THE CREATORS of what is possibly the world’s most versatile roofing system – which generates electricity, heats water and is a cyclone-rated tiling system -- building products company Trac Group Holdings is seeing strong interest in its initial public offering (IPO) on the Australian Securities Exchange (ASX).

Trac Group has diversified into other sustainable building products beyond its original Tractile system – which was developed in Queensland with testing by James Cook University in Townsille – and its potential is raising interest from potential purchasers and international partners. 

Trac Group managing director Jason Perkins said the company had received more than 200 business leads since the launch of its IPO.

“Trac Group Holdings has been approached by 53 distributors interested in distribution arrangements in 12 different countries,” Mr Perkins said.

“We also have had requests for product information from 140 retail customers in five different countries for new construction projects and renovations.

“Of those 140 requests, we have issued quotes in relation to 30 serious leads.

“The company has also been approached by 11 new architecture companies searching for sustainable, innovative products for r current projects and have been approached by seven builders who are investigating whether they will specify Tractile in their future projects.”

Mr Perkins said the interest was exciting and came at a time when the company was closing on its capital raising target.

Trac Group Holdings has lodged a prospectus with the Australian Securities and Investment Commission to raise up to $6,500,000.

The company intends to use the money raised to distribute its award-winning building products nationally and internationally. 

Trac Group is the designer and manufacturer of award-winning roofing products. The company has designed smart roofing solutions that can also harvest the sun’s energy to generate electricity and heated water.

Trac Group has been reserved the ASX ticker code TRC.

www.tractileipo.com.au

ends 

SCOTTISH Pacific Business Finance acquired the Australian and New Zealand business of Bibby Financial Services – one of the world’s first cashflow finance businesses – in February, in a move that aims to compete against the major banks.

Scottish Pacific CEO, Peter Langham said small to medium enterprises (SMEs) and start-ups looking to fund business growth now have improved alternatives outside the ‘Big Four’ banks and broader banking sector. 

“With the acquisition, Scottish Pacific clients will be able to access a broader range of funding and business solutions, all without having to mortgage the family home,” Mr Langham said.
“Business owners make it clear to us, via our SME Growth Index, that far too many SMEs still don’t know about funding options beyond the banks, and when the banks won’t fund them they look to their family and friends or the credit card to maintain and grow their business.
“Scottish Pacific’s offering as a working capital lender for SMEs was already strong and is now even more a comprehensive funding alternative for small businesses looking to grow, whether domestically or overseas,” Mr Langham said.
Scottish Pacific is the only non-bank lender approved by the Federal Government’s EFIC agency to help fund SME exporters, Mr Langham said. It has a strong trade finance division as well as a ‘selective invoicing finance offering.
Mr Langham said in recent years, Bibby’s expansion beyond debtor finance has been into credit insurance, asset finance, a collections business as well as progress claim finance.
“Our expanded team looks forward to working with the SME sector to support their growth.”

Established in 1988, Scottish Pacific has operations centres in Sydney, Melbourne, Perth, Brisbane, Auckland, London and China.

www.scottishpacific.com

ends

KPMG Australia’s acquisition of Markets IT is expected to boost the firm’s depth and scale in the burgeoning capital markets technology sector. The terms of the deal were not disclosed.

Markets IT has developed since 2011 into a leading Australian technology consultancy specialising in financial services. The Melbourne-based firm implements integrated trading, risk management, regulatory reform, trader surveillance, processing and post-trade solutions for both buy and sell-side organisations including banks, clearing brokers, central banks, investment managers and hedge funds. 

In 2013 Markets IT became Australia’s first system integration partner for Murex, a global provider of cross-asset trading, risk management and processing technology.

“Financial services organisations face an unprecedented landscape of rapid change – continual regulatory changes, heightened competition, innovation threats and opportunities, and technology changes,” KPMG Australia CEO Gary Wingrove said.

“There has never been a greater need in the market for integrated, business-centric technology services for these clients. And effective implementation will require deep subject matter expertise in both business and technology.

“Markets IT is a very timely and strategic acquisition that also supports our global capital markets strategy, and our growing Murex-related services here in Australia as well as in Asia Pacific, Europe and South Africa,” he said.

Mr Wingrove said capital markets had been grappling with regulation challenges for the past five years, but the intensity had increased as implementation deadlines of associated rules, controls and technology arrived. 

“Significant cost cutting pressures provide further complexity,” he said.

“Globally, system consolidation and replacement of legacy technology remains the biggest driver of anticipated technology spending increases.”

KPMG research showed total capital markets technology spending globally is forecast to exceed US$100 billion by 2018, with forecast spend allocated to risk management-related technology rising to over 18 percent of this by 2018.

Founder of Markets IT, Tim Robinson, has joined KPMG Australia as a partner. Co-founder Craig Snell and fellow director John Rusjan also join KPMG as directors together with their team of specialists in Melbourne and Sydney.

