UXC Limited was formed in September 2002 by the merger of Utility Services Corporation (USC) and DVT Holdings Limited (DVT).
In March 1998, MITS Ltd (a successful private IT company that provided services to utilities) and TechComm Group Ltd (a struggling publicly-listed IT company) merged to form USC. Following the merger USC expanded the range of services it provided to utilities through several acquisitions. During this time the company enjoyed good profits, a strengthening balance sheet and excellent share performance.
In December 2000, USC sold the MITS business for about $90 million cash, realizing a profit of almost $50 million. This sale provided cash for investment of over $60 million after repaying borrowings, paying two interim dividends and providing for a share buyback.
USC then broadened its strategy to include e-business solutions where there is strong market growth. The company built its e-business capabilities through targeted acquisitions, while continuing to strengthen its existing utility businesses.
DVT was formerly known as Davnet Limited, being engaged in the provision of communication services in video, voice, and data, as well as data storage solutions.
Aggressive expansion and the global downturn in the Telecommunications industry put Davnet into financial difficulty, and a rescue backed by existing investors was mounted in August 2001. This resulted in a major overhaul of the board, management and staff, the closure or sale of most of the company’s businesses, and the repayment of all debt and legacy commitments.
DVT emerged from the reconstruction with over $9 million in cash, a healthy balance sheet, and a single operating subsidiary strengthened by strategic acquisition to make it a leader in the data storage solutions market. The merger with USC represented the final stage of the Company’s restoration.
Today, UXC is a $500m revenue ASX 300 company with 3,000 staff focused on two market segments, IT&C and Utilities.
UXC is engaged in the provision of Business and IT services (Consulting, Applications, Integration and Maintenance), Voice and Data Network Services and Applications, Infrastructure Support Services (Desktop, Server, Network, Storage, Voice) and Utility Asset and Data Management (inspection and maintenance of electricity distribution assets and the provision of utility meter installation, reading, and related data management services).