K-Fastigheter takes over the shares in Finja Prefab AB - creating a new business area
K-Fast Holding AB has today entered the acquisition of Finja Prefab AB and is now the legal owner of the company. Finja Prefab AB has been consolidated in the K-Fastigheter Group as of 1 January 2021, with operations reported under the “Prefab” business area from the same date. The press release of 1 December 2020 provided information about various long-term financing options. K-Fastigheter has now secured financing for the acquisition and operations through an acquisition loan of SEK 450 million through Handelsbanken, Finja Prefab’s existing main bank.
“I am delighted to welcome Finja Prefab to the K-Fastigheter family. We are looking forward to meeting our new colleagues and to their contribution towards making us an even better company. Finja Prefab is an important step in K-Fastigheter’s ongoing growth journey, and part of our strategy of producing cost-efficient, proprietary concept buildings in Sweden and Denmark,” commented Jacob Karlsson, CEO of K-Fast Holding AB. “The transaction also includes Finja Prefab’s operational properties and Limkokaren AB, with building rights in central Hässleholm where we can construct our concept buildings, with up to 150 apartments.”
K-Fastigheter does not foresee any significant integration costs, and the acquisition of Finja Prefab can be expected to make a positive contribution to K-Fastigheter’s operating profit and earnings per share from 2021 onwards.
Finja Prefab, with some 550 employees, generated total sales close to SEK 1 billion in 2020 and has a solid financial position with modern, well-invested and cost-efficient manufacturing plants in seven locations around Sweden. Kaj Grönvall, CEO of Finja Prefab AB since 2015, will form part of K-Fastigheter’s Group Management.
For more information about the transaction, see the press release dated 1 December 2020 and the online presentation in Swedish on 2 December 2020: https://tv.streamfabriken.com/press-conference-dec-2. For more information about Finja Prefab, see www.finjaprefab.se/en/.
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As a property company, K-Fastigheter’s objective is to add value for tenants by creating attractive homes with superior comfort. The Group’s operations encompass active property management, project development and proprietary construction operations. To enhance cost efficiency and cut construction times, K-Fastigheter has chosen to work with three concept buildings, developed in-house and constructed for proprietary management. K-Fastigheter provides some 2,040 homes in several locations in the Öresund region, in the province of Småland and in western Sweden, and is assessing new markets as production capacity increases. The Group’s property portfolio has a book value of approximately SEK 6.1 billion, with an annual rental value of about SEK 240 million. Since November 2019, the company’s class B shares have been traded on Nasdaq Stockholm (ticker: KFAST B). Read more at www.k-fastigheter.se