01—Abstract
Summary
Summary of the 8-K filed October 6, 2026. Cited figures are marked; the original filing is the authoritative source.
Digital Realty Trust (DLR), through its finance subsidiary Digital Constellation B.V., closed a CHF510 million (about US$ equivalent not stated in the filing) issuance of three Swiss franc-denominated senior unsecured guaranteed notes on October 6, 2026.
The tranches are CHF225 million of 1.6803%a notes due 2029, CHF185 million of 2.0600% notes due 2032, and CHF100 million of 2.4150% notes due 2036. Net proceeds were approximately CHF508.39 million after managers' commissions and offering expenses. The notes are fully guaranteed by Digital Realty Trust, Inc., the operating partnership, and Digital Intrepid Holding B.V., the holding entity through which the Interxion business is held.
For investors, the deal diversifies funding into the Swiss franc market at relatively low coupons, extending the debt maturity profile to 2029-2036. The press release describes the proceeds as intended to fund projects consistent with the company's Green Bond Framework, while the 8-K allows broader general corporate uses, including temporarily repaying revolving credit facility borrowings. The notes carry customary covenants, including limits on additional indebtedness and a requirement to maintain a pool of unencumbered assets, along with cross-default and cross-acceleration provisions with a $125 millionb threshold.
The filing does not disclose the USD equivalent of the offering, the all-in cost after hedging, or the effect on leverage. Investors should note that the notes were sold only outside the United States under Regulation S and are not registered under the Securities Act. Because the notes are denominated in francs, currency exposure should be evaluated against the company's reporting currency and any hedging arrangements.
02—Key points
Key Highlights
- Issued CHF510 million total across three Swiss franc notes: CHF225M due 2029 (1.6803%), CHF185M due 2032 (2.0600%), and CHF100M due 2036 (2.4150%), all closed October 6, 2026
- Net proceeds of approximately CHF508.39 million after managers' commissions and offering expenses
- Notes are senior unsecured obligations of Digital Constellation B.V., fully and unconditionally guaranteed by Digital Realty Trust, Inc., the operating partnership, and Digital Intrepid Holding B.V.
- Proceeds may fund green projects under the Green Bond Framework and may also temporarily repay revolver borrowings, fund acquisitions and development, or support general corporate purposes
- Covenants include limits on additional indebtedness and a requirement to maintain an unencumbered asset pool
- Cross-default and cross-acceleration triggers apply to other indebtedness above $125 million, and the issuer has tax gross-up and redemption rights
- Notes sold under Regulation S only and not registered under the Securities Act, so they cannot be offered or sold in the U.S. absent an exemption
03—Questions
Frequently Asked Questions
How much debt did Digital Realty raise and on what terms?
Digital Realty raised CHF510 million across three Swiss franc tranches: CHF225 million at 1.6803% maturing in 2029, CHF185 million at 2.0600% maturing in 2032, and CHF100 million at 2.4150% maturing in 2036. Interest is paid annually in arrears, and the notes were issued at 100% of principal. The filing does not state the U.S. dollar equivalent.
What will the company do with the proceeds?
The press release says the company intends to allocate an amount equal to the net proceeds to finance or refinance projects consistent with its Green Bond Framework, including development and redevelopment. Pending that allocation, proceeds may temporarily repay revolving credit facility borrowings, fund acquisitions and development, or support general corporate purposes, including repaying or repurchasing other debt or equity.
Who guarantees the notes, and how do they rank?
The notes are senior unsecured obligations of Digital Constellation B.V. and rank equally with its other senior unsecured, unsubordinated debt. They are fully and unconditionally guaranteed by Digital Realty Trust, Inc., Digital Realty Trust, L.P. (the operating partnership), and Digital Intrepid Holding B.V., the entity holding the Interxion business.
Can the company redeem the notes early?
The notes generally cannot be redeemed at the issuer's option before the call dates. From three months before maturity (July 8, 2029 for the 2029 notes, July 6, 2032 for the 2032 notes, and July 6, 2036 for the 2036 notes), the issuer may redeem at par plus accrued interest. The issuer may also redeem in whole at par plus accrued interest if 75% or more of a series has been redeemed or cancelled, or if certain tax changes require additional amounts to be paid.
What are the main risks and restrictions for bondholders?
The notes include covenants limiting additional indebtedness and requiring an unencumbered asset pool. Events of default include non-payment of interest for 30 days, non-payment of principal, uncured covenant breaches, cross-payment default or acceleration on other debt above $125 million (excluding non-recourse debt), and bankruptcy or insolvency events. Investors should also consider Swiss franc currency exposure, since the notes are not U.S.-dollar denominated.
04—Continue