-
Switch and Data Taps Credit Line for $22M
Switch and Data (SDXC) has borrowed an additional $22.5 million through an existing credit line, according to a filing with the Securities and Exchange Commission. The company said it use the funds to support investments in its data center network in 2009, including the continued expansion of its new data center in North Bergen, New Jersey.
The $22.5 million was a delayed draw term loan built into Switch and Data’s March 2008 debt financing from a syndicate of banks led by RBC Capital Markets and GE Corporate Lending. The agreement included an initial $120 million term loan, which was used to fund the lease for the New Jersey site.
About Rich Miller
Rich Miller is the founder and editor-in-chief of Data Center Knowledge, and has been reporting on the data center sector since 2000. He has tracked the growing impact of high-density computing on the power and cooling of data centers, and the resulting push for improved energy efficiency in these facilities.
Just like everyone else, Switch&Data would rather have the cash on hand than hope that it will be there later on when they need it.
RESOURCE LINKS:
Building A Cloud-Savvy Model for TCO and ROI
How Storage is Shaping The Cloud Data Center
Bringing Colo to the Customer: Modular Gets Local
Microsoft’s $1 Billion Data Center
January 9th, 2009