8-KRegulation FDOther EventsExhibits & Filings

DIGITAL REALTY TRUST, INC. 8-K Report, Regulation FD Disclosure (Jan 8, 2020)

Filed January 8, 2020For Securities:DLRDLR-PJDLR-PKDLR-PL

Summary

Digital Realty Trust, Inc. (DLR) announced on January 8, 2020, through a Form 8-K filing, the commencement of an offering of three series of Euro-denominated senior unsecured notes by its wholly owned indirect finance subsidiary, Digital Dutch Finco B.V. These notes will mature in 2022, 2025, and 2030 and will be fully guaranteed by Digital Realty Trust, Inc. and its operating partnership. This offering is being conducted outside the United States in reliance on Regulation S and is subject to market conditions. The company intends to use the net proceeds from the 2025 and 2030 notes specifically to finance or refinance eligible green building, energy efficiency, and renewable energy projects. Pending this allocation, proceeds may be used for debt repayment related to the InterXion combination. The proceeds from the 2022 notes and, temporarily, from the other notes will be used for general corporate purposes, including repaying credit facilities, acquisitions, development funding, and investments consistent with REIT qualification.

Key Highlights

  • 1Digital Realty is offering three series of Euro-denominated senior unsecured notes with maturities in 2022, 2025, and 2030.
  • 2The notes are issued by a finance subsidiary, Digital Dutch Finco B.V., and are fully guaranteed by Digital Realty Trust, Inc. and the operating partnership.
  • 3The offering is conducted outside the U.S. under Regulation S and is subject to market conditions.
  • 4Proceeds from the 2025 and 2030 notes are earmarked for financing or refinancing 'Eligible Green Projects'.
  • 5Initial use of proceeds for the 2025 and 2030 notes may include debt repayment related to the InterXion acquisition.
  • 6Proceeds from the 2022 notes and pending proceeds from the other notes will be used for general corporate purposes, debt repayment, acquisitions, and development.
  • 7The company included a cautionary statement highlighting forward-looking risks and uncertainties related to the offering and the InterXion combination.

Frequently Asked Questions

This Form 8-K filing serves to disclose the commencement of an offering of Euro-denominated notes by Digital Realty's subsidiary and to provide details on the intended use of the proceeds, including a significant focus on green projects.

The net proceeds from the 2025 and 2030 notes are intended for financing or refinancing eligible green projects. Proceeds from the 2022 notes, and potentially temporarily from the 2025 and 2030 notes, may be used for repaying borrowings, acquisitions, development, investments, and general corporate purposes. A portion of the proceeds from the 2025 and 2030 notes may also be used for debt related to the InterXion combination.

No, the Euro Notes are being offered only outside the United States in reliance on Regulation S under the Securities Act. They have not been registered under the Securities Act and may not be offered or sold within the United States or to U.S. persons without registration or an applicable exemption.

The designation indicates that a portion of the proceeds from the 2025 and 2030 notes will be allocated to investments in sustainable and environmentally responsible projects, such as green building, energy efficiency, and renewable energy initiatives, aligning with growing investor interest in ESG (Environmental, Social, and Governance) factors.