Equinix Prices $2.6 Billion in Bonds, Including $1.0 Billion in Green Bonds to Advance Sustainability Initiatives

REDWOOD CITY, Calif., May 4, 2021 /PRNewswire/ -- Equinix, Inc. (Nasdaq: EQIX), the world's digital infrastructure company, today announced that it priced $2.6 billion principal amount of notes, including $1.0 billion of green bonds in its third green bond offering. The green bonds will be used to help advance the company's longstanding commitment to sustainability leadership and reducing its environmental impact. The offering is expected to close on May 17, 2021, subject to the satisfaction of customary closing conditions.

The $700 million 1.450% Senior Notes due 2026, $400 million 2.000% Senior Notes due 2028, $1.0 billion 2.500% Senior Notes due 2031, and $500 million 3.400% Senior Notes due 2052, have a weighted average coupon of 2.313%. A portion of the proceeds will be used to refinance our 5.375% Senior Notes due 2027 and a portion of our Term Loan Facility, which we expect to result in approximately $38 million of annual interest savings. This will further improve Equinix's weighted average cost of debt of 2.06% and extend its weighted average debt maturity of 8.2 years, as reported for the period ending March 31, 2021.

Equinix intends to allocate an amount equal to the net proceeds from the green bonds to finance or refinance, in whole or in part, recently completed or future Eligible Green Projects, with disbursements covering project expenditures for up to two years preceding the issuance date of the green bonds and until and including the maturity date of the green bonds, including the development and redevelopment of such projects.

Pending the allocation of an amount equal to the net proceeds from the offering of the green bonds to Eligible Green Projects, we expect to temporarily use the net proceeds from the offering of the green bonds for the repayment of a portion of our Term Loan Facility and the redemption our 5.375% Senior Notes due 2027, including the payment of the premium and accrued and unpaid interest to the redemption date.

For the offering of the notes, BofA Securities, Inc., Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC, MUFG Securities Americas Inc. and SMBC Nikko Securities America, Inc. served as joint bookrunning managers.

Highlights/Key Facts

• Equinix has developed a Green Finance Framework based on the Green Bond Principles and Green Loan Principles, a set of guidelines that promote transparency and integrity in, and advance the standardization of, green debt disclosures. As outlined in Equinix's Green Finance Framework, an amount equal to the net proceeds of the green bonds will be allocated to finance or refinance, in whole or in part, recently completed or future Eligible Green Projects in categories such as green buildings, renewable energy, energy efficiency, sustainable water and wastewater management, waste management and clean transportation that are expected to deliver benefits to Equinix and its shareholders. The Framework will increase Equinix's focus on protecting the environment and addressing global climate change through greenhouse gas emissions reductions, increasing resource efficiency and driving corporate transparency and accountability. 
• Equinix recently received an A- score for its CDP Climate Change Survey, a leading environmental rating system focused on climate-related transparency and action, recognizing the company's contribution to helping advance the development of the nation's green power market, and its commitment to reach 100% clean and renewable energy across its portfolio. 
• Equinix continues to advance its green initiatives through its recent support of the new Climate Neutral Data Centre Operator Pact and Self-Regulatory Initiative. The Pact marks the first time the data center industry has come together to solidify its commitment to ensure that European data centers are carbon neutral by 2030.

Quote

• Keith Taylor, Chief Financial Officer, Equinix
  "With our third green bond issuance today, we continue to strengthen our longstanding environmental commitments, both aligning our sustainability strategy with our financing needs and bolstering our sustainability initiatives."

This press release shall not constitute an offer to sell or a solicitation of an offer to purchase the bonds or any other securities and shall not constitute an offer, solicitation or sale in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful. In addition, this press release is not an offer to purchase or a notice of redemption with regard to any outstanding notes or any other securities.

About Equinix

Equinix (Nasdaq: EQIX) is the world's digital infrastructure company, enabling digital leaders to harness a trusted platform to bring together and interconnect the foundational infrastructure that powers their success. Equinix enables today's businesses to access all the right places, partners and possibilities they need to accelerate advantage. With Equinix, they can scale with agility, speed the launch of digital services, deliver world-class experiences and multiply their value.

Forward-Looking Statements

This press release contains forward-looking statements that are based on Equinix's current expectations, including statements regarding the offering of the bonds, interest savings from the offering of the bonds, its sustainability objectives, the receipt and use of the net proceeds from the offering of the bonds and the consummation of any redemptions of outstanding notes or repayment of the Term Loan Facility. Such forward-looking statements are subject to certain risks, uncertainties and assumptions, including market conditions, customary closing conditions and other factors. In particular, there can be no assurance that Equinix will complete the offering of the bonds. 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.