DBSi Receives $35 million Financing

Investment banking firm DH Capital has closed a $35 million financing deal, comprising ‎of a credit facility and subordinate term loan, for web hosting provider Data Based ‎Systems International. DH Capital was the exclusive financial advisor to DBSi. ‎

DBSi are into managed hosting services, workspace recovery, and high-end co-location ‎in the mid-Atlantic region. The senior financing was provided by PNC Bank, and the ‎junior financing was provided by MCG Capital. ‎

The existing debt would be refinanced through the proceeds obtained and efforts to ‎complete the first phase of TekPark data center would be pursued. The 220,000 square foot data center coming up in Breinigsville, Pennsylvania has more ‎than 100,000 square feet available for TekPark’s data center expansion. The construction ‎of the first phase started toward the end of 2008, and TekPark data center has so far ‎leased out 50% of the available data center space.‎

The two other additional enterprise-class data centers operated by TekPark are located in ‎Valley Forge and Bethlehem, Pennsylvania. DBSi is now well-positioned to deliberate on ‎their growth strategy based on its reputation as a leading managed services and co-‎location services provider.‎