make extra cash by sharing the
9/29/20 NA NA NA NA NA
vehicle
Sources:
Capital IQ, Pitchbook, company press releases. 34M&A AND FINANCINGS
Precedent M&A Transactions (cont’d)
($MM)
Announced Enterprise EV / Revenue EV / EBITDA
Date Acquirer Target Value (EV) LTM NTM LTM NTM Target Description
9/23/20 NA NA NA NA NA Operator of a website intended to provide dog food and accessories
9/8/20 NA NA NA NA NA Developer of an e-commerce platform designed for auto part industry
Operator of an e-commerce platform for high-design furniture and accessories for the office and
9/1/20 NA NA NA NA NA
home
8/3/20 $210 NA NA NA NA Provider of an online shopping platform designed to sell household appliances
Developer of a direct-to-consumer software system that connects breweries and consumers
7/27/20 NA NA NA NA NA
through a mobile marketplace
10/13/20 NA NA NA NA NA Operator of an online marketplace designed to retail shoes and related accessories
Designer and provider of an online shopping platform designed to offer ways to shop the latest
10/2/20 NA NA NA NA NA
trends in menswear and women's wear
Operator of a digital coupon marketplace, intended to offer a savings destination which connects
9/29/20 $420 NA NA NA NA
consumers with retailers, restaurants and brands, both online and in-store
Direct-to-consumer contact lens retailer offering easy, convenient and hassle-free replacement of
9/23/20 NA NA NA NA NA
contact lenses of the most popular brands at competitive prices
Operator of an online marketplace intended to make wholesale automotive deals simple and
9/8/20 $425 NA NA NA NA
transparent
Operator and retailer of a personalized products online marketplace intended to aspire, inspire,
9/1/20 NA NA NA NA NA
motivate
8/28/20 $250 NA NA NA NA Provider of online and catalog retail services intended to provide direct-to-consumer service
8/24/20 $16 1.2 x NA NA NA An e-commerce brand in the health and personal wellness category
8/3/20 $252 NA NA NA NA Online retailer of gifting products
Developer of a digital marketplace and platform intended to help in scheduling on-demand pet
7/27/20 NA NA NA NA NA
care
Developer of an interactive gym designed to bring the essential components of a studio workout
6/29/20 $500 NA NA NA NA
at home
Operator of an online marketplace intended to provide high-quality stock media at a fraction of
6/25/20 Confidential
the cost
Provider of an online shopping platform designed to offer a range of beauty and personal care
6/23/20 NA NA NA NA NA
products, food products, household and kitchen products and stationery
6/17/20 NA NA NA NA NA Operator of an online clothing retail store that providing womens clothing and fashion products
6/1/20 $7,521 5.6 x 4.7 x NM NM Provides an online takeout food platform for diners through over 50,000 restaurant partners
Sources:
Capital IQ, Pitchbook, company press releases. 35M&A AND FINANCINGS
Precedent M&A Transactions (cont’d)
($MM)
Announced Enterprise EV / Revenue EV / EBITDA
Date Acquirer Target Value (EV) LTM NTM LTM NTM Target Description
5/28/20 $280 8.1 x NA NA NA Provider of an online database for internet graphics
5/27/20 NA NA NA NA NA Retailer of nutritional supplements and fitness-related products
Operator of an online real estate marketplace that allows for the search, listing and transacting of
5/13/20 $190 3.3 x NA NA NA
properties online
Operator of an online design marketplace intended to sell ready-to-use design content from
