Video Game Sector 2011 Annual Review by Avista Partners including online, mobile, console, technology, etc. with detailed information mergers & acquisitions, fundraising, key developments, public comparables and stock index comparisons.

1. Video Game Briefing
2011 – Year in Review
January 2012

2. Avista
Video Game Briefing Partners
Table of Contents
2011 Year in Review
Highlights
Breakdown of value by sub sector for public game companies
Breakdown of All Deals by sub-sector for 2011
Breakdown of M&A Deals by sub-sector for 2011
Breakdown of All Fundraising Deals by sub-sector for 2011
Breakdown of All Venture Capital Fundraising Deals by sub-sector for 2011
Breakdown of All Venture Capital Fundraising Deals by region for 1997 to 2011
Summary of All Venture Capital Fundraising by Year for Online Games
Summary of All Venture Capital Fundraising by Year for Mobile Games
Breakdown of All Global Exits/IPOs by region for 1997 to 2011
Game Index Performance by sub-sector for 2011
Game Index Performance by region for 2011
Stock Comps (by sector & ranked by enterprise value):
PC/ Console Game Publishers/ Developers
Game Distributors/ Accessory Companies
Game Outsourcing Companies
Payment Companies
Mobile Game Companies
Online Game Companies
M&A Comps (LTM & ranked by date) listing all transactions in 2011:
Mobile Game M&A Comps
Game Distribution/ Accessory M&A Comps
Game Technology/ Middleware M&A Comps
Game Outsourcing M&A Comps
Payment M&A Comps
PC/ Console Game M&A Comps
Online Game M&A Comps
Fundraising Comps (LTM & ranked by date) listing all transactions in 2011:
PC/ Console Game Fundraising Comps
Payment/ Offer/ Analytics Fundraising Comps
Mobile Game Fundraising Comps
Game Hardware Fundraising Comps
Game Technology/ Middleware Fundraising Comps
Online Game Fundraising Comps
January 2012 Source: Capital IQ, Company Filings, Brokers & Press 2

3. Avista
Video Game Briefing Partners
About Avista Partners LLP
Avista Partners is an independent investment banking firm that brings deep sector expertise, global relationships, and world class transaction experience in the digital
media and luxury sectors. Our global network is based on strong relationships with senior management at companies and media investors in our core sectors including
venture capitalists, private equity firms, hedge funds, family offices & institutional investors. We provide our clients with the following services: Capital Markets Advisory;
Mergers & Acquisitions; Restructuring; and Financial & Strategic Advisory.
This note has been prepared and issued by Avista Partners LLP which is authorized and regulated by the FSA. Any information in this note is based on data obtained from sources considered to be reliable, but no representations or
guarantees are made by Avista Partners with regard to the accuracy of the data. This note is for information purposes, it is not intended to be and should not be construed as an offer or solicitation to acquire, or dispose of, any of the
securities mentioned in this note. This note is intended solely for distribution to professional and business contacts of Avista Partners. It is not intended to be distributed to private investors or private customers. Avista Partners accepts
no responsibility or liability whatsoever for any expense, loss or damages arising out of or in any way connected with the use of all or any part of this report. No part of this material may be (i) copied, photocopied or duplicated in any
form by any means or (ii) redistributed without Avista Partners LLP's prior written consent.
Contact Information:
Tel: +44 207 193 6780
Fax: +44 207 691 7112
Email: info@avistapartners.com
33 Glasshouse Street
London W1B 5DG
United Kingdom
www.avistapartners.com
January 2012 Source: Capital IQ, Company Filings, Brokers & Press 3

4. Avista
Video Game Briefing Partners
2011 – Year in Review
Highlights:
• 492 Deals valued over $9.6 bn in global sector with online games representing 70.6% of that total; including value creation of IPO’s then deal value hit $19.1 bn; highest ever
• Over $18.1 bn of value was created for VC/PE Investors and/ or Founders through Exits and IPOs; highest ever
• Over $4.4 bn of M&A deals in global sector with online games representing 71.5% of that total
• Over $5.2 bn total capital raised in global sector with online games representing 69.8% of that total; highest ever
• Over $2.1 bn total venture capital raised in global sector with online games representing 63% of that total at $1.3 bn; highest ever for sector and online games
• The Mobile Game Index was the best performing game sector index at +45.9%;The North America Game Index was the best performing regional game index at +0.7%
• Nexon and Zynga completed the 2 largest IPO’s in the game sector ever; both raised $1 bn+
• Total value of all public game companies in the sector is: $111.2 bn
Breakdown of value by sub sector for public game companies (USD$ millions)
Outsourcing, $288
Distribution/Accessories,
Payment, $725
$511
PC/Console w/o
Online, $37,619 Nintendo, $39,745
Retail, $3,215 Nintendo, $17,335
Mobile, $11,793
January 2012 Source: Capital IQ, Company Filings, Brokers & Press 4

