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Tag: Exela Technologies

Exela Technologies Inc. (XELA) Rallies Premarket After CEO Transition News

The transaction processing solutions and enterprise information management solutions provider, Exela Technologies Inc. (XELA ) is rallying in today’s premarket. Having surged by 26.36% at the last check, the stock is making some big moves at over 1.2 million shares. After having been bearish for a bit, XELA’s recent price surge comes after the company announced its CEO transition yesterday, March 31, 2022. At the time of writing, the stock was trending at $0.5259 in the premarket while it closed the prior session at $0.4162 per share. The earlier session had recorded a loss of 2.57% for the stock.

It seems investors are looking forward to the next phase of the company.

Source: Chief Executive Magazine

XELA’s CEO Transition

On Thursday, the company announced that its CEO Ronald C. Cogburn will transition from his role on April 30, 2022. Having spent nearly three decades with XELA Mr. Cogburn’s tenure has finally come to an end. In his 30-year career with the company, Mr. Cogburn went from Senior Project Manager at its subsidiary to CEO of SourceHOV which is now known as Exela after it acquired Novitex and merged with Quinpario. He has been in the current role since the company made its debut in July 2017.

Thus, with the transition of Mr. Cogburn at the end of April, Par Chadha (Executive Chairman) will hold the reins of the company along with XELA’s global senior management.

What else has been happening?

The company has recently completed the last of the remaining steps in its balance sheet strengthening initiative previously announced in September 2021. The company’s certain subsidiaries marked the closure of a Revolving Loan Exchange and Prepayment Agreement. Prepaying all of the outstanding amounts under the facility with $50 million cash and $50 million Notes due 2026, the company has no further senior debt maturities in 2022.

Additionally, the Notes are of the company’s 11.500% First-Priority Senior Secured which are due in 2026.

XELA’s Financial Analysis

According to the preliminary results for Q4 2021, XELA’s revenue suffered a decline of 6.3% to $294.3 million in the quarter. While the ITPS segment revenue took a hit from Covid-19, healthcare solutions and legal & loss prevention services revenue both marked a YOY increase.

On the other hand, the company was able to reduce its net and EBITDA loss in the quarter with net loss standing at $70.6 million and EBITDA loss at $3.1 million. The comparable figures for Q4 2020 were $88.9 million and $8.6 million respectively.

April 1, 2022
Exela Technologies, Inc. (XELA) surged in the current market; here is why?

Exela Technologies, Inc. (XELA) gained in the current market after the company announced an increase in Exchange Offer Consideration for Common Stock to $1.25 of New Notes per Share. XELA values at $0.86 in the current market, gaining more than 6.82% compared to yesterday’s closed price. The stock closed at around $0.81 at the end of the previous trading session with a trading volume of approximately 51.62 million shares.

Exela Technologies, Inc. (XELA) increased in Exchange Offer

Exela Technologies, Inc. (XELA) is a multinational BPM company. SourceHOV LCC, Novitex Holdings, Inc., and Quinpario Acquisition Corp. merged to form it.

Exela Technologies, Inc. (XELA) announced in a press release today that it has revised its previously announced offer to swap up to 100,000,000 shares of its Common Stock for unsecured 6.00 percent senior notes due 2029. Since each share of Common Stock is now worth $1.25 instead of $1.00, the total value offered per share is now $1.25 as well.

The exchange of Common Stock for New Notes is now available in 20-share increments for $25 in New Notes for shareholders. On January 25, 2022, the stock closed at $0.55, representing a 127 percent premium. There will be a 30 percent reduction in the total number of shares when the tenders are accepted. Due to the increased price for the exchange, only 20-share lots of Common Stock may be offered and up to $125,000,000 in New Notes may be given.

Exela Technologies, Inc. (XELA) lost around 70% in the last 12 months

Price records contain a stock’s low and high price history over a 52-week period. In the last 52 weeks, Exela Technologies Inc. shares have fallen by 70 percent, yet it has risen by 130 percent from their lowest price point of $0.35. There was no significant change in the stock’s 52-week price range, which remained between $0.35 and $7.82.

