There will be no change to the strategic direction, management or financial and operational policies of Global Switch as a result of this transaction
Aldersgate Investments Limited (a Reuben Brothers company) will continue to jointly control the company together with Elegant Jubilee under the governance of the existing Shareholders’ Agreement
Global Switch Holdings Limited ("Global Switch" or "the Company") a leading owner, operator and developer of large scale, carrier and cloud neutral data centres in Europe and Asia-Pacific, today announces that Elegant Jubilee Limited ("Elegant Jubilee") has acquired an additional 2% stake in the Company from Aldersgate Investments Limited (“Transaction”). This acquisition follows on from the initial investment of a 49% stake in the Company announced on 21 December 2016.
There is no change to the board of directors of the Company or the management of the Company. John Corcoran, Chief Executive Officer, and David Doyle, Chief Financial Officer and the existing management team will continue to manage the day-to-day running of the Company. Further, Aldersgate Investments Limited will continue to jointly control the company together with Elegant Jubilee under the governance of the existing Shareholders’ Agreement.
The Transaction will technically result in a change of control, as defined under the terms of the Company’s €1 billion Euro Medium Term Note Programme and €600 million 5.50 per cent. Guaranteed Notes due 18 April 2018, as well as under the A$1 billion Debt Issuance Programme issued by Global Switch Property (Australia) Pty Limited (collectively, the “Notes”). Under these programmes, the outstanding notes potentially affected by the transaction, comprise £350.0m due 2022; €303.6m due 2018 and A$12.9m due 2020.
The two new €500 million bond offerings issued under the new €3 billion Euro Medium Term Note Programme in May 2017, are completely unaffected by the Transaction.
In consequence of a technical change of control event being triggered under the Notes, the holders of the affected Notes have the option to require the Company (or Global Switch Property (Australia) Pty Limited, as applicable) to redeem or (at the option of the Company (or Global Switch Property (Australia) Pty Limited, as applicable)), purchase such Notes in accordance with the terms and conditions of the relevant prospectus or information memorandum (as applicable).
There will be no adverse financial impact on the company as a result of any redemption or repurchase. The successful completion in May 2017 of a new €1 billion bond issuance, at the lowest coupons ever issued by Global Switch, has ensured the company has the financial flexibility to accommodate any near term redemptions as well as creating a long-dated financing structure to support the company's growth and expansion plans.
--- ENDS ---
+44 20 7251 3801
Group Director, Marketing & Communications
+44 20 8054 9053
For press enquiries please email
Notes to editors:
About Global Switch
Global Switch is a leading owner, operator and developer of large-scale, carrier and cloud neutral, multi-customer data centres in Europe and Asia-Pacific. Founded in 1998, Global Switch has a proven business model, demonstrable track record and is the highest credit rated data centre company in the world with investment grade credit ratings from Fitch, Moody's and Standard & Poor's.
Global Switch is a vital and strategic partner for customers that require secure and resilient data centre services with scalable capacity and a high level customer service. The Company's focus is on highly resilient, central, low latency, network dense locations in prime city centre locations and internet hubs close to its customers on the edge of financial and business districts.
Global Switch's data centres operate exclusively in the Tier I markets of Europe and Asia Pacific to Tier III or higher and currently total around 320,000 sq m (3,450,000 sq ft) of floor space. They are occupied by a broad range of customers, global and national, large and small including government organisations, financial institutions, enterprises, global systems integrators, telecommunication carriers, cloud and managed service providers and other hosting businesses.
For more information visit: www.globalswitch.com