Exela Technologies (XELA.Q) announced today that its Digital Mailroom (DMR) platform is live and available for online signups for small and medium businesses (SMBs) in the United Kingdom. Furthermore, the Company has also completed its $100 million at-the-market equity program and has entered into an additional $150 million program.
“The way businesses and people work has changed dramatically. It seems that the work from home trend is here to stay and Exela’s DMR solution provides a crucial and valuable service for seamless business processes. Our goal is to help businesses of every size to easily signup and start using the DMR solution,” said Vitalie Robu, President EMEA, Exela Technologies.
Global Workplace Analytics (GWA) estimates that roughly 25-30% of the global workforce will be working from home multiple days a week by the end of 2021. Prior to the ongoing COVID-19 outbreak, GWA surveys showed that 80% of employees wanted to work from home at least some of the time, with over a third willing to take a pay cut in exchange for this option. With this in mind, Exela’s DMR platform is intended to cater to this growing demographic of people who are working from home, starting with the UK.
Exela is a business process automation leader providing digital transformation solutions to enhance quality, productivity, and end-user experiences for businesses. The Company serves more than 4,000 customers throughout 50 countries, including over 60% of the Fortune® 100. Exela’s DMR platform allows businesses to create a virtual office address, enabling customers to receive their incoming mail as digitized documents accessible via the DMR portal. Additionally, the DMR platform offers add-on services such as parcel delivery and inbuilt features like eSignature, data redaction and storage.
The Company also announced today that it has completed its $100 million at-the-market equity program, announced on May 27, 2021. Exela has now entered into an additional $150 million at-the-market equity program and intends to use the net proceeds from the offering for the purchase or retirement of debt and/or general corporate purposes. Although Exela’s revenue declined 18% to $300 million in Q1 2021, the Company’s DMR customers grew 117%. Furthermore, according to a survey conducted by Vox EU, out of a sample of 5,000 UK working adults, 51% worked from home. With this in mind, the UK could prove to be a lucrative market for Exela and could serve as a stepping stone to additional countries in Europe.
Exela’s share price opened at $2.78, up from a previous close of $2.34. The Company’s shares are up 4.27% following the news and are currently trading at $2.42 as of 12:11PM ET.