TelX Net Income to Go Positive
NEW YORK -- telx, the largest interconnection hub of the worlds’ communications’ networks, also known as “New York’s Supernode,” announces it will turn net income positive this month. The Company’s dramatic revenue growth has allowed it to reach EBITDA positive, cash flow positive and now net income positive, all within less than 24 months.
Additionally, telx recently closed on a $12 Million Series A Preferred Stock financing, which includes the conversion of $8 million of debt and the infusion of $4 million of new cash. The proceeds are planned for expansion purposes, including adding facilities within New York City and in other major interconnect cities.
“The company’s performance and strong support from our existing investors have allowed us to raise equity capital in an otherwise difficult environment,” states Jonathan Lawrence, the Chief Financial Officer of telx. “This funding will be used to purchase assets that are strategic and synergistic with our existing operations, at what we consider to be accretive prices.”
Currently the telx hub is based at New York’s premiere carrier hotel, 60 Hudson Street, with over 100 network providers in its space. But with telx’s success, the company is now looking to expand “spokes” to its hub, increasing redundancy, support, and its already extensive menu of connectivity options.
“We were able to raise the majority of this funding through our existing investor base which is a testament to our investors’ confidence in the Company’s business model and prospects for continued growth,” states Rory J. Cutaia, Chairman, President and CEO of telx.
TelX Group Inc.