News blog

CSF Group

• BY: Andrew Hore |
• POSTED: 27/03/2013 |

CSF Group is reviewing its options after two of its main data centre clients have asked for more time to pay their bills.

The clients also want to negotiate early breaks for the tenancies. Malaysia-based CSF believes that it may not get the cash and plans to provide for it in full. That could be as much as £7.1m.

The CSF share price has almost halved to 14.38p, which values CSF at £8.63m. There should be £14.5m in the bank at the end of March 2013. There are some borrowings to offset against this.

The focus of the business will be securing new tenants for existing data centres. CX Jakarta has secured 10 customers. The development of CX Singapore has been suspended and CX6 delayed.

Before any adjustments for the money owed revenues profit for the year to March 2013 would have been in line with expectations. Data centres CX1, CX2, CX3 and Block A of CX5 are fully occupied.

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