Straker gears up for NXT listing

NZ Herald

25 Mar, 2015 04:00 PM2 mins to read

NXT, which will replace the NZAX junior market, is targeted at fast-growing firms valued at up to $100 million and will have a looser disclosure regime than the main board.

Technology firm Straker Translations is preparing for a listing on stock exchange operator NZX's soon-to-launch NXT market, through which it hopes to raise growth capital as it pushes towards becoming the "Uber of the translation industry".

The Auckland-based company has developed a cloud-based software platform used by more than 5000 freelance translators, who translate documents for more than 10,000 customers.

Chief executive and majority owner Grant Straker said the firm would announce the appointment of its NXT adviser next week and was aiming to carry out the float in the latter part of this year.

NXT, which will replace the NZAX junior market, is targeted at fast-growing firms valued at up to $100 million and will have a looser disclosure regime than the main board.

Straker was unable to disclose how much capital the company might raise or what value the offer may place on the business, as those details were still being finalised.

"Given our technology advantage in this space we are looking to accelerate with the aim of building a substantial New Zealand-based technology company that can become the Uber of the translation industry," he said, referring to the transport app that is shaking up traditional taxi businesses.

He said Straker's annual revenue was tracking at $10 million, on a run-rate basis, while it was breaking even at the bottom line despite its focus on growth.

Straker, who founded the company in 1999, focused on building tools for managing multilingual websites, but in 2011 moved into direct translation services.

The company employs 50 staff, with its two main production centres based in Barcelona, Spain, and Auckland. About 45 per cent of revenue is earned in the United States, while Europe is the firm's second-biggest market.