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Stocks Alert: QTS Realty Trust Inc (NYSE:QTS)


On Wednesday, Shares of QTS Realty Trust Inc (NYSE:QTS), loss -0.52% and closed at $51.07 in the last trading session. The last trading range of the stock ranges between $50.75 and $51.47.

QTS Realty Trust, Inc. (NYSE: QTS), a leading provider of data center, managed hosting and cloud services, declared recently that it has reached forward interest rate swap agreements with an aggregate notional amount of $400 million. The forward swap agreements effectively will fix the interest rate on $400 million of term loan borrowings from January 2, 2018 through the current maturity dates, which are December 17, 2021 and April 27, 2022 ($200 million of swaps allocated to each term loan). The Company’s weighted average interest rate on floating rate debt as of December 31, 2016 is about 2.25 percent.  The weighted average effective fixed interest rate on the $400 million notional amount of term loan financing, following the execution of these swap agreements, will approximate 3.5 percent, commencing on January 2, 2018. Taking into account the interest rate swap agreements, the Company’s pro forma exposure to floating rate debt, as of December 31, 2016, has been reduced to about 24 percent of total debt from about 65 percent of total debt.

Analyst recommendation for this stock stands at 1.80.