4/30/20 NA NA NA NA NA
independent creators around the world
3/25/20 $120 NA NA NA NA Developer of a mobile platform designed to facilitate buying and selling of local goods
Developer of financial education and recommendation platform intended to offer free credit
2/24/20 $525 2.5 x 2.4 x 37.2 x 25.8 x
scores and reports with monitoring
2/24/20 NA NA NA NA NA Operator of a real estate marketplace platform based in Seattle, Washington
2/13/20 NA NA NA NA NA Operator of an online marketplace for buying and selling highly valued items
Developer of ticketing software and solutions intended to bring the joy of live shows to fans
2/13/20 $4,050 NA NA NA NA
globally
2/11/20 $485 2.3 x NA NM NA Provider of online marketplace for connecting people seeking care services
1/27/20 NA NA NA NA NA Operator of an online store focused on selling indie and vintage-inspired women's clothing
10/31/19 NA NA NA NA NA Operator of an e-commerce website intended to offer apparel, shoes and accessories
10/15/19 NA NA NA NA NA Operator of an online platform intended to provide customizable products for weddings
10/10/19 $100 Confidential Provider of online photography services and photo products
Operator of an e-commerce website offering ergonomic home and office furniture intended to
8/29/19 $35 0.6 x NA NA NA
create energizing spaces
8/21/19 $275 NA NA NA NA Provider of an online marketplace designed for new, used and vintage music gear
8/6/19 NA NA NA NA NA Provider of an online marketplace intended to offer a range of sports apparel and accessories
8/2/19 $18 NA NA NA NA Retailer of engraved, monogrammed or custom-made gifts online
Manufacturer and retailer of intimate apparel intended to offer comfortable undergarments for
7/31/19 $140 NA NA NA NA
women
7/9/19 NA NA NA NA NA Operator of online retail hunting and outdoor apparel shop headquartered in Franklin, Tennessee
Sources:
Capital IQ, Pitchbook, company press releases. 36M&A AND FINANCINGS
Precedent M&A Transactions (cont’d)
($MM)
Announced Enterprise EV / Revenue EV / EBITDA
Date Acquirer Target Value (EV) LTM NTM LTM NTM Target Description
Manufacturer and retailer of photo-based products and services for customers in the United
6/10/19 $2,751 NA NA NA NA
States through its portfolio of brands
Provider of online photo services enabling the users of film cameras, digital cameras and camera
6/10/19 NA NA NA NA NA
phones to share, print and store their photos online
6/13/19 $160 NA NA NA NA Operator of an online marketplace intended to offer various deals on retail stores
5/21/19 NA NA NA NA NA Provider of an online marketplace designed for live auctions of collectibles, antiques and fine art
Operator of an e-commerce platform designed to offer exclusive editions of artwork by
5/1/19 NA NA NA NA NA
prominent contemporary artists
Provider of an online platform intended to help users feel good and inspire them to do good as
4/4/19 $750 1.9 x NA NA NA
well
Summary Statistics
Mean 2.9x 3.6x 37.2x 25.8x
Median 2.3x 3.6x 37.2x 25.8x
Sources:
Capital IQ, Pitchbook, company press releases. 37M&A AND FINANCINGS
Precedent Financings
($MM)
Announced Amount Total Enterprise
Date Investor Target Invested Raised Value (EV) Target Description
Provider of an online healthcare platform designed to connect quality medical professionals with hospitals when
4/26/21 $50 $53 $90
patients need them
