Heimstaden issues bonds and announces early redemption and results from tender offer

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Bond issue

Heimstaden AB (publ) (the “Company” or “Heimstaden”) has successfully issued senior unsecured bonds in the total amount of SEK 1,500 million under a framework of SEK 1,750 million. The bonds have a tenor of four years and a floating interest rate of STIBOR three months plus 325 bps and will mature on May 31, 2023 (the “New Bonds”). Heimstaden intends to apply for listing of the New Bonds on the corporate bond list of Nasdaq Stockholm.

“We appreciate the confidence that the capital market once again has showed Heimstaden through the refinancing of one of our outstanding bonds. The strong order book gave us the opportunity to issue an additional SEK 250 million which will be used for the Company’s continued development”, says Ingvor Sundbom, CFO Heimstaden

The Tender Offer

Heimstaden further announces the results of the tender offer (the "Tender Offer") to the holders of Heimstaden's outstanding senior unsecured floating rate bonds maturing on 16 September 2019 with ISIN SE0006259669 and outstanding amount of SEK 1,250,000,000 (the "Bonds"). The Tender Offer expired at 12:00 CEST on May 23, 2019. The Tender Offer has been accepted by holders of Bonds representing a total nominal amount of SEK 1,001 million.

Heimstaden will complete the Tender Offer and the price for the Bonds in the Tender Offer amounts to 100.20 % of the nominal amount. Heimstaden will also pay accrued and unpaid interest from, but excluding, the previous interest payment date until, and including, the settlement date. Settlement date for the Tender Offer is expected to occur on May 31, 2019.

Early redemption

Heimstaden also announces that the Company will exercise its right to make a voluntary early redemption of the Bonds not being tendered in the Tender Offer, in accordance with the terms & conditions in respect of the Bonds dated 10 September 2014 (the “Early Redemption”). The Bonds will in the Early Redemption be redeemed at a price equal to 100.00 per cent. of the nominal amount plus accrued and unpaid interest from, but excluding, the previous interest payment date until, and including, the early redemption date which is expected to occur on June 20, 2019.

DNB, Nordea and Swedbank have acted as dealer managers and joint bookrunners in connection with the issue of New Bonds and the Tender Offer and Gernandt & Danielsson has acted as legal counsel.

Dealer managers and joint bookrunners:

DNB Markets a part of DNB Bank ASA, Sweden Branch: +47 23 26 80 99, bond.syndicate@dnb.no

Nordea Bank Abp: +46 720 83 55 05, NordeaLiabilityManagement@nordea.com

Swedbank AB (publ): +46 8 700 90 22, Syndicate@swedbank.se

For further information, please contact: 

Ingvor Sundbom, CFO                                              +46 705 85 99 56                          ingvor.sundbom@heimstaden.com

Adam Lindh, Head of Finance                                  +46 708 83 96 74                           adam.lindh@heimstaden.com 

This information is information that Heimstaden AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation). The information was submitted for publication, through the agency of the contact person set out above on 23 May 2019, at 18:00 CET.

Heimstaden AB (publ)

Östra Promenaden 7 A, 211 28 Malmö,

Organisationsnummer 556670-0455, Bolagets säte Malmö,

Telefon, växel 0770 – 111 050, www.heimstaden.com,

Heimstaden is a leading real estate company in Northern Europe, with a focus on acquiring, refining, developing and managing housing and premises. Through our values, care, innovation and authenticity, we create values for our owners and caring homes for our tenants. Heimstaden has about 40 680 apartments and a property value of approximately SEK 83 billion value. Heimstad's preference share is listed on Nasdaq First North Premier. The head office is located in Malmö. Certified Adviser is Erik Penser Bank aktiebolag, +46 8-463 83 00 and certifiedadviser@penser.se. For more information, see www.heimstaden.com

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