Print-on-demand business Redbubble, started ten years ago by three friends in Melbourne, has completed a successful launch on the ASX, with shares up 9% on the first day of trading on Monday.
The online creative marketplace that sells designs by independent artists printed on a range of products including clothing, home decor, stationery and phone cases, raised $30 million in an IPO and an additional $9.8 million from the sale of shares owned by existing investors, giving it a market value of more than $268 million.
The company started trading on the ASX on Monday and closed up 9% on its $1.33 issue price at $1.45, briefly touching $1.53 after trade opened.
Redbubble was founded in Melbourne in 2006 by Martin Hosking, Paul Vanzella and Peter Styles. CEO and co-founder Hosking said the company was still in an ‘investment phase.’
"I like the leadership position we've established," Hosking told The Australian Financial Review following the successful launch. "It's good for us to show that you can build a global tech company from Australia. But our determination to build a true, global consumer tech company remains."
“Redbubble’s mission is to create the world’s largest marketplace for independent artists,” said chairman Richard Cawsey. “It is one of a small group of Australian technology companies that are genuine global leaders in their space. At the core of this success is the rise in consumer demand for distinctive products coupled with the ever-increasing possibilities of print-on-demand technology.”
Meanwhile, the company is facing legal challenges from The Pokeman Company and motorcycle gang Hells Angels for alleged copyright infringements.
"We're confident in our legal position," said Hosking. "We're the marketplace, not the creators of the content. We already have a team of about 10 people now working exclusively on copyright. We're always aware of the importance of these issues and addressing the concerns of licence holders."
The Hells Angels Motorcycle Corporation (Australia) – declared a criminal organisation by the Queensland Government – has sued Redbubble for breach of intellectual property after its logo appeared on T-shirts and a poster in 2014. The club says its skull logo should only be worn by club members.