OzForex in strong opening

OzForex's founder and a key backer are each set to reap a $60 million windfall following the sharemarket debut of the online currency exchange company.

OzForex's founder and a key backer are each set to reap a $60 million windfall following the sharemarket debut of the online currency exchange company.

Shares in OzForex hit the ground running on their first day on Friday, opening 30 per cent higher than its $2 initial public offering price at $2.59.

The stock finished the day up 28 per cent per cent at $2.56, taking its market capitalisation to $664.4 million.

"It's nice outcome for the people who have invested in us, and I'm pleased for the shareholders," OzForex chief executive Neil Helm said.

"But ultimately what I'm trying to do here is ensure that the value proposition that we offer our customers stays the same and we continue to do what we're doing."

The debut of OzForex was closely watched as a barometer for IPOs. So far this financial year 23 companies have listed on the ASX, but most of these have been small to mid-size stocks.

Looming at the end of this year is the $3 billion float of Nine Entertainment while mortgage insurer Genworth is expected to list its Australian arm next year.

OzForex founder Matthew Gilmour and early investor Gary Lord will each receive about $60 million from the sale. Macquarie is set to receive just over $90 million from the sale.

The IPO, which raised $439.4 million by the issues of 12 million new shares and the sale and transfer of 207.7 million existing shares, was heavily subscribed by institutional investors. OzForex's existing owners retained 20.3 million shares, or 8.5 per cent.

Mr Helm said OzForex's focus over the next 12 months was to strengthen its business in Australia as well as in Hong Kong, Singapore and the US.

For the last financial year, OzForex posted a net profit of $13.1 million.

The company's prospectus forecast a stronger year in financial 2014, with profits expected to rise to $18.6 million, excluding costs of listing.

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