Case Studies

Recent Growth Technology Based Carve Outs Have Demonstrated Excellent Value Creation

Opportunity

Industry being transformed by AI/IOT autonomous technology

Success

GM invests $581m to set up Cruise at $1Bn valuation in March 2016; May 2018 Softbank invests $2.25 Bn valuing Cruise at $11.5Bn; GM leader in space and Cruise represents 20% of GM’s current market cap

Opportunity

Genetic sequencing and big data technology dramatically accelerates cancer detection

Success

Illumina invests $100M in January 2016 to form Grail; Current valuation $3.2Bn with $1.6Bn in outside capital; Market leader with expected 2019 IPO

Opportunity

Leverage mobile/IOT technology to efficiently capture new large small business market

Success

Thirty two months after the set up of Clover, mentioned 88 times in the S-1; CEO Frank Bisignano investor call “As we enter 2018, we are well positioned as a technology leader”

“Ford Launches Subsidiary To Lead Autonomous Vehicles”

“Equity stakes in a fast-growing startup and a link to a big auto maker are helping recruit engineers and robotics researchers”

“GE to sell off East Bay digital division once seen as key to company’s future”

“Software development was a key initiative of former CEO Jeff Immelt”