Irish technology company Zutec has begun trading today on the Nasdaq First North in Stockholm, the first Irish company to do so.
Zutec's software is used primarily in the construction sector and its products are used on site by architects, engineers and contractors to access and share plans, site models and other vital information on construction projects. It has raised €5m through the initial public offering of its shares valuing the company at €17m when its shares began trading this morning.
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Brendan O'Riordan, chief executive of Zutec, said the company opted for a listing on Nasdaq First North because the market is a specialist one for fast-growing technology companies with a pool of tech-savvy private and institutional investors who focus on companies like Zutec. The company had considered a listing on London's AIM market, but with Brexit on the horizon Mr O'Riordan said no-one knows what is coming down the line. It had also considered the Irish Stock Exchange, but decided that a Dublin listing was not the right fit for it.
The Zutec CEO said that 70% of the IPO proceeds will go on sales and marketing and 30% on research and development as the company continues to improve its range of technology and products. Mr O'Riordan said the company is profitable but the IPO will give it the boost to grow faster and it will also help to attract staff with share options. North America is the next big step for the company and it plans to focus especially on Canada and Manhattan. He said getting the Nasdaq brand comes as a stamp of approval and will help investors take the company seriously.
Among the company's clients are some of the world’s largest construction firms. Its products have been used on over 300 projects on three continents, including such projects as Wembley Stadium and the Shard in
London, the Cleveland Clinic and Zayed University in the UAE and the new port and airport in Doha, Qatar.
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