Heimstaden AB (publ) Announces Issuance of New Notes, Final Tender Offer Results, and Call for Early Redemption
Issuance of New Notes
Heimstaden AB (publ) (“Heimstaden” or the “Company”) today announces the successful pricing of EUR 430 million 5NC3 Senior Unsecured Fixed Rate Notes (the “New EUR Notes”) as well as SEK 750 million 3.5 year Senior Unsecured Floating Rate Notes (the “New SEK Notes” and, together with the New EUR Notes, the “New Notes”). The New Notes were priced on 17 January 2025 and will settle on 29 January 2025. The New EUR Notes carry a coupon of 8.375% until maturity and the New SEK Notes carry a coupon of 3 months STIBOR + 600 basis points until maturity. The proceeds from the New Notes will be used exclusively to refinance outstanding debt. An application will be made for the New Notes to be listed on the regulated market of Euronext Dublin. The final terms will be made available on both the website of Euronext Dublin and www.heimstaden.com.
J.P. Morgan, Nordea, Pareto, and Swedbank acted as Joint Bookrunners on the transaction.
Final Tender Offer Results
Heimstaden today announces the final results of its offer to holders of its outstanding SEK 500 million floating rate notes due April 2025 with ISIN XS2469914308 (the “SEK Apr-25 Notes”), SEK 1,200 million floating rate notes due October 2025 with ISIN SE0014991352 (the “SEK Oct-25 Notes”) and EUR 350 million fixed rate notes due March 2026 with ISIN SE0015657903 (the “EUR Notes”) (together referred to as the “Notes”).
The Tender Offer was announced on 10 January 2025 and made on the terms and subject to the conditions and restrictions described in the tender information document dated 10 January 2025 (the “Tender Information Document”). Capitalised terms used in this announcement but not otherwise defined have the meanings given to them in the Tender Information Document.
Heimstaden has decided to accept in full all validly submitted tender instructions received by the Expiration Date without any scaling.
Note | Validly tendered and accepted nominal amount | Purchase Price | Heimstaden’s total nominal holdings after the Tender Offer| Heimstaden’s total % holdings of the total outstanding amount after the Tender Offer
SEK Apr-25 Notes | SEK 250,000,000 | 100.00% | SEK 408,000,000 | 81.6%
SEK Oct-25 Notes | SEK 755,000,000 | 100.00% | SEK 1,045,000,000 | 87.1%
EUR Notes | EUR 333,200,000 | 100.00% | EUR 333,200,000 | 95.2%
Subject to the New Financing Condition, Heimstaden will pay the Purchase Price as outlined above, together with an amount equal to accrued and unpaid interest from, but excluding, the previous interest payment date until, and including, the Settlement Date for the Tender Offer, on the Notes validly tendered and accepted. The Settlement Date for the Tender Offer is expected to be 31 January 2025.
Dealer Managers on the Tender Offer:
J.P. Morgan SE, liability_management_EMEA@jpmorgan.com, +44 20 7134 2468
Nordea Bank Abp, nordealiabilitymanagement@nordea.com, +45 6161 2996
Swedbank AB (publ), liabilitymanagement@swedbank.se
Call for Early Redemption
Heimstaden today submitted notice to holders of the Notes, that all outstanding Notes following the Settlement Date of the Tender Offer will be redeemed in full in accordance with the terms and conditions of the Notes. All outstanding Notes will be redeemed at the redemption price of 100.00% of the total outstanding nominal amount of the relevant Notes, together with any accrued and unpaid interest. Settlement date of the redemption is expected to be on 6 February 2025.
Contacts:
Frederik Berling, Media
+45 2130 9489, media@heimstaden.com
Cody Nelson, Investor Relations
+47 948 94 196, ir@heimstaden.com
About Heimstaden:
Heimstaden is a leading European residential real estate manager and investor with around 162,000 homes across nine countries with a property value of SEK 332 billion. We acquire, develop, and manage properties with an evergreen perspective. Guided by our Scandinavian heritage and values Dare, Care, and Share – we fulfil our mission to enrich and simplify our customers’ lives through Friendly Homes. Heimstaden is listed on Nasdaq First North Growth Market. Read more at www.heimstaden.com. Certified Adviser is Carnegie Investment Bank AB (publ).
The distribution of this announcement and the Tender Information Document in certain jurisdictions may be restricted by law. Persons into whose possession this announcement and/or the Tender Information Document come(s) are required by each of Heimstaden and the Dealer Managers to inform themselves about, and to observe, any such restrictions. No offer to acquire any securities is being made pursuant to this announcement.
This announcement does not constitute an offer to sell or a sale of the New Notes. The New Notes are not being, and will not be, offered or sold in the United States. Nothing in this document constitutes an offer to sell or the solicitation of an offer to buy the New Notes in the United States or any other jurisdiction. Securities may not be offered, sold or delivered in the United States absent registration under, or an exemption from the registration requirements of, the Securities Act. The New Notes have not been, and will not be, registered under the Securities Act or the securities laws of any state or other jurisdiction of the United States and may not be offered, sold or delivered, directly or indirectly, within the United States or to, or for the account or benefit of, U.S. persons (as defined in Regulation S under the Securities Act).