TradeWindow raises $15m capital as trade tilts towards digitalisation

AJ Smith, Chief Executive Officer at TradeWindow

TradeWindow, a trade-tech company helping importers and exporters on the front line of global trade to digitalise their trade processes has raised NZ$15 million in an over-subscribed capital raise, as it continues to pursue growth across the Asia-Pacific region.

The private capital raise was over-subscribed by $3 million, reflecting strong demand as TradeWindow saw growth in customer numbers and value on both sides of the Tasman.

TradeWindow is attracting investor interest

Leading the investment round were existing strategic shareholders ASB Bank (owned by Commonwealth Bank of Australia) which provides trade finance to hundreds of New Zealand exporters, and Quayside Holdings Ltd – majority shareholder of the Port of Tauranga.

Another investor joining the share register in the latest capital raising is Anna Mowbray, one of the owners of ZURU Group and CEO of ZURU Toys, one of the world’s leading toy developers and manufacturers, and a major multi-national importer and exporter in its own right.

She joins the Perth-based Rae Family who established and sold the challenger fuel brand Gull in New Zealand and Australia, two family offices which formerly owned Sonfrana Unilines and Pacific Direct Line respectively, and the Wiltshire family in New Zealand.

TradeWindow’s CEO, AJ Smith says the capital will support the next phase of development for the rapidly-scaling business which has grown to 75 employees. TradeWindow’s solutions facilitate more than 1.5m TEU container movements and 89,000 tonnes of airfreight per year.

Leading exporters to use the company’s solutions include T&G Global, Cedenco Foods, Whittakers and Jack Link’s, Greenlea Premier Meats, ANZCO, Silver Fern Farms, Synlait, Open Country (dairy), Pan Pac Forest Products Ltd and Sealord and Independent Fisheries.

“We are delighted with the continuing interest and support from strategic investors.”

“We believe there is potential for a steep uptake of digital solutions as Australasia’s largest exporters wean off out-of-date paper systems and on to digital solutions in search of the productivity gains which many exporters are seeking out in the face of global supply pressures, rising inflation and likely impact of rising interest rates,” Mr Smith says.

TradeWindow is experiencing exponential growth

The company has developed a digital platform known as TradeWindow Cube, which uses distributed ledger technology also known as ‘blockchain’ which acts as a trusted intermediatory and ‘single source for the truth’ for all the parties who make trade happen including importers, exporters, customs departments, transport and finance providers.

TradeWindow has recently led successful pilot digital trades between New Zealand and Singapore, Taiwan and the United States in collaboration with leading exporters and Government agencies in each of these bi-lateral trade lanes.

The company is accredited by the New Zealand Government to issue Certificates of Origin and as an official storage solution certified by New Zealand Customs.

It is also the official Australia and New Zealand representative of the Pan Asian E-Commerce Alliance (PAA), the influential regional body driving the digitisation of trade across Asia-Pacific.

Mr Smith said the capital raising will help the company continue to win market share in ANZ.

“We are considering our options for a direct listing on the NZX later this year.” 

“Our stakeholders include large enterprises and government agencies both here in New Zealand and abroad which are risk-averse and want to ensure their business-critical data is handled by a partner that employs best practice corporate governance and reporting.”

“In line with this we see that being a public company will support our status as a trusted partner in the global trade ecosystem, as opposed to looking to a possible listing as a mechanism to raise further capital,” Mr Smith says.