New Issue: Digital Realty sells $550 million 5.55% long five-year notes at Treasuries plus 165 bps

By Wendy Van Sickle

Columbus, Ohio, Sept. 22 – Digital Realty Trust LP sold $550 million of 5.55% notes due Jan. 15, 2028 (Baa2/BBB/BBB) at 99.918 to yield 5.57%, or a spread of 165 basis points over Treasuries, on Thursday, according to an FWP filing with the Securities and Exchange Commission.

Bookrunners were BofA Securities, Inc., SMBC Nikko Securities America, Inc., Citigroup Global Markets Inc., J.P. Morgan Securities LLC, Mizuho Securities USA LLC, MUFG, PNC Capital Markets LLC, Scotia Capital (USA) Inc., TD Securities (USA) LLC and U.S. Bancorp Investments, Inc.

The notes are guaranteed by Digital Realty Trust, Inc.

The company intends to use proceeds from the notes offering to temporarily repay borrowings outstanding under its global revolving credit facilities; to acquire additional properties or businesses; to fund development opportunities; to invest in interest-bearing accounts and short-term, interest-bearing securities which are consistent with Digital Realty Trust, Inc.’s intention to qualify as a REIT for U.S. federal income tax purposes; and to provide for working capital and other general corporate purposes, including potentially for the repayment of other debt, or the redemption, repurchase, repayment or retirement of outstanding equity or debt securities.

The San Francisco-based company owns, acquires, develops and operates data centers.

Issuer:	Digital Realty Trust LP
Guarantor:	Digital Realty Trust, Inc.
Amount:	$550 million
Issue:	Notes
Maturity:	Jan. 15, 2028
Bookrunners:	BofA Securities, Inc., SMBC Nikko Securities America, Inc., Citigroup Global Markets Inc., J.P. Morgan Securities LLC, Mizuho Securities USA LLC, MUFG, PNC Capital Markets LLC, Scotia Capital (USA) Inc., TD Securities (USA) LLC and U.S. Bancorp Investments, Inc.
Co-managers:	Barclays, BNP Paribas Securities Corp., Credit Suisse Securities (USA) LLC, Morgan Stanley & Co. LLC, RBC Capital Markets, LLC, Truist Securities, Inc., Wells Fargo Securities, LLC, Academy Securities, Inc., Huntington Securities, Inc., ING Financial Markets LLC, Loop Capital Markets LLC and Raymond James & Associates, Inc.
Trustee:	Computershare Trust Co., NA
Counsel to issuer:	Latham & Watkins LLP, with Venable LLP advising on Maryland law
Counsel to underwriters:	Goodwin Procter LLP
Coupon:	5.55%
Price:	99.918
Yield:	5.57%
Spread:	Treasuries plus 165 bps
Call features:	Make-whole call at Treasuries plus 25 bps before Dec. 15, 2027; thereafter at par
Trade date:	Sept. 22
Settlement date:	Sept. 27
Ratings:	Moody’s: Baa2
	S&P: BBB
	Fitch: BBB
Distribution:	SEC registered
Cusip:	25389JAV8

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