Manufacturer of sustainable design furniture and operater of an online marketplace that offers apartment
4/22/21 $15 $25 NA
furniture enabling consumers to order furniture with easy shipping and transport
4/7/21 $27 $50 $177 Operator of an online marketplace designed to connect luxury goods factories directly to consumers
Operator of an online marketplace that delivers local produce, sustainable meat, seafood products, and grocery
3/29/21 $100 $337 NA
staples, enabling consumers to order groceries and get them delivered at their home or office
3/25/21 $29 $33 $117 Operator of a grocery marketplace intended to connect consumers with local merchants
3/24/21 $320 $2,290 $12,800 Operator of a multi-channel sports merchandise retailer
3/23/21 $1,150 $2,435 $8,900 Developer of a go-to application intended to deliver daily essentials within minutes
Operator of a health insurance marketplace intended to improve healthcare benefits for employers and
3/17/21 $28 $72 NA
consumers
3/16/21 $200 $253 $1,700 Developer of an online marketplace designed to connect consumers to local dispensaries for cannabis
2/19/21 $23 $24 NA Developer of a wholesale marketplace built to connect small business owners and independent brands
Provider of a premier online shopping platform intended to offer baby and children's fashion and lifestyle
2/11/21 $30 $50 NA
products
2/10/21 $42 $67 $128 Provider of an online retail platform designed to facilitate both offline and online shopping for customers
2/3/21 $115 $222 NA Developer of a wine marketplace designed to view ratings for wines from around the globe
Developer of an online travel service platform designed to help users to discover and book outdoor stay and
1/7/21 $57 $99 $377
camping experiences
1/5/21 $80 $144 $510 Developer of an online marketplace designed to provide warehousing spaces on-demand
12/22/20 $100 $145 $175 Operator of an online marketplace designed to offer access to the global network of fully finished apartments
12/15/20 $40 $40 NA Developer of an online platform for boutique products based in Lehi, Utah
Provider of an online marketplace created to offer healthcare practice loans and commercial real estate
12/15/20 $34 $38 NA
mortgages
11/13/20 $72 $273 NA Operator of a learning platform intended to connect students all over the world to the best instructors
11/12/20 $275 $565 $2,800 Provider of an online marketplace designed to trade high-demand and limited edition sneakers
Sources:
Capital IQ, Pitchbook, company press releases. 38M&A AND FINANCINGS
Precedent Financings (cont’d)
($MM)
Announced Amount Total Enterprise
Date Investor Target Invested Raised Value (EV) Target Description
11/9/20 $250 $323 NA Provider of an online health and beauty marketplace designed to offers a robust catalog directly to consumers
10/28/20 $100 $621 $750 Operator of an online renting platform intended to revolutionize the accessories and dressing industry
10/21/20 $100 $164 NA Provider of online peer-to-peer recreational vehicle rental services
Operator of an on-demand goods delivery application intended to facilitate the delivery of essential goods to
10/8/20 $200 $2,470 $17,500
busy people and families
Developer of a digitized online mortgage lending platform designed to democratize the home-financing
10/5/20 $200 $454 $4,000
ecosystem
Developer of an online food marketplace platform intended to deliver farm-fresh food to doors all across the
