Tech play Vonex has the big telco’s in its sights as it seeks to pinch market share from them courtesy of the disruption caused to the market by the roll out of the NBN. The company listed on the ASX yesterday after completing a $6m IPO and will now seek to gain greater market penetration for its cloud based PABX and related services.
Cloud based PABX and internet telecommunications company Vonex successfully listed on the ASX yesterday after completing a $6m initial public offering led by State One Stockbroking.
The company already has an established business in the telecommunications space offering voice over internet telephone calls via its cloud based PABX systems that are rapidly replacing the old wall mounted units.
It is also developing a smart APP known as Oper8tor that has the ability to provide tele-conferencing for a group of individuals that are all using different internet based telco platforms such as Skype, WhatsAPP, Viber and others.
The company’s retail division, Vonex Telecom, offers a full suite of telecommunications services and is looking to capitalise on the market disruption expected to be caused by the continued rollout of the NBN over the next 36 months.
The progressive shutting down of the old copper network will force customers to redo their telecommunications contracts with an NBN capable telco.
Vonex believes this will create a once in a generation opportunity for it to muscle its way into the market, with many formally serviced clients now out of contract on the old copper network.
The company will also expand its channel partner program to increase its presence in the market and it will undertake an aggressive marketing campaign to position itself as the telco of choice during the NBN disruptive period.
According to company management, the Oper8tor APP is the only mobile App worldwide that enables multiple social media voice apps to operate seamlessly together without the need for consumers to switch platforms to communicate with each other.
Oper8tor is expected to launch via a soft release in the fourth quarter of 2018.
Vonex is also preparing to expand its wholesale arm, capitalizing on its relatively rare status as a software developer and platform owner with “white labelling” of its cloud based PABX platform expected to be a growth area for the company.
Managing Director, Matt Fahey said: “I would like to take this opportunity to thank everyone for their support over the last couple of years and extend special thank you to Alan Hill and State One Equities for their efforts in supporting the IPO. Today is a truly momentous day for Vonex and we look forward to providing further updates in due course.”
Vonex’s business has undergone extreme growth lately with the company’s top line jumping from $3.74m in FY14 to over $7m last financial year. In the nine months to the 31st of March 2018, sales from both its retail and wholesale divisions hit $5.9 million while unaudited net profit was $959,000.
The company’s cloud-based PABX system, which management says can more than halve the telco costs of a typical 10 man small business, has already seen the number of active users double to 22,000 in the last three years alone.
There is no doubt that the telecommunications market is hotting up right now and Vonex looks like it might be in the right space at the right time.
By the year 2020, the NBN is aiming to have 11.6 million premises on fibre optics and has targeted 5.7 million additional customers to be connected to the network over the next two years.