Sydney, Australia (July 5, 2017)—Audinate, developer of Dante networking technology, raised $16.1 million (Aus$21M) in its initial public offering in late June, according to a report in the Australian Financial Review.
Audinate, valued at $55.4M (Aus$72.6M) in the IPO, began trading on the ASX (Australian Securities Exchange) on June 30. The company is headquartered in Sydney and has offices in the US, UK and Hong Kong.
The company’s Dante software is reportedly currently included in 1,100 audio products, including items manufactured by Yamaha, which accounted for 27 percent of Audinate’s sales in 2016-16. Yamaha has retained a 9.6 percent stake in Audinate.
The cash raised represents a windfall for Data61, an Australian government research institute. The IPO is reportedly the largest payday for a commercial spin-out for Data61, which was known as NICTA (National Information and Communications Technology of Australia) when it backed a team of former Motorola engineers in 2003, spinning Audinate off commercially three years later. According to the report, Data61 will sell off 70 percent of its shares, retaining a 1.7 percent stake.
Data61 is Audinate’s third-largest shareholder. Starfish Ventures and Innovation Capital Partners are the two largest, respectively owning 25 percent and 15.6 percent of the company. CEO Lee Ellison, CTO Aidan Williams and COO David Myers hold stakes ranging from 3.8 percent to 2.4 percent.
Ellison, quoted in AFR’s report, states that Audinate intends to expand its workforce of 40 people in Sydney and 13 in the US by 50 percent over the coming year. He also states that R&D into software for authenticated security and control over networks “would open a new market of systems integrators to Audinate, alongside the audio equipment manufacturers it sells to today.”