EROAD Bundle
Who Owns EROAD Company?
Understanding a company's ownership is key to grasping its strategy and accountability. Major events like IPOs or acquisitions can significantly alter this structure. EROAD, a global tech firm focused on telematics for transport, began in New Zealand in 2000, aiming to modernize road tax systems.
Headquartered in Auckland, New Zealand, and listed on both the ASX and NZX, EROAD offers solutions like ELDs and fleet management software. These tools enhance fleet efficiency, safety, and compliance, serving clients in North America, New Zealand, and Australia. The company's market capitalization was around A$0.22 billion in August 2025. This analysis will explore EROAD's ownership journey, from its founders to major investors and public shareholders.
EROAD's product suite includes advanced telematics solutions, such as the EROAD BCG Matrix, which helps analyze the strategic positioning of its various offerings within the market.
Who Founded EROAD?
EROAD was established in New Zealand in 2000, initially concentrating on modernizing road tax systems. While precise details regarding the founders' initial equity distribution are not publicly detailed, the company's early innovation was significant.
Founding Vision
The founding team envisioned an integrated technology solution. This system was designed to connect vehicles, assets, and operations seamlessly.
Technological Innovation
EROAD pioneered the world's first nationwide GPS/cellular-based road user charging system. This system was launched in New Zealand in 2009.
System Transformation
The company transformed the traditional paper-based road user charging (RUC) regime into a digital format. This marked a significant modernization effort.
Market Leadership
EROAD became the largest electronic RUC agent in New Zealand. Its annualized RUC collection rate surpassed $219 million.
Core Technology
The core of their solution involved secure electronic distance recorders, known as Ehubo. This was complemented by a bank-grade payment gateway and services portal.
Early Focus
The company's initial focus was on modernizing road tax systems. This laid the groundwork for its future expansion and offerings.
The early ownership structure of EROAD is not extensively documented in public records, but the company's foundational strategy revolved around creating a comprehensive technological ecosystem for the transport sector. This included secure electronic distance recorders and a robust payment gateway, aiming to streamline operations and compliance for businesses. Understanding the Growth Strategy of EROAD provides further context to its early development and market positioning.
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How Has EROAD’s Ownership Changed Over Time?
EROAD's journey as a publicly traded entity began with its IPO in July 2014, establishing its presence on both the NZX and ASX under the ticker ERD. The company's ownership structure has seen shifts, particularly influenced by strategic acquisitions and the evolving landscape of institutional investment.
| Total Shares (as of July 2025) | Top 19 Shareholders' Collective Ownership | Primary Exchange Listing |
| 187,469,855 | 57.14% | NZX and ASX |
As of July 2025, EROAD Limited has a total of 187,469,855 shares outstanding. The company's ownership is concentrated among its top 19 shareholders, who collectively hold 57.14% of the company's stock. Key institutional investors include Australian Ethical Investment Limited, which owns 14% of the company, Regal Partners Limited with 10.6%, and Ellerston Capital Limited holding 7.36%. Ellerston Capital Limited notably became a substantial holder in December 2024, increasing its voting power to 5.02%. Other significant institutional owners identified through SEC filings include DFIEX - International Core Equity Portfolio - Institutional Class, DISV - Dimensional International Small Cap Value ETF, and Dfa Investment Trust Co - The Asia Pacific Small Company Series, collectively holding 157,361 shares.
Key Ownership and Financial Milestones
EROAD's strategic growth has been marked by significant acquisitions and a notable improvement in financial performance.
- The acquisition of Coretex in 2021 for NZ$157.7 million upfront expanded EROAD's connected unit base.
- This acquisition significantly strengthened EROAD's presence in the North American market.
- EROAD achieved positive free cash flow of $1.3 million in FY2024, a substantial turnaround from negative $29.9 million in FY2023.
- For FY25, EROAD reported a free cash flow of $16.0 million, demonstrating continued financial strengthening.
