Web Hosting Provider QTS Announces $45 Million Credit Increase

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Data center operator Quality Technology Services (www.qualitytech.com) announced on Tuesday that its lenders ING Capital and Caterpillar Financial Services have increased the capacity of its revolving credit by $45 million, bringing the total to $170 million.

The credit facility, established in September of 2010, is secured against the company’s Atlanta Metro Data Center asset, which the company describes as the second-largest data center in the world. The credit facility will also include an accordion feature to increase the amount up to $250 million in the future.

“QTS appreciates the confidence these financial institutions have in the future of QTS and their willingness to participate in this revolving credit facility,” said Bill Schafer, chief financial officer of QTS, quoted in the company’s press release. “The increased capacity significantly enhances QTS’ financial flexibility as the company continues to expand its data center facilities in Santa Clara, Richmond, Jersey City and Atlanta.”

QTS says the credit facility was arranged by Key Bank, which also serves as an administrative agent. The new investors join a list of participants that includes Citibank NA, Credit Suisse AG, Deutsche Bank Trust Company Americas and Royal Bank of Canada.

In December of last year, QTS reported that its channel partner program had been making a big contribution to the company’s revenue, since its launch in April.

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