With the support of Export Finance Australia, the team at DXN Limited (DXN) is continuing to achieve its vision of “Making global local”.
DXN is a vertically integrated business, operating local data centres in Sydney and Hobart. As specialists in building, designing and commissioning prefabricated modular data centres, the team works with businesses across a variety of sectors, both nationally and internationally.
Bespoke solutions, shaped around the unique needs of customers, have seen the demand for DXN’s services grow significantly and its customer base now includes some of the globe’s leading mining companies, as well as a number of subsea cable companies.
Securing finance as an emerging business
DXN is an ASX listed company and not long after listing in 2018, began exporting modular data centres from their manufacturing facility in Perth Western Australia.
To support the upfront costs to deliver four critical communication infrastructure module projects across the Pacific, DXN needed additional working capital. This support was crucial to close cashflow gaps during the time between the building process and receiving payment from customers.
While the bank was able to provide finance to support the building of assets based in Australia, it was unable to finance overseas assets while DXN was still in the pre-profitability stage.
Export Finance Australia was recommended by DXN’s debt advisors who facilitated an introduction between Greg Blenkiron, CFO at DXN and the WA Business Development team at Export Finance Australia, to come up with a solution.
“Their passion for scale-ups was really refreshing for us,” Greg highlighted. “It was fantastic working with them, and it is good to have an ally in Export Finance Australia.”
As a capital-constrained business, particularly on the manufacturing side, Greg explained that they were too early in the scale-up phase for commercial banks.