Improves Financial Flexibility through Approximately $5.4 Million Annual Savings
RESTON, Va., March 26, 2018 (GLOBE NEWSWIRE) -- Internap Corporation (NASDAQ:INAP), a provider of high-performance data center services, including colocation, managed hosting, cloud and network services, announced today that it has received consents from its lenders to the amendment to lower the interest rate on its $433.5 million senior secured term loan resulting in savings, at today’s LIBOR rate, of over $5.4 million per year. The requisite consents will be held in escrow until the amendment closing date. The new applicable rate for the senior secured term loan is LIBOR plus 5.75%, which is 1.25% lower than the previous rate. The interest rate on the revolver is unchanged at LIBOR plus 7.00%. The repricing is scheduled to close on April 9, 2018 and is subject to customary closing conditions.
"INAP’s demonstrated performance improvement, coupled with favorable market conditions, allowed us to reprice our debt facility on significantly better terms, improving our financial flexibility,” said Robert M. Dennerlein, Chief Financial Officer. “This will provide meaningful cash savings over the coming years.”
Jefferies acted as Sole Arranger and Sole Bookrunner.
About Internap Corporation
Internap Corporation (NASDAQ:INAP) is a leading provider of high-performance data center services including colocation, managed hosting, cloud and network services. INAP partners with its customers, who range from the Fortune 500 to emerging start-ups, to create secure, scalable and reliable IT infrastructure solutions that meet the customers unique business requirements. INAP operates in 56 Tier 3-type data centers in 21 metropolitan markets and has 97 POPs around the world. INAP has over 1 million gross square feet under lease, with over 500,000 square feet of data center space. For more information, visit www.INAP.com.
This press release contains “forward-looking statements,” that is, information related to future, not past, events. Such statements generally include the words “believes,” “plans,” “intends,” “targets,” “will,” “expects,” “suggests,” “anticipates,” “outlook,” “continues,” or similar expressions. INAP is subject to risks and uncertainties that could cause its actual results to differ materially from the forward-looking statements or that could cause its forward-looking statements to be incorrect. Readers are cautioned not to place undue reliance on INAP’s and forward-looking statements, which speak only as the date thereof. INAP undertakes no obligation to publicly release any revision to the forward-looking statements contained in this announcement, or to update them to reflect events or circumstances occurring after the date of this press release.
Carolyn Capaccio/Jody Burfening
Source: Internap Corporation