- Understanding EROAD's Mission, Vision & Core Values of EROAD provides context for its strategic decisions.
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Who Sits on EROAD’s Board?
As of June 2025, EROAD's governance structure is overseen by a Board of Directors comprising six independent directors. Susan Paterson serves as the Chair and also leads the Finance, Risk and Audit Committee, indicating a focus on financial oversight.
| Director Name | Role | Committee |
|---|---|---|
| Susan Paterson | Chair and Independent Director | Finance, Risk and Audit Committee Chair |
| Cameron Kinloch | Independent Director | |
| Barry Einsig | Independent Director | |
| David Green | Independent Director | |
| Sara Gifford | Independent Director | |
| John Scott | Independent Director |
The board members have an average tenure of 2.6 years, suggesting a relatively new composition. At the 2025 Annual Shareholder's Meeting, key decisions were made, including the re-election of Susan Paterson and Sara Gifford, and the appointment of John Scott as a director. Shareholders also granted authorization for the board to determine auditor fees. The current structure does not indicate any special voting rights or concentrated control mechanisms, aligning with standard practices for publicly traded entities operating under the NZX Listing Rules. Understanding the Competitors Landscape of EROAD can provide context for its market position and governance approach.
EROAD Shareholder Voting and Board Elections
Shareholder participation is crucial for EROAD's corporate governance. Key decisions are made through voting at annual meetings.
- Directors are elected by shareholders.
- Auditor fees are authorized by shareholders.
- Shareholder resolutions are voted upon annually.
- No indications of concentrated voting power were noted.
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What Recent Changes Have Shaped EROAD’s Ownership Landscape?
EROAD's ownership landscape has seen shifts over the past few years, influenced by strategic acquisitions and changes in key stakeholder holdings. The company's recent developments aim to bolster its market position and financial stability, impacting who ultimately owns EROAD.
| Development | Date | Impact |
| Acquisition of Coretex | 2021 | Expanded connected unit base and market reach, particularly in North America. |
| Appointment of David Kenneson as Co-CEO | March 2024 | Aimed at accelerating decision-making and international growth. |
| Resignation of CFO Margaret Warrington | February 21, 2025 | Initiated recruitment process for a replacement. |
| Reduction in stake by Steven Newman and NMC Trustees Limited | February 2024 - June 2025 | Sold 3,444,059 ordinary shares. |
Recent trends in EROAD's ownership indicate a dynamic environment, with significant institutional investors maintaining substantial stakes despite some key stakeholders reducing their holdings. The company's financial performance, marked by positive free cash flow in FY2024 and FY2025, suggests a strengthening financial position, which can influence investor confidence and future ownership patterns.
Leadership Evolution
EROAD appointed David Kenneson as co-CEO in March 2024. This move, alongside existing CEO Mark Heine, is designed to drive international expansion. The company is also actively recruiting a new Chief Financial Officer following Margaret Warrington's resignation in February 2025.
Stakeholder Activity and Financial Health
Between February 2024 and June 2025, key stakeholder Steven Newman and NMC Trustees Limited reduced their shareholding by selling over 3.4 million shares. Concurrently, EROAD reported positive free cash flow of $1.3 million in FY2024 and $16.0 million in FY2025, indicating improved financial performance.
Strategic Growth and Partnerships
EROAD's strategy focuses on sustained growth through investment and cost management. The company is leveraging existing customer bases and strategic alliances, such as its partnership with Geotab for light commercial and electric vehicles, to expand its market presence.
Ownership Structure Insights
While specific EROAD company major investors are not detailed here, institutional ownership remains a significant factor. Understanding the Target Market of EROAD can provide context for its shareholder base and overall EROAD company ownership structure.
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- What is Brief History of EROAD Company?
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- What are Mission Vision & Core Values of EROAD Company?
- What is Customer Demographics and Target Market of EROAD Company?
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