Exela Technologies, Inc. (XELA) shares reached a trading volume of over 51.62 million yesterday, much greater than the shares’ usual daily volumes. If we look at Exela Technologies YTD’s metrics, we see that the company has performed in the has declined market 1.38%, with revenues showing an annual decrease of 59.72%. The market cap of Exela Technologies is $159.59 million right now.

Conclusion

Exela Technologies, Inc. (XELA) has lost significant value in the trailing twelve months. The current exchange offer shows that the company is keen on increasing the stock value. They also have to meet the NASDAQ’s compliance of keeping the stock value above $1 per share.

February 7, 2022
Exela Technologies Inc. (XELA) Stock Continues Rally on Service Contract Renewal

On January 25, Exela Technologies Inc. (XELA) announced a service contract renewal with a leading consulting firm. Consequently, the stock added a good value in the following sessions.

During the regular trading session, XELA stock increased by a huge 32.95% at its close of $0.5500. The stock continued the bullish momentum into the after-hours with a further gain of 7.07%. Therefore, the stock was trading at $0.5889 per share in the after-hours at a heavy volume of 4.74 million shares.

The transactions processing solutions and enterprise information management provider, Exela Technologies Inc. was founded in 2014. Currently, its 184.83 million outstanding shares trade at a market capitalization of $76.46 million.

XELA’s Service Contract Renewal

As per the announcement, the company has renewed its long-standing relationship with a leading consulting firm through contract renewal. Hence, reaffirming a twenty-year-long relationship for a total contract value of more than $35 million.

Moreover, the suite of solutions provided to the customer includes Digital Mailroom (DMR) and XELA’s Intelligent lockers. For the smooth and uninterrupted mail flow, the company deployed its DMR solution during the early days of the pandemic. With this, the company was able to reroute all customer mail to a processing center. Thus, resulting in the smooth electronic mail flow to the customer’s staff. Resultantly, enabling the smooth transition of the customer’s worldwide employee base to remote working. Currently, the customer’s employee base accounts for over 90,000 users.

In addition, the company is also providing the reception and exchange of packages like IT laptop exchanges, flexibly.

Other Developments

On January 21, the company had announced a new relationship with a post-acute healthcare national leader which focuses on home healthcare. Hospice and personal care. Delivery of data aggregation along with reports for driving patients and families’ agile access to personalized high-quality care is part of the initial PCH Global rollout scope.

XELA’s Preliminary Q3 Results

On November 05, the company declared its third-quarter financial results for 2021, which ended on September 30.

According to the results, the company had a revenue of $279.2 million in the third quarter of 2021. Comparatively, the revenue in Q3 of 2020 was $305.3 million, showing a decrease of 8.5% year over year.

Furthermore, EXLA incurred a net loss of $13.2 million in the third quarter of 2021, against $28.3 million in Q3 of 2020.

January 26, 2022
How Could This Cause Exela Technologies (XELA) Stock To Rise Premarket?
In Tuesday’s premarket session, shares of Exela Technologies Inc. (XELA) were trading at $2.82, up 14.63%. At the close of the last trading session, Exela stock was trading at $2.46 with an increase of 1.23%. A total of 25.11 million shares of Exela Technologies were traded on Monday, below the 75.72 million shares traded on average during the last 50 days.

Over the last one month, the XELA stock has increased 86.36%, while the shares of Exela Technologies have fallen -19.34% over the last five days. XELA stock price has risen 18.27% over the past three months and has gained 97.45 percent so far this year. XELA stock is gaining premarket following record user addition in Q2 2021.

How did XELA add record-breaking numbers of new users?

Exela Technologies is a provider of business process automation (BPA) solutions that improve quality, productivity, and end-user experiences. XELA has a global footprint and proprietary technology to deliver smart solutions to organizations worldwide. XELA has over 4,000 customers across 50 countries, including over 60% of the Fortune 100, and has operated mission-critical processes for decades.

As a leading provider of information management, workflow automation, and integrated communications solutions, XELA brings innovative solutions to industries including banking, healthcare, insurance, and the public sector. XELA’s software and services are industry-specific for banking, healthcare, and insurance.