10/5/20 $60 $166 $450
United States
9/23/20 $100 $290 $1,750 Provider of an online footwear marketplace intended to buy and sell sneakers online
9/17/20 $380 $1,280 $3,520 Developer of a go-to application intended to deliver daily essentials within minutes
Developer of an online retail platform designed to provide consumers with well-designed, quality clothing and
9/11/20 $85 $145 $635
accessories at an approachable price point
Operator of an online marketplace for home furniture and home decor items designed to help people to buy
9/10/20 $33 $65 $108
and sell chic furnishings in an easy-to-use online marketplace
9/9/20 $12 $28 NA Provider of an online marketplace for trading used bicycles and cycling accessories
9/3/20 $40 $73 NA Provider of an online health and beauty marketplace designed to offers a robust catalog directly to consumers
8/27/20 $39 $62 NA Operator of an e-commerce platform intended to sell secondhand luxury bags
8/17/20 $35 $84 $635 Operator of an online Chinese supermarket intended to offer authentic gourmet delicacies from Asia
8/13/20 $350 $1,970 $6,200 Operator of a multi-channel sports merchandise retailer
7/1/20 $453 $834 NA Operator of an online shopping platform designed to offer a simple way to buy and sell locally
6/30/20 $30 $274 $400 Operator of an online shopping platform intended to offer wholesale club experience for modern shoppers
5/14/20 $15 $73 $120 Operator of an e-commerce platform and offline stores intended to offer secondhand luxury handbags
4/29/20 $128 $290 $1,328 Provider of an online marketplace designed to trade high-demand and limited edition sneakers
Operator of an online marketplace intended to provide information on residential properties and rented
3/10/20 $60 $150 $400
workspace
Sources:
Capital IQ, Pitchbook, company press releases. 39M&A AND FINANCINGS
Precedent Financings (cont’d)
($MM)
Announced Amount Total Enterprise
Date Investor Target Invested Raised Value (EV) Target Description
2/6/20 $30 $45 $95 Operator of an online marketplace designed to offer access to the global network of fully finished apartments
2/5/20 $17 $25 $38 Provider of an online retail platform designed to facilitate both offline and online shopping for customers
Developer of an e-commerce platform designed to change the way people discover and shop for designer
1/31/20 $100 $420 $775
fashion
Developer of an online marketplace built on pioneering technology intended to connect today's dynamic
1/31/20 $17 $23 $67
workforce with companies facing increasingly complex staffing requirements
Developer of an online flower delivery platform designed to connect farms and a curated network of artisan
1/30/20 $16 $74 $126
florists directly to consumers
12/9/19 $10 $12 NA Developer of an online marketplace platform designed to offer products for home decoration
12/2/19 $40 $61 $440 Developer of an online shopping platform designed to help women rediscover fashion
11/18/19 $16 $26 $84 Operator of an online retail platform intended to sell meat and seafood products
11/6/19 $16 $27 $46 Provider of an online marketplace intended to offer and help users browse commercial spaces
10/2/19 $35 $49 $400 Operator of an online retail platform intended to provide professional clothing for women
Developer of a lifestyle membership platform designed to provide women with products from premium and
9/1/19 $80 $89 $930
emerging brands
