Online retail platform BigCommerce expected to list in the US

Retail platform BigCommerce could be the latest tech business with origins in Australia to list in the United States, as the coronavirus pandemic continues to drive demand for online shopping.

On Thursday, Bloomberg reported the platform confidentially filed documents for an initial public offering in the United States which could value it at $US1 billion ($1.46 billion), however, BigCommerce has refused to comment on the report.

BigCommerce founders Mitchell Harper (left) and Eddie Machaalani started the platform in 2009. Credit: Louie Douvis

BigCommerce was founded in Sydney in 2009 by Eddie Machaalani and Mitchell Harper and is now headquartered in Austin in the United States.

Mr Machaalani and Mr Harper no longer run the company but sit on its advisory board, and BigCommerce has an office with around 60 staff in Sydney.

The platform, which has recorded over $US25 billion in sales, enables businesses to manage their online sales through marketplaces like Amazon and social media sites like Instagram.

BigCommerce has raised more than $US200 million to date, including $US64 million from Goldman Sachs, General Catalyst and GGV Capital in 2018.

Telstra Ventures has been an investor in BigCommerce since 2014 and while partner Yash Patel was not willing to comment on the IPO reports, he said like any venture investor, Telstra Ventures always looked towards companies reaching liquidity either through listing or a trade sale.

"We really have been excited about BigCommerce's ability to democratise e-commerce for small to medium businesses basically allowing them to launch a fully functional store with almost no code," he said. "Right now that's even more important with COVID as everyone moves to e-commerce."

Online retail has boomed during the coronavirus pandemic, with shares in competitor platform Shopify trading at a record high after more than doubling since March to give it a market valuation of $US109 billion.

Tobias Yao, a portfolio manager with Wilson Asset Management, said the coronavirus had created increased demand for online retail which would not subside.

"There has been a step change in the growth trajectory for e-commerce in general," he said. "We think this is a decade -long growth journey."

In an interview last year with The Age and The Sydney Morning Herald, BigCommerce chief executive Brent Bellm said an initial public offering was on the agenda "at some point".

"We are a one product company, all we have is our one platform and we focus on making it the best in the world and the most partner-centric in the world," he said.

Even before the coronavirus pandemic, Mr Bellm said BigCommerce hit an average revenue run rate of "well over" $US100 million and growth was "exploding".

"The majority of the world's websites are still commerce enabling themselves and we can take the assets they have and extend them into commerce," he said.

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