CoreXchange Raises Capital for Expansion
March 23rd, 2011 By: Rich Miller
Data center service provider CoreXchange said Tuesday that it has received equity capital funding from ORIX Corporate Capital, along with additional funding from existing investor Red Barn Investments. Dallas-based CoreXchange will use the proceeds of the funding to expand its data center infrastructure and colocation service offerings. The terms of the financing were not disclosed.
“ORIX coming on board as a new equity investor is compelling validation of the CoreXchange business model and the continued strong growth of our business,” said Peter Pathos, chairman of CoreXchange. “They bring a highly experienced team of investment professionals and significant access to a variety of capital solutions that will help us achieve even greater scale in our company’s growth.”
CoreXchange will use a significant portion of the proceeds to enhance its data center infrastructure in its two colocation facilities at the Dallas Infomart and The Connection at 8600 Harry Hines.
“The ORIX team is excited about its new equity investment in CoreXchange,” said John Lenocker, director at ORIX Corporate Capital. “The combination of CoreXchange’s experienced management team and compelling value proposition in the large and growing colocation services market presents significant investor upside.”
CoreXchange operates a network connectivity exchange that allows customers to quickly get quotes on multi-homed connectivity using the CoreXchange Configurator, which currently offers six carriers. Connectivity services are available in the CoreXchange data center or at a customer’s remote location via local loop or metro Ethernet.