Digital Core Reit trustee secures $428m loan facility

The facilities have a three-year term loan and a five-year term loan.

Two loan facilities worth $428m (€300m) were obtained by Perpetual Asia Limited, a trustee of Digital Core REIT, the REIT’s management announced in a bourse filing.

Specifically the facilities are the three-year term loan facility worth $214m (€150m) and a five-year term loan facility up to  $214m (€150m).

There are conditions of the facilities which make reference to the shareholding in the manager and the unitholding interests of any controlling unitholder.

Under the terms, the borrower has to prepay any outstanding loans immediately in the event that:

(a) the Manager ceases to be a subsidiary of Digital Realty Trust, L.P. (the “Sponsor”), unless such event or circumstance occurs with the prior written consent of the agent in respect of the Facilities;

(b) the Sponsor ceases to have control of the Manager (being the power (whether by way of ownership of shares, proxy, contract, agency or otherwise) to cast, or control the casting of, more than half the maximum number of votes that might be cast at a general meeting of the Manager), unless such event or circumstance occurs with the prior written consent of the agent in respect of the Facilities (acting on the instructions of the majority lenders);

(c) the Manager ceases to be the manager of Digital Core REIT, unless such event or circumstance occurs with the prior written consent of the agent in respect of the Facilities (acting on the instructions of the majority lenders); and/or

(d) the Sponsor ceases to directly or indirectly hold beneficially at least 10 per cent, when taken in the aggregate, of the ownership interests in the subsidiaries of Digital Core REIT that directly own the real property (which ownership interests may take the form of either (i) units issued by Digital Core REIT from time to time, or (ii) directly or indirectly held beneficial ownership interests in the subsidiaries of Digital Core REIT that directly own the real property), unless such event is capable of remedy and is remedied to the satisfaction of the agent in respect of the Facilities (acting reasonably) within 30 days of any obligor becoming aware of the event,

$1 = €0.70