Equinix Secures $750 Million in Credit to Enhance Liquidity

Equinix, Inc. announced this week via a regulatory filing that it has secured $750 million in funding through a credit agreement, which the will use to enhance its overall liquidity.
According to the filing through the (SEC) on the 15th of April 2020, Equinix has borrowed $750 million. From this amount, $500 million is available as of Wednesday and the remaining $250 million is available to be borrowed in up to three separate borrowings on or before the 14th of July 2020. Equinix has until the 14th of April 2021 to repay the borrowings, the statement said.

The document filed on Wednesday states that MUFG Bank, Ltd. is the administrative agent, and MUFG Union Bank, N.A., Sumitomo Mitsui Banking Corporation, TD Securities (USA) LLC and Mizuho Bank, Ltd., are the joint lead arrangers.
“The Facilities are common forms of short-term pro rata bank debt which enhance Equinix’s overall liquidity and increase its financial flexibility,” the regulatory filing seen by Finance Magnates explained.
“Equinix intends to use the net proceeds from the Facilities for working capital, capital expenditures, acquisitions and other general corporate purposes. On the Closing Date, Equinix borrowed $391,000,000 and €100,000,000 in two separate borrowings under the Closing Date Facility.”
The continued growth of Equinix
Today’s announcement follows on from a period of growth for Equinix. Namely, as , the fourth quarter of 2019 marked the 68th quarter of consecutive revenue growth.
In particular, during the final quarter of last year, which is the three months ended December 31, 2019, the global interconnection and data centre company reported total revenues of $1.42 billion. When measuring this against the same period of the previous year, which achieved revenues of $1.31 billion, revenues have increased by 8.2 per cent.

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