REDWOOD CITY, Calif.,
March 7, 2017 /PRNewswire/ --
Equinix, Inc. (Nasdaq: EQIX), the global interconnection and data
center company, today announced that it intends to commence
concurrent public offerings, subject to market and other
conditions, of $1.75 billion of its
common stock (the "Equity Offering") and $1.125 billion in aggregate principal amount of
its senior notes due 2027 (the "Notes Offering"). In
addition, Equinix intends to grant the underwriters of the Equity
Offering a 30-day option to purchase up to an additional
$262.5 million of its common stock.
The Equity Offering and the Notes Offering are separate
public offerings made by means of separate prospectus supplements
under Equinix's effective shelf registration statement and are not
contingent on each other or upon the completion of the Acquisition
discussed below. All of the shares of the common stock and
notes to be sold in the offerings will be offered by Equinix.
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. The interest rate, offering price and
other terms of the notes will be determined by Equinix and the
underwriters of the Notes Offerings.
Equinix intends to use the net proceeds of the Equity Offering
and the Notes Offering and existing term loan B borrowings of
approximately $1.053 billion to
finance the previously announced proposed acquisition of the
colocation services business of Verizon Communications Inc. at 24
data center sites in the United
States, Brazil and
Colombia (the "Acquisition") and
related transaction fees and expenses and for general corporate
purposes. However, if for any reason the Acquisition is not
completed, then Equinix intends to use all of the net proceeds from
the Equity Offering for general corporate purposes. In
addition, if for any reason the Acquisition is not completed on or
prior to December 6, 2017, or if,
prior to such date, the transaction agreement relating to the
Acquisition is terminated, then in either case Equinix will be
required to redeem the notes at par.
J.P. Morgan, BofA Merrill Lynch, Goldman, Sachs & Co., RBC
Capital Markets, Barclays and Citigroup are acting as joint
book-running managers and ING, MUFG, TD Securities, HSBC, BTIG and
Evercore ISI are acting as co-managers for the Equity Offering.
J.P. Morgan, BofA Merrill Lynch, RBC Capital Markets, Barclays,
Goldman, Sachs & Co., MUFG and TD Securities are acting as
joint book-running managers and ING, HSBC and US Bancorp are acting
as co-managers for the Notes Offering.
Equinix has filed a registration statement (including a
preliminary prospectus supplement for each offering and
accompanying prospectus) with the Securities and Exchange
Commission (the "SEC") for the Equity Offering and the Notes
Offering to which this communication relates. Each offering
may be made only by means of a prospectus supplement relating to
such offering and the accompanying prospectus. Before you
invest, you should read the registration statement (including the
preliminary prospectus supplement for each offering and
accompanying prospectus) for more complete information about
Equinix, the Equity Offering and the Notes Offering. You may
get a preliminary prospectus supplement for either offering and
accompanying prospectus for free by visiting EDGAR on the SEC
website at www.sec.gov. Alternatively, copies of the
preliminary prospectus supplement and accompanying prospectus
relating to the Equity Offering may be obtained from J.P. Morgan
Securities LLC, c/o Broadridge Financial Solutions, 1155 Long
Island Avenue, Edgewood, NY 11717,
Attention Prospectus Department, or by calling 1-866-803-9204, or
BofA Merrill Lynch, NC1-004-03-43, 200 North College Street, 3rd
floor, Charlotte, NC 28255-0001,
Attention: Prospectus Department, or e-mail
dg.prospectus_requests@baml.com, or Goldman, Sachs & Co.,
Prospectus Department, 200 West Street, New York, NY 10282, telephone: 1-866-471-2526,
facsimile: 212-902-9316 or by emailing
prospectus-ny@ny.email.gs.com.
Copies of the preliminary prospectus supplement and accompanying
prospectus relating to the Notes Offering may be obtained from J.P.
Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155
Long Island Avenue, Edgewood, NY
11717, Attention Prospectus Department, or by calling
1-866-803-9204, or BofA Merrill Lynch, NC1-004-03-43, 200 North
College Street, 3rd floor, Charlotte,
NC 28255-0001, Attention: Prospectus Department, or
e-mail dg.prospectus_requests@baml.com.
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 jurisdiction in which such
offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of any such
jurisdiction.
About Equinix
Equinix, Inc. (Nasdaq: EQIX) connects the world's leading
businesses to their customers, employees and partners inside the
most interconnected data centers. In 41 markets across five
continents, Equinix is where companies come together to realize new
opportunities and accelerate their business, IT and cloud
strategies.
Forward Looking Statements
This press release contains forward-looking statements that are
based on Equinix management's current expectations. Such
statements include plans, projections and estimates regarding the
Equity Offering, the Notes Offering, the Acquisition, and the
receipt and use of the proceeds from the Equity Offering and the
Notes Offering. Such forward-looking statements are subject
to certain risks, uncertainties and assumptions, including investor
demand, market conditions, customary closing conditions and other
factors. In particular, there can be no assurance that
Equinix will complete the Equity Offering, the Notes Offering or
the Acquisition. Should one or more of these risks or uncertainties
materialize, or should underlying assumptions prove incorrect,
actual results may vary materially from those expected. More
information about potential risk factors that could affect Equinix
and its results is included in Equinix's filings with the SEC.
Equinix does not assume any obligation to update the
forward-looking information contained in this press
release.
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SOURCE Equinix, Inc.