Magnolia Bostad contemplates the issuance of new senior unsecured green bonds and announces a tender offer regarding certain outstanding senior unsecured bonds
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Magnolia Bostad AB (publ) (“Magnolia Bostad”) is offering holders of Magnolia Bostad’s outstanding bonds outlined below (the “Bonds”) to tender their Bonds for purchase by Magnolia Bostad for cash (the “Tender Offer”) at the purchase price set out below, plus accrued and unpaid interest The Tender Offer will be capped at a total volume of SEK 200,000,000. The Bonds will be repurchased subject to the terms and conditions described in a tender information document dated 2 May 2022 (the “Tender Information Document”).
Description of the Bonds / ISIN / Issued Amount / Outstanding Amount / Minimum Denomination / Purchase Price
2020/2024 Sr Unsec FRN / SE0014956454 / SEK 550,000,000 / SEK 550,000,000 / SEK 1,250,000 / 102.00 %
The Tender Information Document is available on the following link: https://om.magnoliabostad.se/sites/default/files/220502_Tender_Information_Document.pdf
In connection with the Tender Offer, Magnolia Bostad announces that it contemplates to issue new SEK denominated senior unsecured green bonds with an expected volume of SEK 500,000,000 under a framework of SEK 1,500,000,000 with an expected tenor of 4.0 years (the “New Bonds”), subject to market conditions.
An amount equivalent to the proceeds from the issuance of the New Bonds will be used in accordance with Magnolia Bostad’s Green Bond Framework, including partly refinancing of the Bonds. Magnolia Bostad’s Green Bond Framework has been awarded a “Medium Green Shade” by the reputable second party opinion provider Cicero Shades of Green.
The Tender Offer expires at 12:00 CEST on 5 May 2022, unless extended, re-opened, withdrawn or terminated at the sole discretion of Magnolia Bostad. Settlement of the Tender Offer is expected to occur at or around 12 May 2022. Magnolia Bostad’s repurchase of Bonds is conditional upon inter alia a successful issue of New Bonds.
Holders of Bonds who accept the Tender Offer can be eligible to receive a priority in the allocation of the New Bonds, subject to the terms set out in the Tender Information Document.
Magnolia Bostad has mandated Nordea Bank Abp and Swedbank AB (publ) as joint arrangers and bookrunners in respect of the issuance of the New Bonds and as dealer managers for the Tender Offer.
Attachment: The Tender Information Document.
Dealer Managers:
Nordea Bank Abp: NordeaLiabilityManagement@nordea.com
Swedbank AB (publ): liabilitymanagement@swedbank.se
For further information, please contact Magnolia Bostad at:
Fredrik Westin, CFO
+46 72 720 00 06, fredrik.westin@magnoliabostad.se
This information is information that Magnolia Bostad 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, at 09.45 CEST on 2 May 2022.
Magnolia Bostad AB, CIN 556797–7078, is a leading urban developer that develops new residential properties primarily rental apartments but also tenant-owned apartments, community service properties and hotels, in attractive locations in Sweden's growth areas and major cities. Housing is being developed both for sale and for self-management. Our work is based on a holistic approach where the operations are conducted in a way that promotes long-term, sustainable urban development. More information is available at www.magnoliabostad.se