Balder acquires property in central Stockholm and issues preference shares as partial payment
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Fastighets AB Balder today announces that the company has entered into an agreement to acquire the property Stockholm Spårvagnen 4, comprising, inter alia, Spårvagnshallarna, located in the block between Birger Jarlsgatan and Tulegatan and Rådmansgatan and Tegnérgatan in central Stockholm. The property has a lettable area of approximately 23,000 square meters and is leased to, inter alia, Sirius International Insurance, Lowe Brindfors, SATS, Intellecta and JTI Sweden.
The acquisition of the property is in line with Balder´s strategy of expanding its commercial portfolio in attractive locations in Stockholm, Gothenburg and the Öresund region.
The property value amounts to approximately SEK 1,100 million, of which SEK 300 million will be paid through the issuance of 1,000,000 preference shares at a subscription price of SEK 300 per share. The subscription price corresponds to the volume weighted average closing price of Balder’s preference share on NASDAQ OMX Stockholm during the period August 27 – September 14, 2012, rounded down to the nearest integer. Possession will take place on October 1, 2012. The Board of Directors therefore intends, pursuant to the authorization from the Annual General Meeting, to resolve on an offset issue on the date of taking possession.
Fastighets AB Balder has been informed that the seller of the property has agreed to resell the 1,000,000 preference shares to Svenska Handelsbanken AB (“Handelsbanken”), which has decided to offer the preference shares for sale in an offer to the public in Sweden and to institutional investors in Sweden and abroad.
With respect to Handelsbanken’s public offer described above, Balder will prepare a prospectus and seek approval and registration of the prospectus with the Swedish Financial Supervisory Authority. The prospectus is expected to be approved and published in Swedish on September 26, 2012. The application period for the offer to the public commences on September 27, 2012 and ends on October 8, 2012 and the application period for the offer to the institutional investors commences on September 27, 2012 and ends on October 9, 2012.
Handelsbanken Capital Makrets is acting as financial adviser and Linklaters is acting as legal adviser to Balder in connection with the transaction.
For further information, please contact:
CEO Erik Selin, tel. +46 706 074 790 or
Head of Finance Marcus Hansson, tel. +46 768 369 848
Fastighets AB Balder discloses the information provided herein pursuant to the Swedish Securities Markets Act and/or the Swedish Financial Instruments Trading Act. The information was released for publication on September 24, 2012 at 08.30.
Important information
The information in this press release is not intended, to directly or indirectly, be distributed, published or made public in Australia, Hong Kong, Japan, Canada, Switzerland, Singapore, South Africa, the United States or any other jurisdiction where the distribution of this press release would be illegal. The distribution of this press release may be restricted by law in certain jurisdictions and persons who take part of this press release or other information set out herein should inform themselves of, and observe, any such restrictions.
The information in this press release does not constitute an offer to sell shares or solicitation of an offer to buy shares. This press release does not constitute a prospectus under the Prospectus Directive 2003/71/EG.
The information in this press release does not constitute and is not part of an offer or solicitation of an offer to buy or subscribe for securities in the United States. Securities mentioned herein have not and will not be registered in accordance with the Securities Act of 1933 (the “Securities Act”). Securities mentioned herein may not be offered or sold in the United States unless they are registered in accordance with the Securities Act or fall within an exemption in the Securities Act. There will not be any public offer in the United States regarding securities.
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