Statement re Investment in Flexiant

29 April 2014
Tern Plc
("the Company" or "Tern")

Update on investment

Tern Plc, the investment company specialising in the Cloud and mobile sectors of the IT market, is pleased to provide an update on its investment in Flexiant Ltd ("Flexiant").  Flexiant is the leading European provider of cloud management software for cloud orchestration for on-demand, fully automated provisioning of cloud services.  Three important developments that have been achieved since Tern invested in November 2013 are described below.

In 2013 Flexiant's orders increased more than three fold over the previous year and there are new customers in North America, South America, Africa, across Europe and Asia.

• Distribution partnership

Parallels® and Flexiant announced a number of joint initiatives in February 2014 including integrating the Flexiant Cloud Orchestration platform with Parallels Automation and the creation of an Application Packaging Standard (APS) package. The announcement also included the news that Flexiant Cloud Orchestrator will support the recent iteration of Parallels® Cloud Services with the unique container technology developed by Parallels®. In addition, Parallels® and Flexiant have reached agreement that allows Parallels® to resell Flexiant globally.

Leading market research company 451 commented:

"This is a good deal for Flexiant. It gives it the potential to reach a far wider audience than it could have on its own, .... It's a nice tuck-in partnership for Parallels, which now can forgo cooking up all of the features around service-provider business use that Flexiant brings. It already counts some 10,000 service providers using Parallels to deliver cloud services, and will be targeting vCloud swap-outs with its Flexiant capability.

Parallels is a global leader in hosting and cloud services enablement and cross-platform solutions.  http://www.parallels.com/uk/about/about-parallels/"

• Award

For the second year in a row, Flexiant has achieved the highest product innovation score among ten vendors evaluated by Info-Tech Research Group's Vendor Landscape: Cloud Management Platforms and was awarded the Value Award.

Info-Tech evaluated ten competitors in the cloud management market including Abiquo, CA Technologies, Citrix, Eucalyptus, Flexiant, InContinuum, Microsoft, OpenStack, Virtustream and VMware. Each vendor was assessed on features, usability, affordability, architecture, viability, strategy, reach and channel.

Flexiant maintained the highest Info-Tech Value Score(TM) of the vendor group scoring 100, well above the average score of 36. Vendors were indexed against Flexiant's performance to provide a complete, relative view of their product offerings.  Flexiant was rated exemplary as a product in usability, affordability and architecture.

• New Business win

Webhosting company, Weserve B.V. announced it has selected Flexiant Cloud Orchestrator to replace its existing cloud platform to manage its multi-datacenter cloud solution from one platform.

Faced with multi-datacenter management limitations from its previous cloud software vendor, Weserve was in search of a mature, professional and high availability IaaS cloud orchestration solution that could serve its 1,500-2,000 customers and 25 resellers across the Netherlands.

Angus Forrest, Chairman of Tern plc said:  Flexiant exemplifies everything we are seeking in our investments, technical products incorporating material competitive advantages, management seeking to be best in their sector and increasing global presence achieved through direct sales and via strategic partnerships.  We are delighted with the progress achieved by Flexiant since we invested and expect to see the advances in the business reflected in the increased value of our shareholding."

Enquiries:

Tern plc	Tel: [phone]
Angus Forrest
WH Ireland NOMAD and Broker	Tel: [phone]
John Wakefield
Peterhouse Corporate Finance (Joint broker)	Tel. [phone]
Jon Levinson / Lucy Williams
Redleaf Polhill	Tel. [phone]
Charlie Geller

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The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Tern Plc via Globenewswire

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