Motorists stung by road safety cameras will have the chance to profit from their misdeeds, with Australian AI camera technology developer Acusensus announcing plans to take the company public, with a listing on the Australian Stock Exchange (ASX).
Acusensus has lodged its fully underwritten IPO prospectus, seeking to raise $20 million through the issue of 5 million shares at $4 per share, which will take the company’s indicative market capitalisation on listing to just over $100 million. It is anticipated that the stock will start trading on the ASX on, or around January 12, 2023. Bell Potter Securities Limited has acted as lead manager and underwriter to the IPO.
“The company’s material growth, high-quality technology and continued competitive advantage have captured the imagination of investors keen to support the next leg of growth,” Bell Potter Equity Capital Markets Director Hugh Robertson Jr said.
Strong interest has come from a number of high net-worth investors, several of who have experienced the smart camera technology first hand, experiencing their traffic transgressions captured in high-resolution images since the solution has been rolled out in NSW and QLD.
Acusensus has developed patented AI camera technology that can detect drivers using their mobile phone, seatbelt compliance, speeding, vehicles driving in closed freeway lanes, unregistered vehicles, and vehicles of interest. The fixed and mobile cameras can operate at night and across weather conditions, generating high-quality images as evidence for enforcement and prosecution purposes to deter dangerous driver behaviours.
Since it was founded in 2018, the company has secured multi-year government contracts with governments in NSW, Queensland, WA and the ACT, and operated programs in five continents. Headquartered in Australia, it also has offices in the US and is establishing a presence in the UK.
Despite most brokers closing their books for IPOs, Robertson Jr was optimistic about the pre-Christmas timing.
“The technology market continues to trade strongly and attract interest, borne out by the number of quality investors keen to get in on the ground floor given Acusensus’s operations have global application and a substantial growth pipeline,” Robertson Jr said.
Acusensus was founded by Alexander Jannink and is chaired by Ravin Mirchandani, CEO of Indian power electronics company Ador Powertron.
Since launching, it has raised $18.8 million from equity investors to fund its technology development and growth initiatives.
Jannink said capital raised through the IPO would be used to expand its distracted driver program globally, with revenue generated from the global traffic enforcement solutions market expected to reach $7.6 billion annually by 2026.
The funds will also be used to explore solutions to other major road safety challenges. Acusensus is currently partnering with Griffith University on technology that can detect in real time drivers who are impaired by drugs or alcohol and is also working with Swinburne University to develop a warning system for first responders and road workers operating in potentially dangerous roadside situations.
“With so many projects on foot, listing felt like a natural progression in taking the company to the next level,” Jannink said.
“With the significant growth and consolidation domestically in the last five years, the company is now well placed to implement a broader long-term strategy that will enable Acusensus to continue to innovate and be first to market with life-saving solutions, moving us closer to our vision of eliminating road trauma globally.”