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SEC Filings

10-Q
EQUINIX INC filed this Form 10-Q on 11/02/2018
Entire Document
 
EQUINIX, INC.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
(Unaudited)

Senior Notes
As of September 30, 2018 and December 31, 2017, the Company's senior notes consisted of the following (in thousands):
 
September 30, 2018
 
December 31, 2017
 
Amount
 
Effective Rate
 
Amount
 
Effective Rate
5.000% Infomart Senior Notes
$
750,000

 
4.40
%
 
$

 
%
5.375% Senior Notes due 2022
750,000

 
5.56
%
 
750,000

 
5.56
%
5.375% Senior Notes due 2023
1,000,000

 
5.51
%
 
1,000,000

 
5.51
%
2.875% Euro Senior Notes due 2024
870,600

 
3.08
%
 

 
%
5.750% Senior Notes due 2025
500,000

 
5.88
%
 
500,000

 
5.88
%
2.875% Euro Senior Notes due 2025
1,160,800

 
3.04
%
 
1,201,000

 
3.04
%
5.875% Senior Notes due 2026
1,100,000

 
6.03
%
 
1,100,000

 
6.03
%
2.875% Euro Senior Notes due 2026
1,160,800

 
3.04
%
 
1,201,000

 
3.04
%
5.375% Senior Notes due 2027
1,250,000

 
5.51
%
 
1,250,000

 
5.51
%
 
8,542,200

 
 
 
7,002,000

 
 
Less amount representing unamortized debt issuance cost
(78,961
)
 
 
 
(78,151
)
 
 
Add amount representing unamortized debt premium
6,100

 
 
 

 
 
 
8,469,339

 
 
 
6,923,849

 
 
Less current portion
(150,557
)
 
 
 

 
 
Total
$
8,318,782

 
 
 
$
6,923,849

 
 
Infomart Senior Notes
On April 2, 2018, in connection with the closing of the Infomart Dallas Acquisition, the Company issued $750.0 million aggregate principal amount of 5.000% senior unsecured notes in five new series due in each of April 2019, October 2019, April 2020, October 2020 and April 2021, with each series consisting of $150.0 million principal amount, which are collectively referred to as the "Infomart Senior Notes". The Infomart Senior Notes were fair valued as of the acquisition date and the Company recognized debt premium of $8.2 million. Interest on the notes is payable semi-annually on April 2 and October 2 of each year, commencing on October 2, 2018. The Infomart Senior Notes are not redeemable prior to their maturity dates. As of September 30, 2018, debt premium, net of amortization, related to the Infomart Senior Notes was $6.1 million.
2024 Euro Senior Notes
On March 14, 2018, the Company issued €750.0 million, or approximately $929.9 million in U.S. dollars, at the exchange rate in effect on March 14, 2018, aggregate principal amount of 2.875% senior notes due March 15, 2024, which are referred to as the "2024 Euro Senior Notes". Interest on the notes is payable semi-annually in arrears on March 15 and September 15 of each year, commencing on September 15, 2018. Debt issuance costs related to the 2024 Euro Senior Notes were $11.6 million. As of September 30, 2018, debt issuance costs related to the 2024 Euro Senior Notes, net of amortization, were $9.9 million at the exchange rate in effect on that date.
All senior notes are unsecured and rank equal in right of payment to the Company’s existing or future senior indebtedness and senior in right of payment to the Company’s existing and future subordinated indebtedness. The senior notes are effectively subordinated to all of the existing and future secured debt, including debt outstanding under any bank facility or secured by any mortgage, to the extent of the assets securing such debt. They are also structurally subordinated to any existing and future indebtedness and other liabilities (including trade payables) of any of the Company’s subsidiaries.
Each series of senior notes is governed by a supplemental indenture between the Company and U.S. Bank National Association, as trustee. The supplemental indenture contains covenants that limit the Company’s ability and the ability of its subsidiaries to, among other things:
incur liens;

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