Everything you need to know about today's Whispir IPO

Whispir Limited (ASX:WSP) shares hit the ASX boards today after the tech company raised $47 million at $1.60 per share…

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Hot on the heels of the Prospa Group (ASX: PGL) initial public offering last week, another growing tech company has listed on the Australian share market this morning.

That company is Whispir Limited (ASX: WSP), a leading SaaS communications workflow platform that automates interactions between businesses and people.

Following an oversubscribed initial public offering (IPO), Whispir raised $47 million via the issue of 29.4 million shares at $1.60 each. This comprised a primary raise of $27 million and a secondary sell down by existing shareholders of $20 million.

Based on the total number of shares outstanding, this gives the company a $163 million market capitalisation.

a woman

What does Whispir do?

Whispir provides an industry-leading software platform that allows governments and organisations to deliver actionable two-way interactions at scale using automated multi-channel communication workflows.

This allows organisations to manage, automate, and optimise their communication processes without requiring specialised technical expertise.

The prospectus explains that its easy-to-use software platform significantly reduces development time with drag-and-drop templates and app-like mobile engagement so users can build customised two-way communications and actions based on certain events to optimally engage with people everywhere.

Some of its customers include AGL Energy Limited (ASX: AGL), Foxtel, and Virgin Australia Holdings Ltd (ASX: VAH).

What are its growth drivers?

The company has been growing very strongly and management believes there is still a significant growth opportunity ahead.

This is because businesses are increasingly utilising digital technologies to improve efficiency, support growth, and enhance customer experience. The adoption of strategies to effect this transformation, such as cloud computing and agile operating models, have resulted in a global rise in IT budgets.

Management believes Whispir's market-proven capabilities address this digital transformation trend, fulfilling three key technology objectives – modernising legacy systems; managing security, identity, and privacy; and creating digital capability.

The company's CEO Jeromy Wells said: "Today's consumers demand seamless and contextually-relevant experiences. They expect brands and organisations they interact with to respond to them at the right time, at the right place and with the right messaging. Whispir's specialist WCaaS platform has been designed specifically to meet this demand."

He added: "Whispir's platform integrates with pre-existing IT systems, which increases our value proposition to customers of all sizes, industries and regions. Our ASX listing today is a key step towards us harnessing these competitive advantages to increase our presence in growth markets globally."

At the last count the company had over 500 enterprise customers in Australia, New Zealand, Asia, and North America, and generated $27.8 million in revenue in FY 2018. It expects this to grow to $37.8 million by the end of FY 2020, with sustainable breakeven operations in June 2020.

Day one on the ASX boards.

It has been a mixed start to life as a listed company for Whispir. After launching almost 9% higher to $1.74 this morning, the tech company's shares have given back these gains and are now down almost 1% to $1.59 in afternoon trade.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Market News

Multi-ethnic people looking at a camera in a public place and screaming, shouting, and feeling overjoyed.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a volatile but positive Tuesday.

Read more »

A young woman holding her phone smiles broadly and looks excited, after receiving good news.
Share Market News

Why I'd buy DroneShield and these ASX 200 shares next month

These ASX shares offer a mix of growth, resilience, and long-term opportunity.

Read more »

A kid and his grandad high five after a fun game of basketball.
52-Week Highs

Telstra just hit a 10-year high. Has this ASX income giant still got more to give?

Telstra’s breakout to a multi-year high is turning heads.

Read more »

An arrow going upwards with a road sign saying 'IPO ahead'.
IPOs

I won't be buying the Koala stock IPO. Here's why

Koala is the latest company to go public on the ASX.

Read more »

Disappointed man with his head on his hand looking at a falling share price his a laptop.
Share Fallers

Why 4DMedical, New Hope, Santos, and St George Mining shares are dropping today

These shares are under pressure on Tuesday. But why?

Read more »

A woman holds her finger to the side of her face and looks upwards as she thinks about something.
Broker Notes

4 ASX shares at 52-week lows: Buy, hold, or sell?

Here's what the experts think.

Read more »

A woman is excited as she reads the latest rumour on her phone.
Share Fallers

These 3 dirt-cheap ASX shares are tipped to climb another 50-90%

These shares are now trading at super low prices.

Read more »

A female athlete in green spandex leaps from one cliff edge to another representing 3 ASX shares that are destined to rise and be great
Broker Notes

Up 57% since February, why Telix shares could keep leaping higher in 2026

A leading analyst believes investors are undervaluing Telix shares. But why?

Read more »