8/26/19 $100 $112 NA Operator of an online retail platform intended to sell bedding textiles
Developer of an online clothing retail platform designed to offer thrift shopping online while making it
8/21/19 $175 $338 $670
mainstream
Developer of an online marketplace designed to transform the way the meetings are booked to benefit event
8/20/19 $50 $56 NA
planners and hoteliers
8/6/19 $40 $40 NA Provider of an online ticketing marketplace to buy and sell tickets
8/1/19 $300 $1,800 $11,200 Operator of a mobile e-commerce platform designed to make affordable products accessible to everyone
7/5/19 $14 $23 $59 Developer of a retail platform intended to bring modern brick-and-mortar shopping experience online
Developer of an online kids shopping platform intended to help kids to be socially responsible and make an
6/26/19 $15 $28 $55
impact
6/25/19 $150 $424 $1,700 Provider of an online marketplace designed to hire workers and offer local services
Operator of an online luxury footwear platform intended to offer branded shoes and other fashion apparel and
6/17/19 $50 $90 $165
accessories
Sources:
Capital IQ, Pitchbook, company press releases. 40M&A AND FINANCINGS
Precedent Financings (cont’d)
($MM)
Announced Amount Total Enterprise
Date Investor Target Invested Raised Value (EV) Target Description
Operator of an e-commerce platform intended to be used for the wholesale ordering of professional grade
5/14/19 $25 $31 $95
supplements
5/7/19 $43 $64 $193 Developer of an online marketplace designed to provide warehousing spaces on-demand
4/15/19 $25 $48 $110 Operator of an online marketplace intended to make wholesale automotive deals simple and transparent
Developer of a shopping platform aimed to connect consumers to the items and brands that match their
4/12/19 $20 $31 $100
preferences
4/10/19 $181 $303 $511 Provider of an online car marketplace designed to simplify the process of buying and selling cars
4/9/19 $12 $22 $80 Developer of an online mobile shopping application designed to purchase items directly from retailers
4/1/19 $29 $54 NA Provider of an online marketplace intended to sell pre-owned luxury goods
3/22/19 $50 $338 $1,050 The RealReal Inc provides online marketplace for authenticated and consigned luxury goods
3/21/19 $125 $521 $1,000 Developer of an online renting platform intended to revolutionize the accessories and dressing retail industry
Sources:
Capital IQ, Pitchbook, company press releases. 41I. GCA OVERVIEW
II. MARKETPLACE & E-COMMERCE MARKET TRENDS & INSIGHTS
III. PUBLIC MARKETS
IV. M&A AND FINANCINGS
V. PUBLIC COMPS BACKUP
42APPENDIX – PUBLIC COMPANY VALUATIONS
($MM, except per share data)
Stock Price Market Cash & Total Enterprise EV / Revenue EV / EBITDA Revenue Growth EBITDA Margin
Company 4/27/2021 Cap ST. Invest. Debt Value (EV) CY21E CY22E CY21E CY22E 21E/20A 22E/21E CY21E CY22E
Marketplaces
Alibaba Group Holding Limited $237.77 $644,623 $70,790 $22,676 $617,470 4.5x 3.8x 17.4x 14.9x 40% 19% 26% 25%
Uber Technologies $58.37 $108,612 $6,827 $10,374 $113,647 7.1x 5.2x NM NM 31% 37% (3%) 6%
Airbnb $181.14 $108,542 $6,391 $2,330 $104,481 21.8x 16.1x NM NM 47% 35% 3% 11%
MercadoLibre $1,602.06 $79,894 $2,461 $1,708 $79,142 13.5x 10.0x NM NM 53% 34% 4% 7%
eBay Inc. $62.69 $42,708 $3,826 $8,317 $47,199 4.0x 3.7x 11.2x 10.3x 18% 7% 35% 36%
Delivery Hero SE $169.43 $42,177 $2,903 $1,976 $41,248 6.9x 4.7x NM NM 90% 46% (9%) (1%)
