Equinix issues its first green bond for €1bn
Equinix (Nasdaq: EQIX) has announced that it priced $1.85 billion in bonds, including $1.35 billion in its inaugural green bond offering.
This is the data centre giants’ first green bonds and it will be used to help advance the company's commitment to sustainability leadership and reducing its environmental impact.
The offering is expected to close on October 7, 2020, subject to closing conditions.
The company has made it known that it intends to use most of the net proceeds from the offering to fund the redemption of all of its outstanding €1 billion 2.875% Senior Notes due 2025 and €500 million of its outstanding €1 billion 2.875% Senior Notes due 2026.
Equinix intends to use any remaining net proceeds from the offering for general corporate purposes.
"Issuing our inaugural green bonds demonstrates Equinix's continued long-term commitment to green our data centre footprint, delivering wide-reaching environmental benefits for not only ourselves and our communities but also our global customers,” said Keith Taylor (pictured), Chief Financial Officer, Equinix.
In conjunction with the green bond offering, Equinix has developed a Green Finance Framework, based on the Green Bond Principles and Green Loan Principles.
It includes a set of guidelines that promote transparency and integrity in, and advance the standardisation of, green debt disclosures.
The Framework is expected to further increase Equinix's focus on protecting the environment and addressing global climate change through greenhouse gas emissions reduction and drive corporate transparency and accountability.
These investments are intended to benefit the communities in which Equinix operates, its employees and stakeholders, contributing to Equinix's mission to design, build and operate sustainable digital infrastructure, according to the company.
"These green bonds will serve as a mechanism for Equinix to further invest in innovative designs and technologies that take action with regard to global climate change by meaningfully increasing our efficiency in resource consumption to ensure we continue to operate sustainably,” added Chris Kimm, Senior Vice President of Americas IBX Operations, Equinix.