Fronde hunts capital for mission to reach $200 million

Fronde hunts capital for mission to reach $200 million

Kiwi cloud company Fronde is on a mission to become a $200 million company in the next four years and is weighing how to raise capital to get there.

That's a jump of slightly more than $140 million on the annual revenue result the company posted in May, $59.9 million, which was a 25.8% increase over the previous year.

CEO Ian Clarke says there's plenty of room grow in New Zealand, where it could "easily double in size".

Its client base remains Wellington dominated, where the company has its HQ, but enterprises in Auckland are a prime target for its integrated cloud offerings, he says.

"We think we're just starting on our growth journey. What we really aspire to be is an enduring brand. We think we've got the strategy and the underlying culture to be an enduring brand."

Capital is the company's biggest growth constraint, followed by attracting skilled staff. Listing and private equity are among the options for raising capital, says Clarke, but it's not looking to sell.

"We'll accelerate the current business plan, build out our offering on Amazon (Web Services) and open up new offerings," Clarke says.

Google, Salesforce and Netsuite are among the other big cloud brands Fronde uses to integrate solutions.

Fronde now has 24 staff in Australia, thanks to its May acquisition of Australian-based Netsuite reseller OnlineOne. That gave Fronde in depth Netsuite expertise and skilled leadership across the Tasman, says Clarke.

Fronde is also represented in Melbourne and Queensland and is looking at expansion in Asia. It has four key banking industry clients in Manila and is weighing having service delivery capability there.