Exela announced today that their Digital Mailroom (“DMR”) and DrySign solutions added an unprecedented number of new users during the second quarter of 2021.
- DMR and Drysign have both grown in the preceding 90 days, with DMR growing by 99% in the SMB customer base and Drysign growing by 144% in the user base.
- The rapid growth of XELA’s SMB solutions has been a contributing factor to all the positive feedback that it is receiving from its customers.
- Thousand of new users are joining XELA’s customer base each month and the company is building a marketplace.
- A new Exela Technologies product, DrySign in India, as well as DMR in the UK, were released during the second quarter as part of its plan to launch into new geographies.
- It is planned to launch DMR in France and Germany as the next large markets in the third quarter of this year.
- Exela Technologies continues to develop DAG offerings for SMBs and the international markets it serves.
How has Exela Technologies grown so rapidly?

A thriving business opportunity awaits Exela (XELA) with cross-selling, expansion, and new logos coming into fruition through multiple channels. Digital transformation is enabling XELA’s customers to enjoy many benefits as their customer base grows every month. Furthermore, Exela made use of its technology as it continued to roll out additional products for SMBs.
July 27, 2021
Exela Technologies, Inc. (XELA) Stock Continues Rising After Expansion of Product Offerings

Exela Technologies, Inc. (XELA) stock prices were up 4.48% shortly after the opening of market trading on July 12^th, 2021, bringing the price per share up to USD$3.04.

Expansion of Offerings

July 12^th, 2021 saw the company announce the expansion of its offering of AI-enabled automation in the BPA space. The company will do this via the combination of its Intelligent Document Processing with its robotic process automation platform. The automation solution will be a frontrunner of the industry and will be deployed in the healthcare and public sector, further consolidating XELA as an industry leader.

Intelligent Document Processing

Intelligence Document Processing will enable the automation of document classification, data extraction, and data, made possible by the routing into a cloud or on-premise hosted service portal. This portal can be accessed from anywhere at any time, facilitating the provision of a containerized, dynamically scaling solution.

Utility of IDP

The use of the IDP system allows the company to leverage its extensive and growing library of machine learning-based classifiers. These classifiers substantially enhance the automation of document processing in the healthcare and public sector. XELA has plans to increase the scope of its projects in the finance and legal sectors in the short term future. The solution includes a modernized data solution build on the delivery of rule-based, character-level data correction capabilities that serve to drastically reduce the keystrokes required to meet customer service level targets. The IDP manual entry solution allows the company to leverage manual entry operators that can work remotely from anywhere while preserving data security using a proprietary snippet routing engine.

Combination with EON

Furthermore, EON will facilitate the automation of simple or complex workflows to usher in efficiency and accuracy gains, while also freeing up human capital to be allocated towards other higher-value uses. The automation platform facilitates the automation of both attended and unattended automation deployments. The company continues to expand its portfolio of solutions to meet the changing requirements of its consumer base, with the latest IDP and EON combination embracing the evolution of work to an accessibility-oriented environment that customers and their employees having been embracing since the onset of the global pandemic.

Future Outlook of XELA

The company is poised to capitalize on the opportunities afforded to it in regard to the development of its offerings. With a focus on hasty commercialization and effective proliferation of its products, the company is keen to usher is substantial and sustained increases in shareholder value.

July 12, 2021
Why Did XELA Stock Plummeted Premarket?
XELA Technologies Inc. (XELA) shares fell -15.50% to $2.78 in premarket trading. Last trading session, Exela stock gained 22.76% to $3.29. There were 328.21 million shares traded, which far higher than the average daily trading volume of 32.59 million shares over the last 50 days. Over the past 5-day period, XELA stock has lost 40.60%, but over the past month, it has gained 110.90%.

This year, XELA shares have surged 146.00 percent since the start of the year. During the past three months, the stock price has risen 48.20%. XELA stock is plummeting even after reporting significant boost to cash and cash equivalents as the investors seem to be taking profits after the gain obtained in past session.

How has XELA improved its liquidity position?

