Tyro Payments getting ticks from fund managers

Tyro Payments chief executive Robbie Cooke. Picture: Adrian Dharma

Fund managers that have had an opportunity to scrutinise Tyro Payments in investor meetings this week are so far backing the company, although some question whether it will be worth as much as $2bn once listed, despite what is thought to be high expectations of growth.

Successful technology stocks usually trade on 20 times earnings and with a $2bn market value that would mean Tyro would be trading at even higher.

Working on the float is JPMorgan and Morgan Stanley. The electronic payments provider, which has 400 shareholders and is run by former Tatts boss Robbie Cooke, is understood to be raising no more than $250m.

Meetings for IPOs are ramping up, with fund managers knocking on Morgan Stanley’s doors on Wednesday to find out more information on workforce management software provider Damstra Technology, thought to be worth no more than $200m.

Meanwhile the 9.31 per cent interest in oOh!media offloaded by Yarra Capital on Tuesday was understood to have been sold to hedge funds and local clients of Macquarie Capital that executed the trade. Shares were sold at $3 as the stock closed at $3.11 after Yarra had been buying up shares in July and August at $4.40 each.

oOh!media’s shares crashed by 27.5 per cent last month when it slashed earnings guidance for the full year to between $125m and $135m, from earlier guidance of between $152m and $162m.