Enprise Group founder and software entrepreneur Mark Loveys has been appointed full time CEO of Datagate Innovation Ltd, an early-stage cloud software development company that provides online billing and reporting portals for businesses that bill according to subscription or usage.
Datagate manages the data aggregation, rating, billing and analysis of service usage. The Enprise Group-owned company (ENS: NZAX) has an exciting global opportunity in the massive online market, Mark Loveys says.
“I believe Datagate has huge potential to drive significant value for Enprise Group shareholders,” he says. “I will now focus all of my energy on growing Datagate. It has a big and exciting growth path ahead which is going to involve serving businesses, large and small, all over the world. The reseller channels of telco and utility companies worldwide are drowning in billing complexity and transaction volume. Datagate makes complex billing easy and inexpensive. It enables resellers to reduce billing cost and differentiate their offerings in what are often commodity markets. We have a compelling value proposition in the global cloud economy.”
Datagate is already generating revenue through seven live customer sites in New Zealand, Loveys says. The company’s strategy is to use the local market to establish reference sites before ramping up sales offshore. Parent company Enprise Group has sales channels of resellers in America, Canada, Australia, New Zealand, South Africa and the United Kingdom. Datagate can leverage these existing global channels to market.
As a new cloud-based Software-as-a-Service business Datagate requires up-front cash investment. To raise new capital, professional investors will be allowed to invest directly in Datagate, alongside Enprise Group as fellow Datagate shareholders. Datagate will operate as an autonomous entity, rather than a wholly-owned subsidiary of Enprise Group. To that end, Mark Loveys will invest directly in Datagate once he gains shareholder approval and regulatory clearance to do so.
Mark Loveys will remain on the Enprise Group board of directors as a non-executive director and will retain a significant shareholding in the company. Enprise Group will retain a significant shareholding in Datagate and a director on the Datagate board.
“I believe these changes will maximise Enprise Group's shareholder value and better fulfil the potential of each Enprise business,” Mark Loveys says.
“As a high-growth cloud company, we will raise direct investor capital to build Datagate through its formative years, before crossing over to profitability through its build-up of recurring SaaS revenues.”
Elliot Cooper replaces Mark Loveys as CEO of Enprise Group Ltd. Elliot is a co-founder and executive director of Enprise, and formerly held the Enprise Group CFO role. In addition to his financial expertise Elliot has extensive experience in the financial software business and, alongside Mark Loveys, was a designer of popular software products including Enprise Job and Exonet, now renamed MYOB EXO.
Enprise Group offers investors a portfolio of three software businesses. Each is managed by a proven management team, has its own international growth strategy and has strategic value that can be leveraged by the other businesses of the group.