S&P Upgrades Cyxtera to B- on Strength of Interconnection and Improved Liquidity Position
S&P Rates Cyxtera DC Holdings B-, Assigning Same Credit Rating and Stable Outlook to Company’s New Parent, Cyxtera Technologies
September 09, 2021
Miami, FL – September 9, 2021 – Cyxtera (NASDAQ: CYXT), a global leader in data center colocation and interconnection services, today announced that Standard & Poor’s (“S&P”) upgraded the credit rating of Cyxtera DC Holdings, Inc. to B- and assigned a credit rating of B- with a stable outlook to its new parent company, Cyxtera Technologies, Inc. The upgrade and issuer credit rating are effective as of September 1, 2021.
This positive ratings action by S&P reflects the competitive strength of the company’s interconnection services, the company’s increased liquidity position following its merger with Starboard Value Acquisition Corp (SVAC), and the financial flexibility available to Cyxtera based on its capitalized leases. The company’s robust customer base, strategic focus on retail colocation, and ability to grow its bare metal offerings were also positive ratings factors.
“The upgraded rating of Cyxtera DC Holdings and the assignment of a B- credit rating of Cyxtera Technologies validate that Cyxtera’s focus on a highly connected global platform of retail colocation data centers positions the company to benefit from secular tailwinds,” said Carlos Sagasta, Cyxtera’s Chief Financial Officer. “The stable outlook underlying these ratings further substantiates that Cyxtera is well positioned to create long-term value for all of our key stakeholders.”
Cyxtera is a global leader in data center colocation and interconnection services. The company operates a footprint of 61 data centers in 29 markets around the world, providing services to more than 2,300 leading enterprises and U.S. federal government agencies. Cyxtera brings proven operational excellence, global scale, flexibility, and customer-focused innovation together to provide a comprehensive portfolio of data center and interconnection services. For more information, please visit www.cyxtera.com.
Forward Looking Statements
This press release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from expectations discussed in such forward-looking statements. Factors that might cause such differences include, but are not limited to, Cyxtera’s dependence upon the demand for data centers; Cyxtera’s products and services having a long sales cycle; Cyxtera’s fluctuating operating results; Cyxtera’s ability to compete successfully against current and future competitors; Cyxtera’s ability to continue to develop, acquire, market and provide new offerings or enhancements to existing offerings that meet customer requirements and differentiate it from its competitors; Cyxtera’s ability to manage its growth; the effects of the COVID-19 pandemic on Cyxtera’s business or future results; the impact of Cyxtera’s substantial debt on its future cash flows and its ability to raise additional capital in the future; and the ability of Cyxtera to access external sources of capital on favorable terms or at all. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in Cyxtera’s filings with the Securities and Exchange Commission. There may be additional risks that Cyxtera does not presently know or that it currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. In addition, forward-looking statements reflect Cyxtera’s expectations, plans or forecasts of future events and views as of the date of this press release. Accordingly, you should not place undue reliance upon any such forward-looking statements in this press release. Cyxtera does not assume any obligation to update the forward-looking information contained in this press release, except as required by law.
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