Cheval Capital, Inc.

Valuation of Public Hosting Companies - January 31, 2013

Summarized below are estimates of the relative valuations of some public companies that have significant hosting operations. Please be aware that a number of these companies have other businesses that may also affect their valuations. (All data was taken from publicly available financial statements and please see this post for how we calculate Enterprise Value.)

 

As always, please feel free to contact us if you have any comments, or questions.

Cheval Capital, Inc.

Disclaimer: This post is for general information purposes and is not meant to be taken as financial advice, a recommendation to buy or sell the stocks mentioned above, a comprehensive discussion of valuation or how to do the calculations discussed. Please be sure to consult your financial advisors when valuing your company, considering the sale of your business or making other financial decisions.

Valuation of Public Hosting Companies - July 13, 2012

Summarized below are estimates of the relative valuations of some public companies that have significant hosting operations. Please be aware that a number of these companies have other businesses that may also affect the valuations. (All data was taken from publicly available financial statements and please see this post for how we calculate Enterprise Value.)

Prices as of midday 7/13/2012
	Annualized	EntValue	Enterprise Value /
Company	Revs ($mil)	($mil)	Revenues	EBITDA
North America
Rackspace	$     1,133	$     6,272	5.5x	15.6x
Web.Com Group	$       366	$     1,929	5.3x	14.2x
Peer1	$       134	$        386	2.9x	10.8x
Europe
United Internet	$     2,796	$     4,137	1.5x	7.9x
Dada	$       108	$         87	0.8x	5.7x
IOMart Gp	$         52	$        257	4.9x	14.7x
Australia
Melbourne IT	$       184	$        198	1.1x	7.7x

 

As always, please feel free to contact us if you have any comments, or questions.

Cheval Capital, Inc.

Disclaimer: This post is for general information purposes and is not meant to be taken as financial advice, a recommendation to buy or sell the stocks mentioned above, a comprehensive discussion of valuation or how to do the calculations discussed. Please be sure to consult your financial advisors when valuing your company, considering the sale of your business or making other financial decisions.

Valuation of Public Hosting Companies - March 16, 2012

Summarized below are estimates of the relative valuations of some public companies that have significant hosting operations. Please be aware that a number of these companies have other businesses that may also affect the valuations. (All data was taken from publicly available financial statements and please see this post for how we calculate Enterprise Value.)

 
 
As always, please feel free to contact us if you have any comments, or questions.

Cheval Capital, Inc.

Disclaimer: This post is for general information purposes and is not meant to be taken as financial advice, a recommendation to buy or sell the stocks mentioned above, a comprehensive discussion of valuation or how to do the calculations discussed. Please be sure to consult your financial advisors when valuing your company, considering the sale of your business or making other financial decisions.

Prices as of midday 3/16/2012

Annualized EntValue EntValue/ EntValue/

Company Revs ($mil) ($mil) Revenues EBITDA

North America

Rackspace $1,133 $8,133 7.2 19.9 

Web.Com Group $294 $1,734 5.9 17.5 

Peer1 $134 $289 2.2 8.4 

Europe

United Internet $2,498 $4,660 1.9 10.0 

Dada $100 $109 1.1 8.2 

Net Benefit Gp * $84 $233 2.8 10.4 

IOMart Gp $36 $241 6.7 23.1 

Australia

Melbourne IT $189 $199 1.1 6.8 

* Sale price of NBT

Prices as of midday 3/16/2012

Annualized EntValue EntValue/ EntValue/

Company Revs ($mil) ($mil) Revenues EBITDA

North America

Rackspace $1,133 $8,133 7.2 19.9 

Web.Com Group $294 $1,734 5.9 17.5 

Peer1 $134 $289 2.2 8.4 

Europe

United Internet $2,498 $4,660 1.9 10.0 

Dada $100 $109 1.1 8.2 

Net Benefit Gp * $84 $233 2.8 10.4 

IOMart Gp $36 $241 6.7 23.1 

Australia

Melbourne IT $189 $199 1.1 6.8 

* Sale price of NBT

The WHIR - Derek Vaughan on "Web Hosting Still Growing"

Hillary Stiff has some comments in Derek Vaughan's recent WHIR column on Web Hosting & HostingCon 2011.  

HostingCon 2011 - How the Big Buyers Look At Acquisitions

This turned out to be a great panel with Hillary Stiff (Managing Director of Cheval Capital), Ditlev Bredahl (CEO of OnApp), Joe Bardenheier (SVP of Endurance), Mike Jones (CFO of Softlayer), and Sumeet Sabharwal (SVP of Navisite.) There were no slides but David Snead posted a description of the panel with some of its key thoughts on his WHIR blog.  If you aren't aware of David Snead, he is a well regarded, Washington D.C. attorney that works exclusively with companies that provide the infrastructure supporting the internet and those who create and distribute products and services electronically.  His website is here.

Hillary Stiff & Frank Stiff