X2M set to raise $2m for data centre platform build-out

Australian smart city technology firm X2M Connect said it has received "firm commitments" to raise $2 million from sophisticated and professional investors.

The funds raised will be used for data centre sensor integration and platform enhancement, energy management systems and storage for data centre precincts and smart communities, and for general working capital purposes.

It also plans to undertake a fully underwritten securities purchase plan to raise an additional $1 million on similar or the same terms, giving existing shareholders the opportunity to participate.

X2M's patent-supported, AI-enabled platform connects any device on any network, regardless of manufacturer or communications standard, the company claims.

In a data centre precinct, that means power generation, battery storage, cooling, environmental sensors, metering, billing and connectivity can all run through a single real-time management layer, converting raw device signals into the structured, AI-ready data that AI management applications are then built on.

X2M's role is intended to begin at the design stage and continue through construction and into ongoing platform operations, generating platform and SaaS revenue for the life of the facility.

X2M's data centre stratagem is supported by an existing utilities business that generated $7.2m of unaudited revenue in the nine months to 31 March 2026, ahead of full year FY25 revenue of $6.5m, with progress being made toward positive cash flow.

“Data centres and energy management are our focus areas for the Australian market, and it is an area where our platform can make a difference,” said X2M chief executive Mohan Jesudason.

“We have spent more than a decade proving we can connect, process and act on real-world data at industrial scale, and that is precisely the problem every megawatt of data centre capacity has.

“Once progressed in Australia, we will look to taking our solution into other markets where we operate."

Last month, X2M announced it is partnering with Resi Ventures to develop integrated data centre and energy infrastructure precincts across regional Australia.