Company news
13/12/2007
Telecity Group Plc - Pre-Close Trading Update
Telecity Group plc (‘the Company’) today issues the following trading update ahead of the end of its financial year on 31 December 2007.The Company announces that trading performance for the year is expected to be in line with management expectations. The Company has continued to progress the plans set out at its IPO and remains confident in its ability to deliver on its strategy.
TelecityGroup maintains its position as a content and connectivity hub for customers and network providers and continues to consider expansion opportunities in both existing and new markets. The Company’s data centre expansion plans as outlined at its IPO remain on track. Specific highlights include:
• Amsterdam 4 - final planning approval has been received and it is on schedule to deliver its first phase of customer capacity in Q2 2008, as planned.
• London Powergate data centre (London 8) – the first phase is on schedule to be ready for customer occupancy in Q2 2008.
• Oliver’s Yard data centre (London 7) in central London - work has started on fitting-out a further 550 square metres of net customer space due for completion in Q1 2008.
• Sovereign House data centre (London 3) - work to add a further 1000 square metres of net customer space is in its final stages and it is scheduled to be available for customer occupation in January 2008. A significant contract for a portion of this capacity has been secured with a leading software company, who will be using the location as one of their global network hubs.
The Company has continued to review the phasing of its capital expenditure investment programme. In order to provide greater flexibility with regard to the timing of the second phases of both the new London and Amsterdam data centre facilities, the Company expects to bring forward certain parts of this investment programme into late 2008.
At the time of the IPO, TelecityGroup set out its strategy of actively managing its customer base by signing new contracts and renewing existing contracts priced towards prevailing market rates while remaining committed to delivering high levels of customer service. TelecityGroup continues to deliver on this strategy and has signed key contract wins and renewals since flotation. An example of this trend is an agreement signed in Frankfurt with a leading global provider of secure internet transaction infrastructure.
Mike Tobin, TelecityGroup CEO, commented:
“TelecityGroup continues to make progress following the Company’s successful IPO in October. Our programme of data centre expansion is on track and we are delivering a strong line of new contract wins with a good renewal rate, in line with our expectations. TelecityGroup’s leadership position as a content and connectivity hub allows us to take advantage of favourable conditions in the market.”
The Company expects to issue its Preliminary Announcement of Results for the year ending 31 December 2007 during the first half of March 2008.
For further information please contact:
Investors:
TelecityGroup:
Rob Coupland +44 (0)20 7001 0078
Media:
TelecityGroup:
James Tyler +44 (0)20 7001 0076
Brunswick:
Sarah West
James Olley +44 (0)20 7404 5959
Notes to Editors
Telecity Group plc
TelecityGroup is a pan-European provider of network independent data centres offering a range of flexible, scalable data centre and managed services. TelecityGroup specialises in the design, build, and management of highly connected and secure environments in which customers can house their technical, web and internet infrastructure. Each of its data centres acts a connectivity and content hub facilitating the storage, sharing and distribution of data, content and media. Headquartered in London, TelecityGroup operates 18 network independent data centres across seven European countries. The data centres are located in prime positions for commerce and connectivity, including Amsterdam, Dublin, Frankfurt, London, Manchester, Milan, Paris and Stockholm.
Telecity Group plc, the parent company of TelecityGroup, is listed on the London Stock Exchange (LSE: TCY)
www.TelecityGroup.com
Cautionary note regarding forward-looking statements
This announcement includes statements that are forward-looking in nature. The actual results, performance or achievements of the Company may be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements due to known and unknown risks, uncertainties and other factors. Except as required by the Listing Rules and applicable law, Telecity Group plc undertakes no obligation to update or change any forward-looking statements to reflect events occurring after the date such statements are published.
