REDWOOD CITY, California, May 4, 2021 / PRNewswire / – Equinix, Inc. (Nasdaq: EQIX), the global digital infrastructure company, announced today its pricing $ 2.6 billion principal amount of tickets, including $ 1.0 billion green bond offering in its third green bond offering. Green bonds will be used to help advance the company’s long-standing commitment to sustainability leadership and reduce its environmental impact. The offer is expected to close on May 17, 2021, subject to the satisfaction of the usual closing conditions.
the $ 700 million Senior 1.450% notes due 2026, $ 400 million 2,000% senior notes maturing in 2028, $ 1.0 billion The 2,500% Senior Notes due 2031 and the $ 500 million 3.400% Senior Notes due 2052 have a weighted average coupon of 2.313%. A portion of the proceeds will be used to refinance our 5.375% senior notes due 2027 and a portion of our term loan facility, which we expect will result in approximately $ 38 million annual savings in interest. This will further improve Equinix’s weighted average cost of debt by 2.06% and extend its weighted average debt maturity by 8.2 years, as shown for the period ending. March 31, 2021.
Equinix intends to allocate an amount equal to the net proceeds of the Green Bonds to finance or refinance, in whole or in part, recently completed qualifying green or green bond projects and up to and including the maturity date. green bonds, including the development and redevelopment of such projects.
Pending the allocation of an amount equal to the net proceeds of the green bond offering to qualifying green projects, we plan to temporarily use the net proceeds of the green bond offering for the redemption of a portion of our term loan facility and the redemption of our 5.375% senior notes due 2027, including payment of premium and accrued and unpaid interest up to the repayment date.
For the offering of the Notes, BofA Securities, Inc., Goldman Sachs & Co. LLC, JP Morgan Securities LLC, MUFG Securities Americas Inc. and SMBC Nikko Securities America, Inc. acted as joint bookkeeping managers. .
Highlights / Key Facts
- Equinix has developed a Green Financing Framework based on the Principles of Green Bonds and Principles of Green Lending, a set of guidelines that promote transparency and integrity and advance the standardization of green debt disclosures. As stated in the Equinix Green Funding Framework, an amount equal to the net proceeds of the Green Bonds will be allocated to finance or refinance, in whole or in part, of recently completed or future eligible green projects in categories such as buildings. greens, renewable energies, energy efficiency, sustainable water and wastewater management, waste management and clean transportation which should bring benefits to Equinix and its shareholders. The framework will strengthen Equinix’s focus on protecting the environment and combating global climate change by reducing greenhouse gas emissions, increasing resource efficiency and promoting transparency. and corporate responsibility.
- Equinix recently received an A- rating for its CDP Climate Change Survey, a leading environmental rating system focused on climate transparency and action, recognizing the company’s contribution to advancing development of the national green energy market and its commitment to achieve 100% clean and renewable energy across its entire portfolio.
- Equinix continues to advance its green initiatives through its recent support for the New Compact for Climate Neutral Data Center Operators and the Self-Regulatory Initiative. The Pact marks the first time that the data center industry has come together to solidify its commitment to ensure that Europe’s data centers are carbon neutral by 2030.
- Keith taylor, Chief Financial Officer, Equinix
“With our third green bond issue today, we continue to strengthen our long-standing environmental commitments, aligning our sustainability strategy with our financing needs and strengthening our sustainability initiatives.”
This press release does not constitute an offer to sell or a solicitation of an offer to buy the Bonds or any other security and does not constitute an offer, solicitation or sale in any state or jurisdiction in which such offer, solicitation or sale would be illegal. In addition, this press release does not constitute an offer to buy or a notice to buy back any outstanding note or any other security.
Equinix (Nasdaq: EQIX) is the global digital infrastructure company, enabling digital leaders to leverage a trusted platform to bring together and interconnect the foundational infrastructure that powers their success. Equinix gives today’s businesses access to all the right places, partners and possibilities they need to accelerate their advantage. With Equinix, they can scale with agility, accelerate the launch of digital services, deliver world-class experiences and multiply their value.
This press release contains forward-looking statements based on Equinix’s current expectations, including statements regarding the offering of the Bonds, the savings of interest resulting from the offering of the Bonds, its sustainability objectives, receipt and l ‘Use of the net proceeds of the bond offering and the consumption of any redemptions of outstanding notes or repayment of the term loan facility. These forward-looking statements are subject to certain risks, uncertainties and assumptions, including market conditions, customary closing conditions and other factors. In particular, there can be no assurance that Equinix will complete the Offering of the Bonds. If one or more of these risks or uncertainties materialize, or if the underlying assumptions turn out to be incorrect, actual results may differ materially from those expected. Further information on potential risk factors that may affect Equinix and its results are included in the filings by Equinix with the SEC. Equinix assumes no obligation to update any forward-looking information contained in this press release.
SOURCE Equinix, Inc.