SVL the tech hour is now.

Dear SVL Board,

Why isn't there an update?

Tech float frenzy continues as Touchcorp and OtherLevels bounce

Sally Rose
Published: March 31, 2015 - 5:43PM

Strong sharemarket debuts from Touchcorp and OtherLevels, on the same day that accounting software provider MYOB launched its $2.7 billion initial public offer, indicate the healthy investor appetite for technology floats seen in 2014, is set to continue.
Digital payments software company Touchcorp popped by as much as 16.4 per cent to $1.63 during trading on Tuesday. Its initial public offering raised $56 million and valued the company at $162.4 million. The stock closed its first session 10.7 per cent above its $1.40 offer price at $1.55.
"Unlike a lot of more speculative tech IPOs that are selling a dream based on lofty earnings multiples, we were able to market Touchcorp as an established company with a strong track record of growing net profit after tax. I was comfortable with the pricing of the deal, given the company is well established with a quality client list," Wilson HTM broker Hugh Robertson said.
Goldman Sachs acted as sole bookrunner and underwriter on the Touchcorp deal, with Wilson HTM Investment Group acting as joint lead manager.
Touchcorp's Touch System enhances the capabilities of EFTPOS terminals, allowing them to sell a range of electronic goods, including pre-paid vouchers. Notable local clients are 7-Eleven, Telstra, Optus, and Vodafone. Money raised through the IPO will help fund expansion in Europe and south-east Asia.
"Investors liked that the business has a global growth bent," Mr Robertson said.
Revenue was forecast to hit $41 million this financial year, while NPAT was forecast to drop to $7.4 million due to the effect of a one-off tax benefit in 2014. The business is debt free.
Separately on Tuesday, mobile marketing business OtherLevels soared by as much as 45 per cent to 29¢ when it hit the boards, before closing 17.5 per cent higher than its 20¢ per share offer price at 23.5¢.
OtherLevels raised $7.5 million in a deal that valued the loss-making company at $31.5 million. Well-known technology entrepreneur Steve Baxter, who appears as a judge on the Ten Network program Shark Tank is a backer of the San Francisco-based company.
Accounting software and service provider MYOB, officially launched its IPO on Tuesday in a bid to raise as much as $833.8 million, valuing the company at up to $2.69 billion, based on an indicative price range of $3 to $4 a share.
The deals follow a flurry of well-received technology IPOs in 2014 that included Urbanise, Aconex, 1-Page and eCargo.
This story was found at: SMH