S&P: Digital Realty notes BBB

Standard & Poor's said it said assigned a BBB rating to Digital Realty Trust Inc.'s wholly owned subsidiary Digital Realty Trust LP's $950 million proposed senior unsecured notes due 2020 and 2025.

The proceeds will be used to finance a portion of the aggregate purchase price for the Telx acquisition.

The ratings reflect the company's high quality property portfolio throughout North America, Europe, Asia and Australia, along with its high degree of tenant diversity and well-staggered lease-expiration schedule, S&P said.

The acquisition of Telx will result in a temporary deterioration of credit metrics, increasing debt-to-EBITDA close to 8.0x by year-end 2015, reflecting debt incurred to fund the acquisition but only three months of EBITDA contribution from Telx, the agency said.

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