Slide 1: Investor Update & Capital Raise Presentation
Investor Update & Capital Raise Presentation 9 September 2021
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by DXN Limited (ACN 620 888 548) (DXN or Company). NOT AN OFFER This presentation is for information purposes only. This presentation does not comprise a prospectus, product disclosure statement or other offering document under Australian law (and will
Slide 3: Forward Looking Statements
FORWARD LOOKING STATEMENTS Certain statements contained in this presentation, including information as to the future financial or operating performance of the Company and its assets, are forward looking statements. Such forward looking statements: (a) are necessarily based upon a number of estimates
Slide 4: Executive Summary
Executive Summary DXN Progresses its Regional Edge Operator strategy • DXN is acquiring the Secure Data Centre in Darwin for $4.88m (Acquisition) • DXN is planning to raise ~ $7.1m in a combination of placement & share purchase plan (SPP) at a price of $0.009 and a $4m debt facility • Singapore-base
Slide 5: Secure Data Centre Provides a Gateway to Subsea Cables and Domestic Fibre Routes
Secure Data Centre Provides a Gateway to Subsea Cables and Domestic Fibre Routes • Secure Data Centre (SDC) has been in operation for 17 years and offers the only continuously maintainable data centre in the Northern Territory of Australia • The data centre is a profitable well-maintained facility a
Slide 6: Secure Data Centre Acquisition
Secure Data Centre Acquisition DXN expands its portfolio of Edge data centres • DXN has entered an agreement to purchase Secure Data Centre (SDC), a data centre in Darwin, Northern Territory, for ~$4.88m (including entitlements and warranties) • ~$3.83m in cash payable upon settlement, plus $0.2m in
Slide 7: Financials
Financials Proforma profit & loss statement Unaudited Unaudited Unaudited Data Centres Year to June (A#039;000) DXN Darwin DXN Change Current Acquisition Proforma ▪ Darwin DC Operations 984 1,726 2,710 175% ▪ Hobart DC Manufacturing 7,219 - 7,219 0% Other1 1,314 10 1,324 1% ▪ Sydney Group Revenue2 9,51
Slide 8: Capital-lite Edge Data Centre Model
Capital-lite Edge Data Centre Model DXN will look to offset the capital component of its growth into the Edge DC market • DXN will continue to look for brownfield and greenfield opportunities to expand its position in the Edge data centre market • Large property development groups across Asia Pacifi
Slide 9: Modular Manufacturing Update
Modular Manufacturing Update Strong global demand for modular data centres • DXN is well placed in the Asia Pacific and Australian markets, with strong demand for its high quality, bespoke data centre modules • Key focus markets with a strong pipeline ✓ Telco ✓ Mining ✓ Subsea Cables ✓ EDGE DC 9
Slide 10: Targeted Market Segments
Targeted Market Segments Cable Landing Telco and Mining Micro DC EDGE DC Stations Government • Pre-fabricate specific • Purpose built • Plug and play, fully • 1-3 MW deployment • Edge deployment for submarine cable • High quality integrated solution • 100-400 racks • 20kW to 1MW industry Australian
Slide 11: Equity Capital Raising
Equity Capital Raising Capital raising to generate up to $3.14m with an additional placement of $1.25m • Placement of $1.64m at a price of 0.009 per share • $1.25m to DC Alliance • ~$0.39m to sophisticated investors • Share purchase plan (SPP) to raise up to $1.5m at a price of $0.009 per share • Se
Slide 12: New Debt Facility
New Debt Facility New $4.0m Term Loan Facility Binding terms agreed with PURE Asset Management (“PURE”), subject to finalising documentation. PURE is a credit investor that provides funding that is less dilutive to shareholders • $4.0m Secured Term Loan Facility • $2.50m initially drawn to partially
Slide 13: Sources and Uses of Funds
Sources and Uses of Funds Source of Funds Placement to DC Alliance and sophisticated investors $1.64m Share purchase plan $1.50m PURE debt facility $4.0m Total $7.14m • DXN will withhold $0.85m from the SDC purchase price for 12 months to cover any potential warranty claims against SDC Uses of Funds
Slide 14: Capital Raising Timetable
Capital Raising Timetable Key dates for the offer event Record date for share purchase plan (7pm AEST) Wednesday 8 September 2021 Announcement of the SPP and Lodge Appendix 3B Thursday 9 September 2021 Issue of Shares under Placement and release of Appendix 2A and Cleansing Notice Friday 10 Septembe
Slide 15: Thank you
Thank you QDXN Maxine cLobat LocaL
Slide 16: Appendix
Appendix Pro-forma profit & loss statement reconciliation to Unaudited Statutory NPAT FY21 DXN Reconciliation betw een Norm alised EBITDA and Statutory NPAT EBITDA (norm alised) -2,353,446 Lease Liability 3,302,433 Acquisition expenses -54,487 Amortisation – intangibles -487,328 Depreciation -4,121,