Square Peg, Wellington back Australia's Rokt at $2.4b valuation
Square Peg Capital and Wellington Management have led a AUD 750m (USD 501m) investment in Australian e-commerce marketing technology provider Rokt at a valuation of USD 2.4bn.
The deal was described as a secondary transaction. CEO Bruce Buchanan (pictured) told The Australian Financial Review that most exiting investors were early-stage backers facing fund end-of-life pressures.
Square Peg and Wellington participated in a SD 325m round last December at a valuation of USD 1.9bn. That round also featured Whale Rock Capital Management and Pavilion Capital.
Rokt has raised about USD 1bn since inception in 2012, according to AVCJ Research and was valued at USD 450m as recently as a USD 80m round in 2020. Square Peg was among the first institutional backers.
Previous investors include Moelis & Company, TDM Growth Partners, Time Inc, John How of Hong Kong’s Janchor Partners, Lachlan Murdoch of US-based News Corp and 21st Century Fox, and Greg Roebuck, co-founder of Australian online auto marketplace Carsales.
"Despite broader market declines in valuations, we continue to see rapid growth in Rokt driven by new e-commerce partners and an uplift from advertisers,” Buchanan said in a statement.
“Due to the challenging economic climate, e-commerce companies are focusing on more relevant customer experiences that improve economics and deliver new revenue. This has further propelled Rokt's growth and we're pleased to see this expression of support from existing investors as Rokt looks towards an IPO.”
Rokt specialises in technology that helps online retailers use transaction data to build their customer base and develop marketing strategies such as cross-selling and brand positioning. The company, which claims to be profitable, has enabled more than 5bn transactions globally for around 2,500 companies. Clients include AMC Theatres, PayPal, Uber, Hulu, Staples, and Lands' End.
Rokt is looking to hire for roles across its global business, which includes a footprint in 14 countries across North America, Europe and Asia. There are plans to open a second North American product development centre in 2023; headquarters were recently relocated to New York. Sydney remains the R&D hub.
More on Australasia
Latest News
Asian GPs slow implementation of ESG policies - survey
Asia-based private equity firms are assigning more dedicated resources to environment, social, and governance (ESG) programmes, but policy changes have slowed in the past 12 months, in part due to concerns raised internally and by LPs, according to a...
Singapore fintech start-up LXA gets $10m seed round
New Enterprise Associates (NEA) has led a USD 10m seed round for Singapore’s LXA, a financial technology start-up launched by a former Asia senior executive at The Blackstone Group.
India's InCred announces $60m round, claims unicorn status
Indian non-bank lender InCred Financial Services said it has received INR 5bn (USD 60m) at a valuation of at least USD 1bn from unnamed investors including “a global private equity fund.”
Insight leads $50m round for Australia's Roller
Insight Partners has led a USD 50m round for Australia’s Roller, a venue management software provider specializing in family fun parks.