Shortened co-investment period for Magnolia Bostad and Fredrik Lidjan AB

The Board of Magnolia Bostad has decided on a supplementary agreement to the current shareholder agreement between Magnolia Bostad's subsidiary Magnolia Utveckling and Fredrik Lidjan AB. Through the supplementary agreement, the parties have agreed that the shareholders' agreement's co-investment period, which currently applies until 31 December 2022, will end on 31 December 2021.

The shareholder agreement that regulates the minority ownership structure that applies with Fredrik Lidjan AB was approved at the Extraordinary General Meeting on 13 October 2017. The meaning of the shareholder agreement and the minority ownership structure is that the company allocates all projects in the Group (with the exception of hotel projects) to the jointly-owned structure and that Fredrik Lidjan AB co-invests in the projects with an ownership share of 8%. The minority ownership structure from 2017 replaced a previous shareholder agreement that was valid between 2015 and 2017 and detailed information about the previously mentioned minority ownership structures appears in Magnolia Bostad's annual report for 2019.

The supplement to the shareholders' agreement only regulates a shortened co-investment period, otherwise the terms of the shareholders' agreement remains unchanged. No further allocation of projects will take place after 1 January 2022.

For more information, please contact:
Fredrik Holmström, Chairman of the Board Magnolia Bostad
fredrik.holmstrom@holmstromgruppen.se
+46 (0)72 720 00 06

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. Magnolia Bostad's shares (MAG) are listed on Nasdaq Stockholm. More information is available at www.magnoliabostad.com/en