AXP

Macquarie prepares intel analytics seller Nuix for $1.5 bln IPO

Credit: REUTERS/DAVID GRAY

Australia's Macquarie Group is preparing to list its majority-owned software provider Nuix in a deal that would value the data-analysis program seller at close to $1.5 billion, two sources with knowledge of the plans told Reuters on Friday.

By Paulina Duran

SYDNEY, Sept 18 (Reuters) - Australia's Macquarie Group MQG.AX is preparing to list its majority-owned software provider Nuix in a deal that would value the data-analysis program seller at close to $1.5 billion, two sources with knowledge of the plans told Reuters on Friday.

Macquarie, which owns about 65% of the company that has been used to analyse thousands of documents as part of high-profile investigations such as Volkswagen's emissions scandal and the "Panama Papers" cases, is handling the process alongside Morgan Stanley, the sources said.

The people, who asked to be anonymous because they were not allowed to speak to the media, said the company was likely to list before Christmas, but plans depended on market conditions and had not been finalised, they said.

Media representatives for Macquarie and Morgan Stanley declined to comment. Nuix representatives were not immediately available for comment outside business hours.

A selected group of fund managers have been briefed on the plans, the two people and a third source said.

If achieved at the targeted valuation range of between A$1.5 billion ($1.1 billion) and A$2 billion, the listing will be the biggest since fintech firm Tyro Payments TYR.AX braved negative market sentiment late last year following six initial public offering (IPO) cancellations.

This year, the coronavirus pandemic has all but frozen large IPOs in the country, as the halt in economic activity led to plummeting revenues and valuations of Australian companies, hurting sentiment and leading many to shore up their balance sheets with secondary capital raisings.

Nuix sells software for cybersecurity risk, compliance and "case discovery", that helps companies, enforcement authorities and investigators, review digital data and detect fraud and corruption.

Customers include American Express Co AXP.N, Barclays Plc BARC.L, Amazon.com Inc AMZN.O, WPP Plc WPP.L, and Unilever Plc ULVR.L, according to its website.

The company's revenue has grown at over 15% per year in the last two years, to about A$175 million in fiscal 2020, one of the sources said.

($1 = 1.3674 Australian dollars)

(Reporting by Paulina Duran in Sydney; Editing by David Evans)

((paulina.duran@thomsonreuters.com; +61 2 9171 7406;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

In This Story

AXP AMZN WPP

Reuters

Reuters, the news and media division of Thomson Reuters, is the world’s largest international multimedia news provider reaching more than one billion people every day. Reuters provides trusted business, financial, national, and international news to professionals via Thomson Reuters desktops, the world's media organizations, and directly to consumers at Reuters.com and via Reuters TV.

Learn More