Weekly Wrap Lite #25: IPO Pops and Flops, FOMO Investing and the Cloud Space Race

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Victoria had a public holiday on Friday thanks to the almighty AFL Grand Final… being held in another state, on another day. We write this Weekly Wrap on Fridays, so this week we’re skipping our usual analysis/story shpiel and jumping straight into the short, sharp, snappy rapid fire.

Welcome to Weekly Wrap Lite.


Happenings in ANZ

  • Westpac jumped BNPL horses. It sold down its 10.7% stake in Zip (netting around $300 million in profit) and is now cozying up with Afterpay, who will soon offer savings and transaction accounts to its 3 million+ Australian customers using Westpac’s Banking-as-a-Service platform. The Westpac + Afterpay deal sent Afterpay’s shares over AU$100 for the first time, valuing the business at nearly AU$30 billion!

  • Ding ding ding - MyDeal and Adore Beauty rang the bell in two highly anticipated ASX listings on Thursday and Friday.

    MyDeal had an impressive start following an oversubscribed AU$40 million IPO, popping 120% above its IPO price of $1.00 to $2.20 and closing at $1.75. MyDeal also announced its quarterly gross sales (a.k.a. gross transaction value) are up 317 percent YoY to $56.7 million.

    Adore Beauty listed at AU$6.75 a share. At one point on Friday the shares were up 10% at $7.42, and closed at $6.92. The listing gave Quadrant Private Equity a 5x return in just 12 months. Not too shabby.

    Congrats everyone!

  • Luxury Escapes is partnering with Airly to provide a private jet offering. Prices start at $17,500, with up to four people able to take a flight on the plane. 🤑

  • Entrepreneurial goodness: Startmate has created a Student Internship Program, apply here. Swinburne Uni launched an AWS-backed cloud degree. Antler Sydney is showcasing 16 companies at its upcoming Demo Day on 19 November.

  • People moves: Envato has a new boss - former HotelsCombined CEO, Hichame Assi. FinTech Australia appointed Paypa Plane’s Simone Joyce as its new chair.

ANZ cap raises

  • ecommerce marketing tech company founded by former Jetstar boss Bruce Buchanan, Rokt raised a whopping US$80 million Series D at a $450 million valuation, led by TDM Growth Partners and supported by existing investors including Square Peg. Part of the raise will be used to buy back shares from employees and investors and $20 million set aside for M&A. Deals deals deals - watch this space.

  • Movac announced two Seed investments from their brand spanking new NZ$250 million fund: Yabble is “where brands meet fans” - a consumer data and insights marketplace. Portainer provides tools to simplify container management. Its technology is used by software engineers to speed up software deployments, troubleshoot problems and simplify migrations.

  • Online ordering start-up HungryHungry raised AU$2 million. HungryHungry competes against big dawgs UberEats and Deliveroo, whose high fees are angering restauranteurs (they charge 20-35% of an entire order vs HungryHungry’s 5%). They’re currently processing over 60,000 orders per week - up 6x compared to pre-covid levels.

  • ecommerce startup Storbie raised NZ$1.5 million to fuel its expansion into Australia. Storbie is NZ’s answer to Shopify but focussed on the Pharmacy, Vet and Optometry verticals.

  • Tiliter, a startup whose technology uses computer vision to recognise products without the need for barcodes, has closed a AU$7.5 million Series A led by Investec. Its tech is currently used in 20 Woolworths stores.

  • Alternative meat startup V2food raised AU$77 million to expand into China. An interesting strategy considering how revered meat has become in China. That said, V2food has the backing of some big name Asian investors (including Horizons Ventures, Sequoia China, Temasek, along with Australia’s own Main Sequence Ventures) who obviously believe the business has legs in the Asian market.

Around the world (all in USD)

  • Head down memory lane with FastCompany’s compilation of 25 moments in tech that defined the past 25 years (with a big U.S. slant). Remember when we used to have to pay per minute for 56k dial-up? Napster? Angry Birds? They all make the list.


That’s a wrap! We hope you enjoyed it.

Gavin, Bex and the team at Ignition Lane

www.ignitionlane.com

p.s. We love feedback - if you have any or want to continue the conversation, please reach out.

Watch Gavin live on AusBiz at 2pm on Mondays, when he opens the Startup Hour of Power.