CoreSite Realty Corp (NYSE:COR) owns and operates 11 data centers located across North America as a REIT. CoreSite makes money by renting out data storage space to clients. It has approximately 600 clients which vary in demand from small cages worth of data to entire floors. The company owns, in its entirety, over 1 million net rentable square feet (NRSF).
While the company has $124.9M worth of debt on its balance sheet as of June 30, 2010, it hopes to use the proceeds from the IPO to pay off much of its debt. CoreSite then plans to increase its revolving credit facility and acquire new debt investments so that it can redevelop many of its existing facilities. In particular, CorSite owns approximately 419K net rentable square feet of vacant space across all of its facilities which can be turned into data storage centers.
The company's initial public offering of stock on the NYSE and occurred on September 22, 2010. Its initial price range was $15-$17, and the stock priced at the midpoint at $16. The company sold 16.9M shares and raised $270M. The lead underwriters of the deal were Citigroup (C), Royal Bank Of Canada (RY), and Bank of America (BAC).
CoreSite's revenue has increased steadily since 2007 with approximately 50% growth each year. In 2007, its total revenue was $10M, and its 2009 revenue was $29M.