AXS Group Limited (ASX:AXS) Managing Director, David Grey talks about the company's upcoming IPO and strategy, and its financial services technology that streamlines business procedures and processes so that customised client reporting is available in real time.
Rachael Jones: Hello I’m Rachael Jones for the Finance News Network. Joining me today from AXS Group (ASX:AXS) is MD, David Grey. David, welcome to FNN.
David Grey: Hello Rachael, lovely to be here.
Rachael Jones: First up David, could you start by giving us an introduction to your company?
David Grey: AXS Group Limited is a software provider to the financial services sector. We specialise in digitalisation and automation services to our clients. We’ve been in existence over 10 years now. We have a very skilled board and experienced management team, of over 160 years overall experience.
Rachael Jones: Before we get to your business and to the IPO, can we talk about the competitive landscape and the opportunity?
David Grey: The competitive landscape is $3.7 trillion in IT spend. In terms of corporate IT business spend, it’s approximately $482 billion and if we tap into that market, we will do quite nicely. In terms of the opportunity Rachael, it’s enormous. Both in Australia and overseas, there is number of systems that don’t talk to one another. Our software is about actually achieving that and giving the parties the ability to use those systems, in a way that provides communication between them.
Rachael Jones: Now let’s talk about your products and services, starting with the product suite?
David Grey: In terms of the products, we have seven products on the platform. They vary in client needs, we have three service modules. In terms of a specific product that the clients would be aware of, is we have a digitised lending solution called Mi-Lend. Which starts from the origination of the asset, through to the sale of the asset and provides a broking portal for clients.
Rachael Jones: What can you tell me about the services?
David Grey: In terms of the service suite, we have three modules. One is for optimisation for clients’ needs, where they’re an existing client on the system and they would like to get certain data, or analytics out of the system. We have another one called Mi-Deploy, whereby you’re first coming onto the system. And we provide you with the ability to firstly, bring your data and your information onto the system. And even keep your existing systems if you need to, as part of the suite. And thirdly we have a third module, which is basically for training and ongoing needs for the client.
Rachael Jones: Now to your IPO David. How much are you looking to raise and where will the funds go?
David Grey: We’re looking to raise $6.5 million at 25 cents per share. We’re looking to deploy the monies specifically to complete a vendor purchase, have working capital for the company and open three offices in the UK, US and Canada. And we’re looking to list at the end of November.
Rachael Jones: Where can investors find out more?
David Grey: Investors can come to our website at axsgroup.com.au and download the prospectus. Or they can speak to their broker, or they can speak to our corporate advisor, MMR Corporate.
Rachael Jones: Last question now David. Is there anything we haven’t covered that you’d like to mention?
David Grey:In every CEO’s mind, should be the reduction of cost and time. The automation space and digitisation world is upon everyone. Very much AXS Group is about being part of that and assisting clients with changing, really their labour cost models and changing their time. And about improving product deficiencies and delivering them through to market.
Rachael Jones: David Grey thanks very much for the introduction and good luck with your IPO.
David Grey: Thank you very much for your time, Rachael.