IPO Watch: SSH Group and Way2VAT both surge on debut
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SSH Group is headquartered in Perth and provides safety and people services, including to civil and construction sites as well as government, corporate and communities buildings and precincts.
Examples it listed in its prospectus included mine sites, office towers, stadiums, road projects and hospitals. One of the more prominent was the McGowan government’s hotel quarantine system.
SSH chairman Bruce Lane said listing market a new phase for the company and would help it reduce debt and pursue certain strategic acquisitions.
“I believe the company will be very well positioned to capitalise on the significant growth opportunities which have been identified by the board and management team,” he said.
SSH raised $6.25 million at 20 cent a share.
It was the first of today’s ASX IPOs – entering the bourse at 11.30am (AEST) – and it gained 35% when trading commenced.
90 minutes later, Way2VAT made its debut in the second of today’s ASX IPOs.
Way2Vat is an Israeli company that automates the VAT (Value Added Tax) recovery process for businesses.
It has over 150 enterprise customers in 40 countries (mostly in Europe) including EY, Siemens, Mastercard and Footlocker. It has raised $7 million at 20 cents per share, in an offer the company said was oversubscribed.
CEO Amos Simantov said today’s listing was a major milestone and positioned it to accelerate its growth plans.
“Way2VAT is playing a leading role in the global shift to digital taxation systems and will support and streamline many of the antiquated systems that still exist for VAT collection,” he said.
“The IPO has been a great achievement and we are committed to utilising the funds raised to strengthen our product, team and strategy whilst maximising shareholder returns.”
Way2VAT says a key catalyst for growth has been the reopening of business and leisure travel in its key markets although it noted border closures allowed companies to revitalise their current tax processes, allowing an opportunity for it.
“The tailwind of reopening in these markets and the rest of the world have allowed Way2VAT to strengthen its position in the VAT market, removing the need for human to human contact”, Simantov said.
The company entered the ASX at 1pm (AEST) this afternoon and promptly ripped around 90 per cent higher, before settling near 35c for an intra-day gain of around 70%.