Christmas has come early for the bank’s shareholders with the decision to slightly increase the 2024 dividend – despite a single-digit decline in the net profit and cash earnings.
Beating the market benchmark is never easy, with 72 per cent of Australian actively managed global equity general funds trailing the S&P World Index in the six months to June 30, 2024. Domestic equity funds performed slightly better, albeit against a significantly lower bar set by the S&P/ASX 200 Index.
MadPaws debuts and what lies ahead in the IPO pipeline
MadPaws (ASX: MPA) – Last week the pet-sitting company successfully listed on the ASX, following a $12 million raising, and it surged onto the screens, recording a spectacular rise of 54%, and a market capitalisation of $42.9 million. The MadPaws platform connects you with your nearest pet-sitter. It’s a brilliant idea that is simple and effective: all it takes is an online reservation, and the perfect person looks after your favourite animal. Your pet-sitter can look after your fur baby at your home or take it home with them. The platform is even capable of sending photo updates so you can rest assured your pet is being looked after.
The Mad Paws database consists of over 19,000 pet service providers (pet-sitters, walkers and groomers) across Australia and over 450,000 user sign-ups (pet owners), with more than 180,000 services having been booked through the marketplace since initial launch. With 29 million pets in Australia and 40% of Australian households having at least one dog, you could say we are a pet-friendly nation. Mad Paws intends to capitalise on our love for animals by offering a host of pet-related services on its marketplace. These include dog walking, grooming and pet-sitting for dogs and cats. The platform also will host a subscription pet food service called Mad Paws Dinner Bowls. The market confident that the platform will become the next big digital service platform.
The IPO came in the same week that service-seeking platform Airtasker (ASX: ART) made its debut on the ASX, recording a 120% gain from its IPO price of 65c.
Bumble (NYSE: BMBL) – Shares in the online dating app listed mid-February and have done well. Shares were priced at US$43 and surged on debut last Thursday, closing out at US$70, rising some 77% giving the stock a market cap of about US$7.7 billion ($10 billion). The company was founded in 2014 by CEO Whitney Wolfe Herd, who, at just 32, is the youngest female founder to take a US company public. While the app is based on a free model, it earns revenue from in-app purchases and through subscription offerings like Bumble Boost (US$12.99 a week) and Bumble Premium at US$17.99 a week. Shares are trading at US$69.
The most successful IPOs this year so far include:
What is coming up?
Two promising IPOs that are due to list this year are Global Lithium Resources (ASX:GL1) and Propell (ASX: PHL).
Global Lithium Resources aims to become a leading lithium company at time when the world is embarking upon a global push for decarbonisation and renewable energy. This focus has brought lithium into high demand. The company’s flagship project is the 100%-owned Marble Bar Lithium Project (MBLP), located in the globally-recognised Pilbara region of Western Australia. According to the company prospectus, GL1 “has had significant exploration success through the discovery of the Archer lithium deposit and declaration of a maiden mineral resource, following three successful RC drilling programs.”
Directors are confident that further upgrades in resource size are possible. The company is looking to raise $9 million-$10 million at an issue price of 20 cents a share. Funds will be used to recommence drilling at the Archer lithium deposit and exploration across the wider MBLP. Global Lithium Resources finds itself in the right place at an opportune time to take advantage of the push for carbon-neutrality. GL1 lists 10 May 2021.
Propell (ASX:PHL) – PHL is the newest digital finance platform, tailored towards small to medium business segment enterprises who may have been left under-serviced by traditional service providers, i.e. banks. The platform manages business cashflow by simplifying the entire transactional and lending process. Propell aims to disrupt traditional services by its digital, cloud-based, open-API and data-driven finance solution. The platform is an in-house system. Propell is live in the Australian market and offers two products:
- Lending Product – provides business owners with funding to grow their business through Propell’s unsecured lines of credit.
- Transactional Product – allows businesses to accept a variety of emerging payment methods as more traditional card-based payments are accepted online and instore.
The business model generates revenue in two ways: the net interest margin (through the Lending Product) and transaction fees (through the Transactional Product). Propell is looking to raise $5 million at 20 cents a share. PHL lists on Friday, 9 April 2021.