Copart $123.12 $29,095 $616 $512 $28,991 11.0x 10.0x 24.1x 21.0x 14% 11% 46% 47%
Etsy $211.68 $26,904 $1,669 $1,138 $26,372 12.2x 10.2x 40.9x 33.2x 33% 20% 30% 31%
Carvana Co. $294.59 $23,076 $432 $1,889 $24,947 2.8x 2.1x NM NM 65% 34% (1%) 1%
Lyft $63.73 $20,963 $2,251 $1,022 $19,734 6.5x 4.5x NM NM 29% 43% (7%) 6%
Farfetch Limited $51.37 $18,196 $1,573 $827 $17,618 8.0x 6.1x NM NM 34% 30% 0% 6%
Just Eat Takeaway.com N.V. $106.05 $15,782 $656 $697 $15,829 3.3x 2.6x NM NM 70% 25% (0%) 5%
Fiverr International Ltd. $223.47 $8,010 $487 $372 $7,894 27.3x 20.2x NM NM 54% 35% 7% 16%
Grubhub Inc. $70.56 $6,580 $413 $615 $6,782 3.1x 2.6x 29.3x 20.1x 21% 17% 10% 13%
Deliveroo plc $3.56 $6,514 $0 $0 $6,514 2.6x 2.1x NM NM NA 23% (14%) (12%)
Vroom $47.69 $6,466 $1,056 $347 $5,757 2.3x 1.4x NM NM 86% 60% (10%) (5%)
Upwork Inc. $49.60 $6,248 $170 $35 $6,113 13.3x 10.9x NM NM 26% 22% 3% 7%
Coursera $44.85 $5,719 $0 $0 $5,719 15.9x 12.5x NM NM NA 27% (15%) (11%)
Stitch Fix $46.69 $4,965 $307 $160 $4,818 2.2x 1.8x NM NM 22% 17% (3%) (0%)
Poshmark $43.88 $3,293 $262 $55 $3,086 9.5x 7.4x NM NM 24% 29% 2% 4%
Shutterstock $90.55 $3,310 $364 $40 $2,986 4.1x 3.8x 17.0x 15.7x 10% 7% 24% 24%
The RealReal $25.22 $2,266 $355 $279 $2,190 5.1x 3.9x NM NM 41% 29% NM (11%)
ThredUp Inc. $18.58 $1,688 $0 $0 $1,688 8.0x 6.2x NM NM NA 30% NM (5%)
Summary Statistics
Mean 8.5x 6.6x 23.3x 19.2x 40% 28% 6% 9%
Median 6.9x 4.7x 20.8x 17.9x 33% 29% 2% 6%
E-Commerce
Amazon.com $3,481.69 $1,755,178 $84,396 $101,229 $1,772,011 3.7x 3.2x 24.5x 19.5x 25% 18% 15% 16%
JD.com $79.38 $122,558 $22,465 $4,833 $110,146 0.8x 0.6x 30.1x 20.2x 27% 21% 3% 3%
Coupang $44.00 $75,466 $0 $0 $75,466 3.9x 2.8x NM NM NA 40% (2%) (1%)
Wayfair Inc. $312.41 $32,402 $2,591 $3,626 $33,437 2.1x 1.7x 45.4x 30.5x 12% 20% 5% 6%
Zalando SE $107.52 $27,217 $3,292 $2,163 $26,088 2.1x 1.8x 32.4x 26.4x 25% 20% 7% 7%
Vipshop Holdings Limited $32.66 $22,457 $2,989 $414 $20,019 1.0x 0.9x 13.9x 11.8x 25% 13% 7% 8%
Ocado Group plc $30.30 $22,393 $2,811 $1,873 $21,550 5.7x 4.9x NM NM 20% 16% 3% 5%
Rakuten Group $13.36 $21,042 $36,715 $24,102 $8,626 0.6x 0.5x 17.2x 4.2x 6% 11% 3% 12%
ZOZO $34.70 $10,595 $557 $181 $10,219 6.9x 6.5x 22.1x 20.4x 10% 6% 31% 32%
ContextLogic Inc. $15.20 $9,394 $2,129 $52 $7,317 2.2x 1.8x NM NM 33% 21% (6%) 0%
ASOS Plc $72.54 $7,225 $128 $459 $7,556 1.4x 1.1x 14.4x 13.9x 29% 22% 9% 8%
boohoo group plc $4.68 $5,839 $461 $18 $5,397 2.1x 1.5x 19.5x 15.5x 38% 43% 11% 9%
Shop Apotheke Europe N.V. $224.05 $4,018 $157 $47 $3,908 2.7x 2.1x NM NM 21% 31% 3% 3%
Zur Rose Group AG $379.20 $3,630 $340 $595 $3,885 2.0x 1.4x NM NM 11% 44% (3%) 0%
Hims & Hers Health $12.21 $2,318 $100 $0 $2,218 11.0x 9.2x NM NM 40% 19% NM (9%)
AO World plc $3.95 $1,868 $110 $137 $1,893 0.8x 0.7x 19.5x 15.3x 19% 14% 4% 4%
1-800-FLOWERS.COM $24.38 $1,581 $371 $278 $1,489 0.7x 0.7x 7.7x 7.7x 16% (0%) 10% 10%
Boozt AB (publ) $24.08 $1,534 $209 $86 $1,412 2.2x 1.9x 24.7x 20.3x 23% 17% 9% 9%
Westwing Group AG $57.22 $1,162 $128 $35 $1,065 1.7x 1.4x 19.0x 19.3x 20% 20% 9% 7%
Kogan.com Ltd $8.41 $895 $61 $10 $844 2.5x 1.2x 13.9x 12.1x (32%) 111% 18% 10%
home24 SE $24.80 $720 $128 $73 $665 0.9x 0.7x 44.8x 38.1x 24% 24% 2% 2%
PetMed Express $30.91 $621 $107 $0 $515 1.6x 1.6x 11.5x 10.9x 4% 3% 14% 14%
Summary Statistics
Mean 2.7x 2.2x 22.5x 17.9x 19% 24% 7% 7%
Median 2.1x 1.5x 19.5x 17.4x 21% 20% 7% 7%
Sources:
Capital IQ, Wall Street Estimates. Multiples 50x considered NM. 43You can also read