With a global footprint and proprietary technology, Exela is one of the leading providers of business process automation (BPA) solutions that enhance quality, productivity, and end-user satisfaction. In addition to serving more than 4,000 clients throughout 50 countries, including more than 60% of the Fortune 100, XELA has decades of experience operating mission-critical processes. As a provider of end-to-end digital journey platforms, XELA releases integrated technology and operations in rapid sequence using cloud-based platforms and modules, with a worldwide workforce of more than 18,300 employees.

It was announced today that Exela’s recently announced $150 million at-the-market equity program raised $85 million of proceeds which significantly improved liquidity position.
- In accordance with a previously announced strategic initiative, XELA plans to use the proceeds of the equity program to reduce its debt and associated interest expenses as well as investigate ways to invest in its growth.
- Exela intends to reduce its debt service by $25 million annually as a first step.
- Retail investors and its shareholders at large have been the largest supporters of the XELA, while the company has been performing well recently.
- XELA will be able to fund its growth through greater liquidity, helping it to better leverage its technology-enabled business services model.
- Also, XELA will create significant value for equity holders by reducing its debt service by $25 million annually as it implements its strategic deleveraging.
- XELA had over $205 million in cash and cash equivalents as of June 30, 2021.
- As part of its credit facilities, XELA had additional borrowing capacity of $75 million available on case-by-case basis.
XELA’s plan going forward:

Exela (XELA) anticipates gaining access to this additional borrowing capacity in the near future, even though its $145 million A/R securitization contains $53 million available for borrowing. On its upcoming 2021 second quarter Financial Results Call, XELA will provide more information on additional steps under the strategic initiative.
July 8, 2021
What Is Leading The XELA Stock To Decline Premarket Session?
Exela Technologies Inc. (XELA) is in the red today in the premarket session, falling -1.26% to $2.36 at the last check. XELA stock rose 2.14% to $2.39 on Wednesday but was down -7.95% to trade at $2.20 in afterhour trades. XELA stock volume on the day was 436.52 million, up from 8.81 million on average in the last 3 months.

For XELA stock, the 50-day moving average is $1.65, and the 200-day moving average is $1.76. Additionally, the XELA stock is currently trading at 76.06 on the Relative Strength Index. Investors appeared to be taking profits after the XELA stock surged last session.

Why did XELA surge in regular session?

Exela Technologies is a business process automation (BPA) leader. XELA’s proprietary technology enables it to provide digital transformation solutions that are designed to increase quality, productivity, and end-user satisfaction. In addition to serving more than 4,000 customers throughout 50 countries, XELA has more than 60% of Fortune 100 companies as clients.

In a statement yesterday, Exela Technologies announced that it has completed its $100 million at-the-market equity plan, which was announced on May 27, 2021.

Additionally, XELA has established an equity investment program worth $150 million. XELA intends to use the net proceeds from the offering to repay debt, acquire or license additional product candidates, businesses, as well as raising working capital.

Exela, in a separate statement yesterday announced that the Digital Mailroom (DMR) platform is now available for small and midsize businesses (SMBs) in the UK to sign up online.
- More employees are choosing to work from home as the remote working trend gains wider acceptance in the operations of small businesses.
- XELA DMR will serve this rapidly growing customer base across Europe, beginning with the UK.
- Enterprise customers from across Europe have already access to the DMR platform through XELA.
- A virtual office address helps small and medium businesses and startups, as well as individuals in the UK get their mail as digitized documents accessible through the DMR portal, and businesses and professionals can now register for the XELA DMR.
- Users can choose from a variety of pricing plans and signup easily for XELA, which is a multi-industry solution.
- The DMR service offers add-on services like parcel delivery as well as several inbuilt features such as eSignatures, data redactions and storage in addition to digitized delivery of documents.
XELA’s disruptive approach to remote working:

Exela (XELA)’s DMR offers an essential and valuable service for seamless business processes that goes hand-in-hand with the work from home trend. XELA’s goal with DMR is to enable businesses of any size to easily sign up and begin using its solutions since the way people and businesses work has drastically changed.
July 1, 2021
Why Exela Technologies Inc. (XELA) stock rallied on Monday?
Exela Technologies Inc. (XELA) shares surged 21.09% in after-hours on Monday, June 28, 2021, and closed the day at $1.78 per share. Earlier in the morning session, XELA’s stock gained 5.76% to close Monday’s normal trading session at $1.47 per share. XELA shares have fallen 8.79% over the last 12 months, and they have moved up 8.89% in the past week. Over the past three months, the stock has lost 31.94%, while over the past six months, it has declined 10.68%.

