8-KAcquisitions & DispositionsOther EventsExhibits & Filings

EQUINIX INC 8-K Report, Acquisition Completed (Sep 14, 2007)

Filed September 14, 2007For Securities:EQIX

Summary

Equinix Inc. (EQIX) has announced the completion of its acquisition of IXEurope Plc, a significant move that expands Equinix's European data center footprint. The acquisition, valued at approximately £270.1 million (or $540.6 million) on a fully diluted basis, involved the purchase of all outstanding shares of IXEurope at 140 British pence per share. To finance this acquisition, Equinix concurrently launched a debt and common stock offering on September 14, 2007. The filing also includes updated financial guidance for Equinix for the quarter ending September 30, 2007, and for the full years ending December 31, 2007, and 2008, as well as a detailed Management's Discussion and Analysis (MD&A) of IXEurope's financial condition and results of operations. This acquisition represents a strategic expansion for Equinix into the European market.

Key Highlights

  • 1Equinix has successfully completed the acquisition of IXEurope Plc for approximately £270.1 million ($540.6 million).
  • 2The acquisition was implemented through a scheme of arrangement in the UK, making IXEurope a wholly-owned subsidiary of Equinix.
  • 3Equinix is financing the acquisition through a concurrent debt and common stock offering launched on the same day.
  • 4The report includes updated financial guidance for Equinix for the upcoming quarters and fiscal years.
  • 5Detailed financial information and operational analysis for IXEurope, prepared under IFRS, are provided.
  • 6IXEurope reported significant revenue growth, particularly in its colocation and power services, with over 85% of its revenues being recurring.
  • 7IXEurope has been expanding its data center capacity across Europe, with new sites and expansions in London, Paris, and Germany.

Frequently Asked Questions

The acquisition of IXEurope significantly expands Equinix's presence and capabilities in the European data center market, enhancing its global reach and service offerings in a key growth region.

Equinix is financing the acquisition through a combination of a debt offering and a common stock offering that were launched concurrently with the completion of the acquisition on September 14, 2007.

IXEurope demonstrated strong revenue growth, with a 69% increase in the first six months of 2007 compared to the same period in 2006, driven by colocation and power services. Over 85% of its revenues are recurring, based on long-term contracts, indicating a stable revenue base.

Under UK law, Equinix has 14 days from the completion date (September 14, 2007) to furnish the cash consideration to the IXEurope shareholders.