Australia: New South Wales-based travel technology platform and vacation rental management companyAlloggio, officially went public via an initial public offering [IPO] on the Australian Securities Exchange [ASX]raising A$16.5 million at 20c per share in the process.
The company, which was founded in 2015, ended its first day of trading on the ASX with a market capitalization of $33.1 million, although that was significantly below bankers’ initial expectations of a 20% increase. million dollars and a market cap of $45 million. Shares of the company have fluctuated amid concerns over the Omicron variant, which threatens to disrupt travel plans ahead of the holiday season, as some states move to impose additional restrictions on arrivals of abroad and to limit interstate travel.
However, Alloggio founder and CEO Will Creedon said Australian Financial Review that the IPO was never in doubt: “There was absolutely no way to pull that IPO back. Our data shows Australians are rediscovering regional Australia, and if this local booking tail here is pushed even further, it gives investors reason to be excited.
Trading under the symbol “ALO”, Aloggio plans to use the funds to expand both its vacation property and mid-market hotel management divisions and acquire property management rights across Australia.
The former manages 879 vacation homes, units and apartments on behalf of owners, before listing them on third-party online travel agencies. [OTAs], including Airbnb, Booking.com, Vrbo and its Australian sister brand Stayz. Meanwhile, the latter manages 13 medium-sized hotels with 428 rooms, and a number of new vacation property management rights businesses are expected to be acquired to expand into areas within three hours of urban centers or airports.
The company has seen 40% revenue growth since 2019, recording revenue of $11.3 million in fiscal 2021, and EBITDA increased 70% to $4.7 million. Creedon said this revenue growth was partly due to the popularity of national holidays, even despite the uncertainty posed by the Omicron variant.
The Alloggio Group corporate brands include: Alloggio; Hotels Alloggio; Agile websites; Winning holidays; Accommodation in Port Stephens; Holiday accommodation in Coffs Harbour; Holiday rentals in Noosa; Mollymook Milton Holidays; Jervis Bay Vacation; and Verve Vacation Rentals.
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