Let’s have a look at its recent developments.

Exela received huge relief from the court

On June 25, 2021, Exela Technologies, Inc announced that U.S. District Judge Sydney A. Fitzwater has granted Exela’s motion to dismiss in its entirety the Texas federal securities class action suit filed March 2020.

Participation at the recent investor conference

Exela Technologies recently participated in the fireside chat hosted by Cantor Fitzgerald’s Josh Siegler that took place on June 11, 2021. The company was presented by Chief Financial Officer Shrikant Sortur and Head of Strategy Matt Brown.

Expansion of PCH Global Deployment

On June 08, 2021, Exela Technologies, Inc announced the extension and expansion of its partnership with one of the largest specialty care services insurance carriers in the country.

This engagement will expand Exela’s powerful cloud-based digital exchange platform for the insurance industry, PCH Global, to approximately 3,800 specialists as registered users within the customer organization using Exela’s proprietary workflow and rule engines across all aspects of the health claims spectrum including behavioural health.

Recent financial results announcement

On May 4, 2021, Exela Technologies announced its financial results for the first quarter of its financial year which ended on March 31, 2021.

Q1 2021 financial highlights
- Exela Technologies reported revenue of $300.1 million for Q1 2021 compared to $365.5 million for Q1 2020.
- The company had an operating income of $4.3 million in Q1 2021, compared with an operating loss of $2.2 million in Q1 2020.
- The company suffered a net loss of $39.2 million in Q1 2021, compared with a net loss of $12.7 million in Q1 2020.
- Adjusted EBITDA was $46.5 million in Q1 2021 compared to $44.4 million in Q1 2020.
The financial outlook for FY 2021

The company is expecting
- Revenues to be in the range of $1.25 billion to $1.39 billion
- Gross margin in the range of 23% to 25%
- Adjusted EBITDA in the range of 16% to 17%
- Capital expenditures in the range of 1% of revenue
Conclusion

Well, as of this writing there is no recent news from this week but recent court relief could be linked with its good performance on Monday. XELA stock can further surge in the coming days.
June 29, 2021
Exela Technologies, Inc. (XELA) shares rallied 127.27% in the current market after the new venture announcement

Exela Technologies, Inc. (XELA) today March 9, 2021, announced a $90 million project for the next 10 years which compromises blending automation technologies, SaaS, and services through its PCH Global platform. The XELA launched its PCH platform in September 2020. The new venture will boost the digital transformation process for the major US health insurance company and is a part of the strategic relationship which included over $28 million in revenue in 2020.

The above-mentioned project is new in the healthcare industry and for Exela too. Exela will deploy its digital platform PCH Global, on the sites and in the cloud to fulfil healthcare needs. The project involves the complete processing of complex health insurance claims and it will also provide the multi-channel correspondence between the insurance company and their provider and member networks. The new PCH Global platform will also power the integrated data fabric used for discovering patterns, health platform monitoring and also use analytical data for the launch of new services for Exela’s customers.

Exela planning is to move the existing and future healthcare customers to PCH Global’s cloud network so that customers and health insurance companies can get more scalability and business protection. Exela has a huge setup of data scientists with extreme data processing capabilities which are powered by neural networks.

Exela’s President, Suresh Yannamani said that the combination of our technology with global service delivery and industry expertise makes us a leader in enrollments, complex claims processing, appeals and grievance management and payment solutions. He further said that their PCH Global system is a complete payment integrity solution for the insurance industry and it is capable of handling everything from claims ingestion and validation, to correspondence, adjudication and payments

The stock price for Exela Technologies

In the pre-current session on Tuesday, March 9, Xela stock is going up and it is up by 127.27% as I am writing. Yesterday, on March 8, the stock price was also increased ant it closed at $1.65. the recent news took the stock price up in the pre-market session.

March 9, 2021