The Icehouse Showcase, an annual exhibition orchestrated by Icehouse Ventures, a significant investor in New Zealand startups.
Amid persistent narratives of economic downturn, rising unemployment, and an escalating cost of living, many are inclined to believe that stagnation is the new normal.
However, a burgeoning community in New Zealand tells a different tale.
Investment flows towards high-tech startups, vividly illustrated last week when a thousand of the nation’s wealthiest individuals convened at Spark Arena for an extravagant gala to pledge considerable financial support.
This gathering is characterized by its exclusivity; tickets are not up for purchase. Instead, select attendees are informed that they play a pivotal role in shaping the future of Aotearoa.
“It’s a meticulously curated assembly,” stated Robbie Paul, chief executive of Icehouse Ventures. “We have a thousand investors comprised of illustrious family representatives, affluent individuals, and those who, while not exceptionally wealthy, possess unwavering faith in this sector, representing a diverse tapestry of society.”
Additionally, an investor confided to The Detail that affluent international guests were present, keenly exploring local tech enterprises and benefiting from the newly relaxed ‘golden visa’ regulations.
The nine participating entrepreneurs had a mere four minutes each to convey their visionary ideas and convince the audience of their potential for investment.
They presented an array of innovative projects, from sustainable space travel initiatives to cutting-edge cybersecurity solutions, alongside a carbon-neutral product birthed from a collaboration of geologists and engineers. Some ventures have already secured millions in funding and boast international outreach.
Interest in Dawn Aerospace was so pronounced, remarked Paul, that prior to co-founder Stefan Powell taking the stage, an investor had already committed to funding.
“It’s rather extraordinary not to await the presentation’s conclusion,” he noted to The Detail.
Laura Domigan, co-founder and chief scientist at Opo Bio, reported that investors reached out expressing their interest during the evening. Opo Bio stands as New Zealand’s inaugural cultivated meat firm, specializing in the development of cell lines for biomanufacturing.
The company has already amassed the majority of its latest funding round of $1.8 million, intended to validate its innovative animal-free collagen product and enable scalable production.
“We’re primarily in pursuit of an additional few hundred thousand,” Domigan articulated.
“There exists a palpable optimism. Many believe that if we manage to bolster our productivity and bring these products to market, we could witness a substantial transformation for New Zealand.”
Leighton Roberts, co-founder of Sharesies, recounted that his venture was deemed “uninvestable” eight years prior due to its six youthful co-founders, some of whom were couples.
“It appears there’s a specific formula for startup investing, which has evolved over the years. Eight years ago, we simply didn’t conform to it,” he shared.
Roberts proudly asserted that approximately every 15 to 20 minutes, $1 million transacts through their investment platform.
“It took us nearly a year to secure our first million, and now we achieve such figures frequently, attracting 750,000 New Zealanders, close to 150,000 Australians, and clients across ten countries engaging with our B2B product.”
Investor and Icehouse director Anne Catley noted a rising trend in investments directed toward New Zealanders stationed abroad. She emphasized that this phenomenon should not be perceived as brain drain, but rather as an opportunity.
“It’s an integral element of a mature ecosystem; individuals venture out, some return. Such instances yield countless opportunities.”
While a handful of Kiwi startups have surpassed the billion-dollar valuation, survival remains paramount, as Paul highlighted. Of the 120 startups showcased over the past 15 years, 26 have faltered, 12 transitioned to acquisitions, and the remainder continue to thrive.
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Source link: Rnz.co.nz.
