TZ grows data centre business after losing AusPost deal

Mark Bouris’ ASX listed locker technology business TZ is hoping to post a maiden profit in 2014 after firming up new contracts with data centre providers in Europe and Australia.

TZ, which operates both a parcel locker and data centre infrastructure protection business, was forced to sack a number of operations and engineering staff last year, after losing out on a major locker supply contract with Australia Post.

Despite slashing costs, TZ posted a $23.2 million loss for the 2012-13 financial year.

The company has been forced to undergo a number of capital raisings to help fund its operations, the largest being $12.7 million in November, and most recent being $1.5 million in June this year.

TZ today told investors it had secured a $360,000 contract with a new data centre in Europe, and a $670,000 data centre expansion contract in Australia.

In a shareholder update, TZ said it had secured relationships with organisations including Secure Parking, BP Victoria, Toll and TNT for its parcel locker business, however only five sites were live, with 14 expected to be live by the end of the year.

“Additional locker supply agreements are under negotiation with well known financial services, IT and software multinationals,” TZ said in its statement.

TZ’s contract with Singapore Post remains in place, with additional locker banks being ordered and deployed on the back of what TZ said was “strong public acceptance”.

Despite the new and growing contracts, TZ wrote down the value of its goodwill by $4 million during the financial year.