Booktopia CEO Tony Nash (right) with the ASX's James Posnett.Credit:Steven Siewert
Booktopia's initial public offering followed the recent debuts ofonline beauty retailer Adore Beauty which private equity heavyweight Quadrant held a large stake in andonline marketplace MyDeal which was backed by the Gandel family.
Mr Nash said Booktopia saw a"good volume"of trading after landing on the boards on Thursday at $2.30,rising as high as $2.90 during the day before closing on Friday for the week at $2.92.
Oscar Oberg,lead portfolio manager at Wilson Asset Management,said Booktopia’s rise on debut came after listing at a good price.
"I like the management,it had been around the block for a long time,it isn’t something that just evolved recently,"he said.
Booktopia's valuation was at a multiple of 1.5 times forecast 2021 revenues and 31.7 times EBITDA in contrast to Adore Beauty which floated on a multiple of 3.9 times forecast 2020 revenue and 96 times forecast EBITDA but Mr Oberg said comparisons were difficult.
"It was priced really well that is what has helped it,the other e-commerce names have different exposures and different sectors and trade at different multiples,"he said.