Husband-and-wife team sell tech firm in $373m deal

Australia’s software sector has posted one of the largest exits in its history, with husband-and-wife team Collis and Cyan Ta’eed selling their company Envato to global giant Shutterstock in a deal worth $US245 million ($373 million).

Some 18 years after the Ta’eeds and their friend Jun Rung co-founded Envato from a Bondi garage, they’ve sold the company to American stock image firm Shutterstock, which will double its subscriber count through the transaction. Collis and Cyan had held onto a 68 per cent share of Envato, with Rung and Collis’ brother Vahid retaining the rest.

Envato, which is now headquartered in Melbourne, offers online marketplaces for digital assets and tools and has racked up more than 2 million annual customers and more than $1.3 billion in earnings since its inception. At one point, the company was thought to be worth about $1 billion, which would have made it a start-up “unicorn”, before the COVID-19 pandemic and rising interest rates slashed valuations.

The sale marks the end of an era for co-founder Collis Ta’eed, who is now based in Darwin and is focused on philanthropy and start-up investing. He told this masthead on Friday that Shutterstock was a “great cultural fit, has complementary products and distribution muscle”.

“We now want to explore new opportunities and pursue other passions — and the decision to sell represents an exciting new chapter, for us and for Envato, as it enters a new phase of growth and evolution,” he said.

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“This will open up Envato to even more possibilities in the future — and in this case, the timing was right.

“This acquisition is further recognition of the dynamic Australian creative start-up industry and its contribution to the global stage — where homegrown innovation is shared worldwide.

“Over the years, we’ve been privileged to grow with this passionate community of creatives who have shown us the possibilities that arise at the intersection of technology and creativity. I am incredibly grateful for this and honoured to have been part of the impact and success of this creative community.”