The recent trend indicates that tech companies have been taking a front foot when it comes to listing on ASX and raising money for growth. Particularly, SaaS has been a key zone in the sector that has advanced a lot in terms of market and investor appeal.

A much talked about company is ReadyTech, which is a student management software provider and believes in the transformative power of education and work. Their work is considered to bring hope, dignity and purpose to many lives. The group seeks to develop global citizens of the future by supporting them to be job ready and are prepared to realize their potential. In their hyper-competitive world, the need to be smarter about how to develop and retain people and talent is more critical than ever. The pace of change in business is accelerating. Therefore, one of the key considerations for future growth is the investment in tech talent. In other words, ReadyTech provides mission?critical SaaS and software services across the sectors of high-growth education and employment services given the budding landscape into the technology space.

Things to Know:
Up till now, SaaS applications have had some limitations when used for educational programs through virtual trainings etc. Thus, the group aims to give a different dimension to the education sector and has EdTech products and education services that support the complete student lifecycle for colleges and higher education providers from enrolment to employability. Its customer base includes Mining Giants like BHP Billiton and Government bodies like ACT Government.
 

Statistics (Source: Company Reports)

With the potential in mind, Marc Washbourne, the co-founder of ReadyTech, has been in the news lately and has appointed corporate adviser Luminis Partners to explore a potential initial public offering for the group. Even, private equity firm Pemba Capital, seems to be supporting the group and aims to assess ReadyTech’s listing options. While there is no guarantee that the group will proceed for a prospective listing, fund managers are expecting ReadyTech to target the IPO around Christmas.ReadyTech is being said to make its entry with over $15 million in annual earnings. Further, revenue is said to be growing at the back of new client wins and expansion strategy. However, it is being discussed that how the group would position itself in terms of margin sustainability which is already reported to be at high levels as of now. Further, the catch here would be the integration of high-end technology with education systems as we have seen many education related stocks performing on a sinusoidal trend over the last few years.

While many tech stocks have been firing on all cylinders in the prevailing market set up, this play will also be a crucial one to watch.

 
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