Merging with KPMG’s existing Capital Markets Technology team, this creates a combined team of around 40 experts nationally, supported by the group’s existing regional and global capability.

Markets IT was founded in 2011 and has grown rapidly off the back of successful project delivery and strong working relationships with major financial institutions.

“Our growth was driven initially as a provider of Murex services, but increasingly we’re diversifying through delivery of regulatory related technology services including trader surveillance,” Robinson said.

“Market IT’s offering is directly complementary to KPMG’s business, regulatory and technology enablement services and strategic areas of focus. I believe the combination of business platform enablement services, together with KPMG’s brand and broader risk and transformation expertise positions us strongly to become the local market leader,” he said.

“We anticipate further rapid growth in the Australian market going forward.”

KPMG Technology leader, Richard Marrison, who oversaw the deal, said, “Technology enablement is a priority investment area for KPMG. This is the third acquisition we’ve made in this space recently in Australia.  Technological advances will continue to reshape operating models and service delivery in financial services over the coming years.

“The most successful organisations will utilise technology to ease the regulatory burden, and support growth and innovation.”

The Market IT deal is the 11th acquisition by KPMG Australia in the past two years including social media risk consultancy, SR7; the Melbourne team of Pacific Strategy Partners; an accounting practice in Karratha, WA; mining services consultancy Momentum Partners; SGA Property Consultancy; First Point Global cyber security business; accounting and advisory business Hayes Knight (WA); human rights and social impact consultancy, Banarra; Microsoft implementation partner, Hands-on Systems; and The Performance Clinic.

www.kpmg.com.au

About KPMG

KPMG is a global network of professional services firms providing Audit, Tax and Advisory services. We operate in 155 countries and have 174,000 people working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. Each KPMG firm is a legally distinct and separate entity and describes itself as such.

ends

THE AUSTRALIAN Rhino is now becoming famous all over the world. Rhinoceros may never have native to Australia, but their hardy namesake, Rhino-Racks, are certainly earning a global reputation.

Knowing how tough roof racks had to be to measure up to the demands of the Australian motor industry set former tractor salesman, Richard Cropley, thinking about how to make these handy vehicle accessories better. 

Mr Cropley set to it 25 years ago and today he has turned the humble roof-rack into a multi-million dollar business.

In 1992 he began production of his first set of Rhino-Rack roof racks for his Sydney based business, Roof Rack City. Now stocked in hundreds of stores around Australia, as well as distributing internationally in the US, Europe, New Zealand and throughout South America, Rhino-Rack is Australia’s leading manufacturer of roof racks.

Mr Cropley’s focus on simplicity, ergonomics and reliability in design have helped make Rhino-Rack one of the world’s most reputable brands, while still retaining their Australian roots. Almost all of the production and manufacturing is completed in Australia with Australian materials.

With sales today approaching $50 million a year, Mr Cropley is striving to continue growing, entering new markets and holding onto the philosophy that “being an entrepreneur is a seven-day-a-week job”.

Born in Sydney and splitting his time between the city and the family farm in Goulburn, Richard Cropley spent most of his early career in the agricultural sector, selling tractors after a three year stint farming in Papua New Guinea. Never one to do anything in half-measures, he became the Queensland marketing manager for Versatile Farm Equipment and within a year established himself as the world’s number one tractor salesman.

His journey to become the king of roof racks began in 1987 when a visit to his brother in Perth put the brand Rola in his sights. Rola was a roof rack brand that was one of the biggest sellers in his brother’s yacht chandlery store, so together they bought the brand using all their savings and a bank loan. Within a year they quadrupled Rola’s turnover to $4 million a year.

After just a year, Richard decided to separate from Rola to open up the first speciality roof rack store in Sydney, Roof Rack City – a store he still owns to this day. Seeing hundreds of models of these racks and installing them himself, he had the thought that goes through every innovator’s head, “I can do better than this.”

Designing his own leg mounts and bar, Rhino-Rack Roof Racks was born in 1992. Within 24 months Rhino had contracts with Toyota and Telstra to provide all their work vehicles with Richard Cropley’s roof racks.

The biggest risk, he said, came with the move into international markets, which was hindered by an unforeseen event. The plan to open a hub in Denver was almost derailed by the Global Financial Crisis, which saw retailers of all levels cut back and avoid stocking new products. But Mr Cropley found new opportunities online, right as the boom of online shopping began. Rhino is now stocked on many online stores and close to 100 physical outlets in North America.

An insatiable drive to solve problems and be the best has made Mr Cropley take Rhino-Rack to where it is today.

“With any product, whether it be roof racks, computers or coffee mugs, there is always going to be a better design out there,” he said. “So always look for ways to innovate and change your product. That’s how we’ve kept our doors open while competitors have closed theirs.”

www.rhinorack.com.au

ends