The New Zealand Herald

Huljich family gets behind Touchstone

Firm has A$75m invested in five start-ups in buy-now, pay-later and fintech sectors

- Chris Keall

The wealthy Huljich family will join Afterpay and US firm Woodson Capital (a major shareholde­r in Afterpay) in backing an investment fund that will list on the ASX.

Touchstone Ventures (formerly AP Ventures) overnight released a Prospectus detailing plans to raise A$100 million ($104m) through an IPO on September 29 with an indicative market cap of A$285m.

The two-year-old Touchstone already has A$75m invested in five start-ups across the hot buy-now, paylater and fintech sectors (see panel).

The prospectus says IPO funds will go to A$10m-A$25m stakes in unlisted companies “in the retail innovation, consumer, finance and data segments, that Touch Ventures considers to be in the growth stage of their developmen­t”. It plans eight to 10 investment­s in the medium term.

The Huljich family will come on board Touchstone with the float through one of its private investment vehicles, and will shortly file an initial substantia­l shareholdi­ng notice involving a holding worth A$15m at the offer price of 40c per share, Peter Huljich told the Herald.

“We will not seek a board seat,” Huljich said. “But we will be making introducti­ons to technology opportunit­ies from New Zealand and the US where we feel it would be a good fit.” The Auckland-based family recently raised $444m as it sold the rest of its anchor investment in NZX-listed Pushpay across two bulk trades in July 2020 and March this year. Although it made its original fortune from investment­s including property and small goods, it has recently made a number of high-profile tech investment­s. Beyond Pushpay, the family had a stake in Diligent Board Member services before its $1 billion sale to a US private equity firm. Its current tech investment­s include Valocity and AskNicely.

Touchstone’s offer of 250m shares at 40c per share is being managed by Bell Potter, and is set to open on September 14.

Today, the two largest investors are Afterpay, which holds a 32 per cent stake, which will be diluted to 23 per cent post-IPO and Woodson with a 10 per cent holding.

Touchstone — which invested in its portfolio between February 2020 and June this year — made a net loss of A5.1m for FY2020. As of June 30, it had A$65m in cash.

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