Over $1 billion
of capital raised through asset sales and ATM issuance over last 30
days
AUSTIN,
Texas, June 5, 2023 /PRNewswire/ -- Digital
Realty (NYSE: DLR), the largest global provider of cloud- and
carrier-neutral data center, colocation and interconnection
solutions, announced the sale of a non-core data center in
Texas. Digital Realty realized
approximately $150 million of net
proceeds from the sale of its 100% interest in the data center,
which was originally acquired in 2012 and leased as a powered shell
facility. The property was sold at a 4.4% cap rate, based on
projected 2023 net operating income and generated a capital gain of
approximately $88 million.
"Consistent with our goals for this year, this transaction
enables us to recycle capital from a non-core asset at an
attractive valuation," said Digital Realty Chief Investment Officer
Greg Wright. "We are consistently
enhancing our portfolio by redeploying proceeds into strategic
investments with premium growth prospects. Institutional demand for
data centers remains robust and we look forward to continued
execution on our capital plan."
Separately, Digital Realty announced that it has raised
approximately $1.1 billion of gross
proceeds from the sale of approximately 11 million shares issued
under the company's at-the-market ("ATM") program, including 3.5
million shares to be issued pursuant to forward sales
agreements.
Digital Realty expects to use the combined proceeds from the
asset sale and ATM issuance to pay down debt and ultimately to fund
ongoing and future investment activity.
About Digital Realty
Digital Realty brings companies
and data together by delivering the full spectrum of data center,
colocation and interconnection solutions. PlatformDIGITAL®, the
company's global data center platform, provides customers with a
secure data "meeting place" and a proven Pervasive Datacenter
Architecture (PDx™) solution methodology for powering innovation
and efficiently managing Data Gravity challenges. Digital Realty
gives its customers access to the connected communities that matter
to them with a global data center footprint of 300+ facilities in
50+ metros across 27 countries on six continents. To learn more
about Digital Realty, please visit digitalrealty.com or follow
us on LinkedIn and Twitter.
For Additional Information
Investor Relations
Jordan
Sadler / Jim Huseby
Digital Realty
+1 737 281 0101
InvestorRelations@digitalrealty.com
Media Contacts
Helen
Bleasdale
Digital Realty
+1 737 267 6822
hcbleasdale@digitalrealty.com
Safe Harbor Statement
This press release contains
forward-looking statements which are based on current expectations,
forecasts and assumptions that involve risks and uncertainties that
could cause actual outcomes and results to differ materially,
including statements related to the disposition of a non-core asset
and related cap rate, sales of equity under the company's ATM
program, expected benefits, use of proceeds and the company's
strategy. For a list and description of such risks and
uncertainties, see the reports and other filings by the company
with the U.S. Securities and Exchange Commission. The company
disclaims any intention or obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.
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SOURCE Digital Realty