Final Recommendation: GO
We recommend F5 proceed with the acquisition of E2B.dev at $350M (50% synergy share).
Investment Summary:
- Total Portfolio Investment: $350M
- Total Synergy Value: $225M
- Combined ARR: $8M
- Expected IRR: 22-28%
- Payback Period: 4-5 years
Next Steps:
| Timeline | Action |
|---|---|
| Week 1-2 | Board approval for LOI submission |
| Week 3-4 | Submit non-binding LOI, begin exclusivity negotiations |
| Week 5-8 | Confirmatory due diligence |
| Week 9-12 | Definitive agreement negotiation and signing |
| Month 4-6 | Regulatory approval and closing |
| Month 6-12 | Integration Phase 1 (technical) |
| Month 12-18 | Integration Phase 2 (commercial) |
Key Success Metrics:
- Close transaction within 6 months
- Retain 90%+ of engineering team
- Achieve $25M cross-sell revenue in Year 1
- Launch integrated F5 + E2B.dev product within 9 months