February 26, 2010
Equinix Announces the Pricing of its $750 Million Public Offering of Senior Unsecured Notes Due 2018
Foster City, CA., February 26, 2010 - Equinix, Inc. (NASDAQ: EQIX), a provider of global data center services, today announced that it has entered into an underwriting agreement to sell $750 million aggregate principal amount of its 8.125% senior unsecured notes due 2018.
The notes will be Equinix's general senior obligations and will rank equal in right of payment to all of its existing and future senior indebtedness and interest will be payable semi-annually at a rate of 8.125% per year. The notes will mature on March 1, 2018 and are redeemable by Equinix prior to maturity at a premium under certain circumstances.
The net proceeds to Equinix from this offering will be approximately $736,275,000 million after deducting underwriting discounts and estimated offering expenses. Equinix intends to use the net proceeds from this offering for general corporate purposes, which may include expansion capital expenditures and the repayment of indebtedness, including indebtedness that it expects to assume in connection with its planned acquisition of Switch & Data Facilities Company, Inc. (Switch and Data).
Citigroup Global Markets Inc. and J.P. Morgan Securities Inc. are acting as joint book-running managers and BofA Merrill Lynch, Barclays Capital Inc., Goldman, Sachs & Co., ING Financial Markets LLC and RBS Securities Inc. are acting as co-managers for the offering.
Equinix has filed a registration statement (including a prospectus) with the U.S. Securities and Exchange Commission (SEC) for the offering to which this communication relates. Before you invest, you should read the registration statement and accompanying prospectus for more complete information about Equinix and this offering. You may get the prospectus for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, copies may be obtained from Citigroup Global Markets Inc. at the following address: Brooklyn Army Terminal, 140 58th Street, 8th Floor, Brooklyn, New York 11220 or by calling toll-free at: 800-831-9146 or from J.P. Morgan Securities Inc. at the following address: 4 Chase Metrotech Center, CS Level, Brooklyn, New York 11245 Attention: Chase Distribution & Support Service Northeast Statement Processing or by calling toll-free at: 866-430-0686.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of these securities, in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.
About Equinix, Inc.
Equinix, Inc. provides global data center services that ensure the vitality of the information-driven world. Global enterprises, content and financial companies, and network service providers rely upon Equinix's insight and expertise to protect and connect their most valued information assets. Equinix operates 49 International Business Exchange™ (IBX®) data centers across 18 markets in North America, Europe and Asia-Pacific.
Equinix and IBX are registered trademarks of Equinix, Inc. International Business Exchange is a trademark of Equinix, Inc.
Forward Looking Statements
This press release contains statements relating to the proposed offering of notes and the acquisition of Switch and Data that are forward-looking statements pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties that could cause actual results to differ materially, including, but not limited to, whether or not Equinix will offer the notes or consummate the offering, the final terms of the offering, prevailing market conditions, the anticipated principal amount of the notes, which could differ based upon market conditions, the anticipated use of the proceeds of the offering, which could change as a result of market conditions or for other reasons, unanticipated costs or difficulties relating to the integration of Switch and Data into Equinix and the satisfaction or waiver of closing conditions related to the Switch and Data acquisition, including the clearance of the transaction by the Department of Justice under the Hart-Scott-Rodino Antitrust Improvement Act, as amended.
Investors in Equinix are cautioned not to place undue reliance on its forward-looking statements, which speak only as of the date such statements are made. Equinix does not undertake any obligation to publicly update any forward-looking statements to reflect events, circumstances or new information after this press release, or to reflect the occurrence of unanticipated events.