Digital Realty Prices Public Offering
Digital Realty Trust, Inc. (DLR) said this morning that its public offering of 3.5 million shares of its common stock will be priced at $39.38 per share, resulting in net proceeds of $130.8 million after expenses. The total will reach $150.5 million if underwriters Merrill Lynch & Co. and Credit Suisse Securities (USA) LLC exercise their option to purchase up to an additional 525,000 shares to cover overallotments. The offering is expected to close on October 22, 2007.
Digital Realty said it will use the proceeds of the offering to repay borrowings under its credit facility. The company said it would tap the credit line as needed to acquire additional properties or fund development of turnkey data center space. Digital Realty Trust owns 66 technology properties spanning 11.9 million rentable square feet in 26 markets throughout North America and Europe.