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NextDC garners expanded contract; $50m secured debt facility

By Heather Wright, Mon 29 Jun 2015
FYI, this story is more than a year old

NextDC has won a new five-year contract with an existing client, and received credit approved terms from NAB in relation to a new $50 million senior secured debt facility.

The new facility will replace the existing, undrawn $20 million facility.

The data-centre-as-a-service company has also appointed NAB as arranger and lead manager in relation to a new forthcoming senior unsecured notes offering to raise about $70 million.

That offering is planned to be complementary to NextDC’s existing $60 million senior unsecured notes raised in June 2014.

On the contract front, NextDC says the five year extension, with an unnamed ‘leading corporation’ follows an initial contract with the company in 2013.

The new deal sees NextDC providing an additional capacity of around 4MW, including 2MW at S1 Sydney and 2MW at M1 Melbourne.

An option to expand capacity by a further 1MW at each site is also included, along with the option to extend the contract for a further five years.

No financial details about the deal were revealed.

The company says its pro forma contracted ultilisation, before taking 2H15 sales into account, will increase by 28% to 18.3MW as a resulting of the contract, representing about 44% of the company’s 42MW total capacity.

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