3 new investors
In addition to existing investors, the new investors of TierPoint, Argo Infrastructure Partners, Wafra, and Macquarie Capital Principal Finance will lead the $320 million of preferred equity.
Fawaz Al-Mubaraki, Chief Executive Officer of Wafra, talked about the funding, saying,
“Jerry Kent and the TierPoint senior management team have proven themselves as leaders in the digital infrastructure sector, and we are excited to partner with the TierPoint team to help fund the company’s next phase of growth. TierPoint is well positioned for robust growth that will allow the company to expand its market-leading position and capitalize on the tailwinds supporting the data center industry.”
Tierpoint will restructure its debt with the money and will pay off a secondary credit line. The round is expected to be closed and funded by mid-April. The company’s Chairman and CEO Jerry Kent said,
“This investment agreement was reached in what we all know is a very challenging environment. That’s a testament to the strong performance TierPoint has already achieved and our prospects for continued growth.
“Our business has tremendous momentum. In the last two years, we’ve increased sales bookings by 26% and the first quarter of 2020 will be another outstanding growth period. Our team of world-class technology professionals are diligently focused on providing exceptional client service, with a compelling hybrid IT strategy and comprehensive suite of market-leading infrastructure solutions that are in high demand.
We’re also in a unique position to help our customers navigate the current crisis. We have a very strong balance sheet, with significantly reduced leverage and improved liquidity, an infusion of growth capital, and we believe, a long runway of growth ahead of us, as we continue to invest in our services, infrastructure, and people.”