Increases available liquidity to fund ongoing organic growth and
development pipeline
DENVER -- (Business Wire)
CoreSite Realty Corporation (NYSE:COR), a premier provider of secure,
reliable, high-performance data
center and interconnection
solutions across the U.S., today announced that it has closed on an
amended and expanded credit facility with total borrowing capacity of
$1.05 billion, including all arrangements with its syndicate of banks.
The amendment and expansion increases the revolving credit facility by
an incremental $100 million of borrowing capacity, to $450 million and
extends the primary term of the facility to April 2022, with a one-year
extension option.
In addition, CoreSite entered into a new five-year, $150 million term
loan under the amended credit facility. The new $150 term loan matures
in April 2023, and bears interest at a variable rate of LIBOR plus 140
basis points. CoreSite elected to swap the variable interest rate
associated with $75 million of the term loan to a fixed rate of
approximately 4.11%. As of March 31, 2018, pro forma for the financing
and related swap, CoreSite’s ratio of fixed versus variable rate debt
would be 47% fixed versus 53% variable, in line with CoreSite’s stated
goal of maintaining a balance between fixed and variable-priced
instruments in its capital structure.
The proceeds of this term loan are expected to be used to pay down a
portion of the current revolving credit facility balance, to fund
continued development across CoreSite’s portfolio, and for general
corporate purposes.
KeyBank National Association served as administrative agent, and KeyBanc
Capital Markets, RBC Capital Markets LLC, Regions Capital Markets, TD
Securities (USA) LLC, and Wells Fargo Securities, LLC all served as
joint lead arrangers and joint book managers.
“We are pleased to increase our liquidity by $250 million, which
supports the continued growth of our company by enabling us to finance
existing and future development projects,” said Jeff Finnin, CoreSite’s
Chief Financial Officer. “We appreciate the support of our banking
relationships to provide us with the financial flexibility to continue
to profitably grow and meet our customer needs.”
About CoreSite
CoreSite Realty Corporation (NYSE:COR) delivers secure, reliable,
high-performance data center and interconnection solutions to a growing
customer ecosystem across eight key North American markets. More than
1,200 of the world’s leading enterprises, network operators, cloud
providers, and supporting service providers choose CoreSite to connect,
protect and optimize their performance-sensitive data, applications and
computing workloads. Our scalable, flexible solutions and 450+ dedicated
employees consistently deliver unmatched data center options — all of
which leads to a best-in-class customer experience and lasting
relationships. For more information, visit www.CoreSite.com.
Forward Looking Statements
This press release may contain forward-looking statements within the
meaning of the federal securities laws. Forward-looking statements
relate to expectations, beliefs, projections, future plans and
strategies, anticipated events or trends and similar expressions
concerning matters that are not historical facts. In some cases, you can
identify forward-looking statements by the use of forward-looking
terminology such as "believes," "expects," "may," "will," "should,"
"seeks," "approximately," "intends," "plans," "pro forma," "estimates"
or "anticipates" or the negative of these words and phrases or similar
words or phrases that are predictions of or indicate future events or
trends and that do not relate solely to historical matters.
Forward-looking statements involve known and unknown risks,
uncertainties, assumptions and contingencies, many of which are beyond
CoreSite's control that may cause actual results to differ significantly
from those expressed in any forward-looking statement. These risks
include, without limitation: any adverse developments in local economic
conditions or the demand for data center space in these markets;
operational difficulties, including difficulties relating to information
systems, internal processes and information security; significant
industry competition; financial market fluctuations; and other factors
affecting the real estate industry generally. All forward-looking
statements reflect CoreSite's good faith beliefs, assumptions and
expectations, but they are not guarantees of future performance.
Furthermore, CoreSite disclaims any obligation to publicly update or
revise any forward-looking statement to reflect changes in underlying
assumptions or factors, of new information, data or methods, future
events or other changes. For a further discussion of these and other
factors that could cause CoreSite's future results to differ materially
from any forward-looking statements, see the section entitled "Risk
Factors" in CoreSite's most recent annual report on Form 10-K, and other
risks described in documents subsequently filed by CoreSite from time to
time with the Securities and Exchange Commission.
View source version on businesswire.com: https://www.businesswire.com/news/home/20180420005098/en/
Contacts:
CoreSite
Greer Aviv, 303-405-1012
Vice President of
Investor Relations and Corporate Communications
Greer.Aviv@CoreSite.com
Source: CoreSite Realty Corporation
© 2024 Canjex Publishing Ltd. All rights reserved.