Market Overview

Atlassian to Acquire OpsGenie to Help IT Teams Manage Service Disruptions

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Atlassian Corporation Plc (NASDAQ:TEAM), a leading provider of team
collaboration and productivity software, today announced it has entered
into a definitive agreement to acquire OpsGenie, Inc., whose technology
enables companies to better plan for and respond to IT service
disruptions.

Dealing with IT outages and downtime is one of the biggest technical
challenges of the modern era, costing North American businesses an
estimated $700
billion per year
1. Today's world of interconnected
cloud services and microservice architectures has created infinitely
more opportunities for something to go wrong and disrupt service. When
that happens, there's an urgent need to alert the right people or teams
to fix things. OpsGenie's technology quickly routes alerts to the
appropriate IT teams, speeding diagnosis and resolution, and reducing
downtime.

Atlassian today also introduced Jira Ops, an end-to-end incident
management platform. OpsGenie is already directly integrated into Jira
Ops and will be available from day one. That means Atlassian is able to
offer customers a much simpler approach to dealing with service
disruptions – a one-stop shop to manage incident response.

The acquisition of OpsGenie also underscores Atlassian's strategic focus
on the IT market.

"We view the IT market as a major opportunity for Atlassian," said Scott
Farquhar, Atlassian's co-founder and co-CEO. "We're committed to
supporting the needs of IT teams across companies of all sizes, and
helping them quickly address service issues is critical. OpsGenie helps
companies react to the flood of alerts they're receiving in a much
smarter way."

"At OpsGenie, we saw an opportunity to help companies whose response to
critical IT issues was slowed by inefficient, outdated processes and
technology," said Berkay Mollamustafaoglu, OpsGenie's co-founder and
CEO. "We have dramatically grown our customer base to more
than 3,000 around the world, and have built an outstanding team. We're
excited to join the Atlassian family and continue to help our customers
cope with increasingly complex operational challenges."

OpsGenie was founded in 2012 and is based in Boston, with offices in
Falls Church, Va., and Ankara, Turkey.

1IHS report, 2016

Details Regarding the Transaction

The acquisition is valued at approximately $295 million, comprising
approximately $259M in cash and the remainder in Atlassian restricted
shares, subject to continued vesting provisions.

The transaction is expected to close in October, subject to certain
closing conditions.

For fiscal 2019, the acquisition is expected to add approximately one
percentage point of revenue to the target revenue range of approximately
$1,146 to $1,154 million previously provided on Atlassian's fourth
quarter fiscal 2018 earnings announcement on July 26, 2018.
Additionally, for fiscal 2019, the acquisition is expected to be
dilutive to IFRS operating margin and earnings per share, and neutral to
non-IFRS operating margin and earnings per share. These estimates
reflect a reduction relating to fair value adjustments to acquired
deferred revenue.

Forward-Looking Statements Disclosure

This press release includes forward-looking statements, within the
meaning of the Private Securities Litigation Reform Act of 1995, which
are subject to risks, uncertainties and other factors, including risks
and uncertainties related to Atlassian's ability to integrate the
business, technology, products, personnel and operations of OpsGenie,
and the financial statement impact of the transaction on Atlassian. All
statements other than statements of historical fact are statements that
could be deemed forward-looking statements, including statements
regarding: the ability of Atlassian to extend its leadership into
incident response management, the IT market, and other anticipated
benefits of the transaction to Atlassian and to the combined companies;
potential benefits of the transaction to Atlassian
and OpsGenie customers; the ability of Atlassian and OpsGenie to close
the announced transaction and the timing of the closing of the
transaction; OpsGenie's technology; any statements of expectation or
belief; and any statements of assumptions underlying any of the
foregoing. These risks, uncertainties and other factors, and the general
risks associated with Atlassian's and OpsGenie's business, could cause
actual results to differ materially from those stated or implied in
these forward-looking statements. For a discussion of these and other
risks and uncertainties, you should refer to Atlassian's most recent
Form 20-F filed with the Securities and Exchange Commission as well as
other documents that may be filed by Atlassian from time to time with
the Securities and Exchange Commission. Atlassian undertakes no
obligation to update any forward-looking statements made in this press
release to reflect events or circumstances after the date of this press
release or to reflect new information or the occurrence of unanticipated
events, except as required by law. The achievement or success of the
matters covered by such forward-looking statements involves known and
unknown risks, uncertainties and assumptions. If any such risks or
uncertainties materialize or if any of the assumptions prove incorrect,
Atlassian's results could differ materially from the results expressed
or implied by the forward-looking statements we make. You should not
rely upon forward-looking statements as predictions of future events.
Forward-looking statements represent our management's beliefs and
assumptions only as of the date such statements are made.

About Atlassian

Atlassian unleashes the potential of every team. Our team collaboration
and productivity software helps teams organize, discuss and complete
shared work. Teams at more than 125,000 customers, across large and
small organizations – including General Motors, Walmart Labs, Bank of
America Merrill Lynch, Lyft, Verizon, Spotify, and NASA – use
Atlassian's project tracking, content creation and sharing, and service
management products to work better together and deliver quality results
on time. Learn more about our products, including Jira Software,
Confluence, Trello, Bitbucket, and Jira Service Desk at https://atlassian.com/.

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