QTS Realty Trust, Inc. Announces Upsize and Pricing of $400 Million Senior Notes Offering

OVERLAND PARK, Kan., Oct. 25, 2017 /PRNewswire/ -- QTS Realty Trust, Inc. (NYSE: QTS) today announced that its subsidiaries, QualityTech, LP and QTS Finance Corporation (the "Issuers"), have upsized and priced their private offering of $400 million aggregate principal amount of senior notes due 2025 (the "Notes"). The offering was upsized from the previously announced $350 million aggregate principal amount. The Notes will have an interest rate of 4.750% per annum and will be issued at a price equal to 100% of their face value. The Notes will mature on November 15, 2025.

The net proceeds from the offering are expected to be used to fund the redemption of, and satisfy and discharge the indenture pursuant to which the Issuers issued, all of their outstanding 5.875% Senior Notes due 2022 and to repay a portion of the amount outstanding under our unsecured revolving credit facility.

The Notes will be unconditionally guaranteed, jointly and severally, on a senior unsecured basis by certain of our subsidiaries.

The notes will be offered and sold only to qualified institutional buyers in the U.S. pursuant to Rule 144A under the Securities Act of 1933, as amended (the "Securities Act"), and to certain non-U.S. persons outside the U.S. pursuant to Regulation S under the Securities Act.

The sale of the Notes is expected to be consummated on November 8, 2017, subject to customary closing conditions.

The Notes have not been registered under the Securities Act or applicable state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state laws.

This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the Notes or any other securities and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful.

About QTS
QTS Realty Trust, Inc. (NYSE: QTS) (the "Company") is a leading provider of secure, compliant data center solutions, hybrid cloud and fully managed services. QTS features the nation's only fully integrated technology services platform providing flexible, scalable solutions for the federal government, financial services, healthcare and high tech industries. QTS owns, operates or manages more than 5 million square feet of data center space and supports more than 1,100 customers in North America, Europe and Asia Pacific.  In addition, QTS' Critical Facilities Management (CFM) provides increased efficiency and greater performance for third-party data center owners and operators. 

Forward Looking Statements
This press release may contain forward-looking statements within the meaning of the federal securities laws. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In particular, statements pertaining to the Company's capital resources, portfolio performance and results of operations contain forward-looking statements. Likewise, all of the statements regarding anticipated growth in the Company's funds from operations and anticipated market conditions are forward-looking statements. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as "may," "will," "should," "expects," "intends," "plans," "anticipates," "believes," "estimates," "predicts," or "potential" or the negative of these words and phrases or similar words or phrases which are predictions of or indicate future events or trends and which do not relate solely to historical matters. You also can identify forward-looking statements by discussions of strategy, plans or intentions.

The forward-looking statements contained in this press release reflect the Company's current views about future events and are subject to numerous known and unknown risks, uncertainties, assumptions and changes in circumstances that may cause actual results to differ significantly from those expressed in any forward-looking statement. The Company does not guarantee that the transactions and events described will happen as described (or that they will happen at all). The following factors, among others, could cause actual results and future events to differ materially from those set forth or contemplated in the forward-looking statements: adverse economic or real estate developments in the Company's markets or the technology industry; global, national and local economic conditions; risks related to international operations; difficulties in identifying properties to acquire and completing acquisitions; the Company's failure to successfully develop, redevelop and operate acquired properties or lines of business; significant increases in construction and development costs; the increasingly competitive environment in which the Company operates; defaults on, or termination or non-renewal of leases by customers; increased interest rates and operating costs, including increased energy costs; financing risks, including the Company's failure to obtain necessary outside financing; decreased rental rates or increased vacancy rates; dependence on third parties to provide Internet, telecommunications and network connectivity to the Company's data centers; the Company's failure to qualify and maintain its qualification as a real estate investment trust; environmental uncertainties and risks related to natural disasters; financial market fluctuations; and changes in real estate and zoning laws, revaluations for tax purposes and increases in real property tax rates.

While forward-looking statements reflect the Company's good faith beliefs, they are not guarantees of future performance. Any forward-looking statements speak only as of the date on which they are made. The Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes. For a further discussion of these and other factors that could cause the Company's future results to differ materially from any forward-looking statements, see the section entitled "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2016.

Investor Relations Contact:
Stephen Douglas
[email protected]

Media Contact:        
Sharon Goldmacher
communications 21
404.814.1330
[email protected]

SOURCE QTS Realty Trust, Inc.