Matthew Madden, CEO of DXN, said that the agreement includes assets and customer revenue and is an example of how the Company will deliver on its vision to be Australia’s leading Edge data centre operator.
Madden said, “Our plan is to continue to expand our carrier neutral Edge data centre footprint in Australia and New Zealand. This target will be achieved by developing new greenfield modular data centres, such as our new Sydney DC and / or acquiring existing operating data centres such as DC3.”
The Hobart data centre is a modular DC designed to a minimum of Tier II. It has 30 racks occupied and the capacity to expand to 100 racks. DC3 is a government accredited data centre that provides services to the Tasmanian Government and is one of only three commercial data centres in Tasmania.
Madden said, “It is a condition precedent to settlement of the Acquisition that TasmaNet signs a national customer agreement with DXN with a minimum commitment of $860,000 per annum for three to five years. To the year ending 30 June 2019 (FY19), DC3 generated revenue of approximately $860,000 and EBITDA of approximately $450,000. The Acquisition is a low-cost entry into the Edge market.
Elizabeth Aris, CEO of TasmaNet, said, “We are delighted to be working with DXN and providing ongoing support and sales activity for this data centre and other data centres that DXN roll out. The Hobart data centre has a strong customer base including key sovereign clients and we are experiencing very solid annual growth, which is expected to increase in line with nbn™ growth.”