5. Avista
Video Game Briefing Partners
Breakdown of All Deals by sub-sector for 2011
Outsourcing
Payment/Offer/Analytics 0.1%
9.2%
Game Technology
3.1%
PC/Console
Game Hardware 10.0%
0.9%
Mobile
6.1%
Online
70.6%
January 2012 Source: Capital IQ, Company Filings, Brokers & Press 5

6. Avista
Video Game Briefing Partners
Breakdown of M&A Deals by sub-sector for 2011
PC/Console
4.5%
Game Technology
Payment Mobile 0.9%
Hardware 15.5% 7.3%
0.2%
Online
71.5%
January 2012 Source: Capital IQ, Company Filings, Brokers & Press 6

7. Avista
Video Game Briefing Partners
Breakdown of All Fundraising Deals by sub-sector for 2011
Outsourcing
0.2%
PC/Console
14.7% Game Hardware
1.4%
Mobile
5.1%
Game Technology
4.8%
Payment/Offer/
Analytics
3.9%
Online
69.8%
January 2012 Source: Capital IQ, Company Filings, Brokers & Press 7

8. Avista
Video Game Briefing Partners
Breakdown of All Venture Capital Fundraising Deals by sub-sector for 2011
PC/Console Game Hardware
Outsourcing
0.0% 3.5%
0.5%
Mobile
11.6%
Game Technology
11.9%
Payment/ Offer/
Online Analytics
63.0% 9.2%
January 2012 Source: Capital IQ, Company Filings, Brokers & Press 8

9. Avista
Video Game Briefing Partners
Breakdown of All Venture Capital Fundraising Deals by region for 1997 to 2011
2,500.0
2,000.0
1,500.0
1,000.0
500.0
0.0
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
North America Europe Asia/ Pacific
January 2012 Source: Capital IQ, Company Filings, Brokers & Press 9

10. Avista
Video Game Briefing Partners
Summary of All Venture Capital Fundraising by Year for Online Games
1600.0 160
148
1400.0 1342.7 140
1226.2
117
1200.0 120
116 109
1000.0 998.7 100
800.0 769.4 80
66
600.0 529.0 60
400.0 40 375.7 40
312.9 300.5
258.1
209.8
200.0 161.3 22 20
17
49.8 11
6 4 26.2
4 3
0.0 0
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Year
January 2012 Source: Capital IQ, Company Filings, Brokers & Press 10

11. Avista
Video Game Briefing Partners
Summary of All Venture Capital Fundraising by Year for Mobile Games
300.0 80
247.7
74
70
250.0
60
198.4
200.0 187.5
50
151.5
150.0 40
124.2 120.3 35
121.8
31
30
100.0 79.6
23
18 22 23 20
62.6 20
50.0 49.1
8 6 10
28.6
20.7
2
6 4
0.7
0.0 0
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Year
January 2012 Source: Capital IQ, Company Filings, Brokers & Press 11

12. Avista
Video Game Briefing Partners
Breakdown of All Global Exits/IPOs by region for 1997 to 2011
20,000.0
$38.9bn value created for VC/PE investors
18,000.0
and/or founders since 1997; 47% of that
16,000.0
was generated in 2011
14,000.0
12,000.0
10,000.0
8,000.0
6,000.0
4,000.0
2,000.0
0.0
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
North America Europe Asia/ Pacific
Note: Only deals where PE/VC investors or founders were selling or benefiting
January 2012 Source: Capital IQ, Company Filings, Brokers & Press 12

13. Avista
Video Game Briefing Partners
Game Index Performance by sub-sector for 2011
The Mobile Game Index is the best performing game sector index at +45.9%
200.00%
180.00%
160.00%
140.00%
120.00%
100.00%
80.00%
60.00%
40.00%
20.00%
0.00%
Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Nov-11 Dec-11
S&P 500 Index Games Distributor/ Accessory Index Game Retailer Index Mobile Game Index
Game Outsourcing Index PC/ Console Game Index Payment Index Online Game Index
Note: the companies making up each index are those listed in the corresponding comps in the following pages. The indexes are based on a weighted market cap and are rebased to 100 at the start.
January 2012 Source: Capital IQ, Company Filings, Brokers & Press 13

14. Avista
Video Game Briefing Partners
Game Index Performance by region for 2011
The North America Game Index is the best performing regional game index at +0.7%
130.00%
120.00%
110.00%
100.00%
90.00%
80.00%
70.00%
60.00%
50.00%
40.00%
Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Nov-11 Dec-11
S&P 500 Index Europe Game Index North America Game Index Asia Game Index
Note: the companies making up each index are those listed in the corresponding comps in the following pages. The indexes are based on a weighted market cap and are rebased to 100 at the start.
January 2012 Source: Capital IQ, Company Filings, Brokers & Press 14