Published on 6/10/2019 in the Prospect News Investment Grade Daily.
New Issue: Digital Realty prices $900 million 3.6% 10-year notes at 148 bps spread
By Cristal Cody
Tupelo, Miss., June 10 – Digital Realty Trust LP (Baa2/BBB/BBB) sold $900 million of 3.6% 10-year notes (Baa2/BBB/BBB) at 99.823 to yield 3.621%, or a spread of Treasuries plus 148 basis points, on Monday, according to an FWP filing with the Securities and Exchange Commission.
Bookrunners were J.P. Morgan Securities, Mizuho Securities USA LLC, MUFG, Barclays, BMO Capital Markets Corp., Credit Suisse Securities (USA) LLC, Jefferies LLC, RBC Capital Markets, LLC, Scotia Capital (USA) Inc., SMBC Nikko Securities America, Inc., SunTrust Robinson Humphrey, Inc., TD Securities (USA) LLC and U.S. Bancorp Investments Inc.
The notes are guaranteed by Digital Realty Trust, Inc.
Proceeds will be used for the company’s planned cash tender offer to purchase any and all of its $500 million 3.4% notes due 2020 and its $400 million of 5.25% notes due 2021.
The San Francisco-based company owns, acquires, develops and operates data centers.
| Issuer: | Digital Realty Trust LP
|
| Guarantor: | Digital Realty Trust, Inc.
|
| Amount: | $900 million
|
| Description: | Notes
|
| Maturity: | July 1, 2029
|
| Bookrunners: | J.P. Morgan Securities, Mizuho Securities USA LLC, MUFG, Barclays, BMO Capital Markets Corp., Credit Suisse Securities (USA) LLC, Jefferies LLC, RBC Capital Markets, LLC, Scotia Capital (USA) Inc., SMBC Nikko Securities America, Inc., SunTrust Robinson Humphrey, Inc., TD Securities (USA) LLC and U.S. Bancorp Investments Inc.
|
| Co-managers: | BBVA Securities Inc., BB&T Capital Markets, Capital One Securities, Inc., KeyBanc Capital Markets Inc., Lloyds Securities Inc. and Raymond James & Associates, Inc.
|
| Coupon: | 3.6%
|
| Price: | 99.823
|
| Yield: | 3.621%
|
| Spread: | Treasuries plus 148 bps
|
| Call features: | Make-whole call at Treasuries plus 25 bps before April 1, 2029; thereafter at par
|
| Trade date: | June 10
|
| Settlement date: | June 14
|
| Ratings: | Moody’s: Baa2
|
| S&P: BBB
|
| Fitch: BBB
|
| Distribution: | SEC registered
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
