Brief: Heimstaden Bostad Buys Akelius' Residential Properties

Akelius Residential Property AB (publ)

26/09/2021 19:36

Sept 26 (Reuters) - Heimstaden Ab  HEIMpref.ST :
    * HEIMSTADEN BOSTAD BUYS AKELIUS' RESIDENTIAL PROPERTIES IN
GERMANY, SWEDEN, AND DENMARK
    * TRANSACTION VALUE SEK 92.5 BILLION (EUR 9.1 BILLION) WITH
SEK
2.8 BILLION IN ANNUAL RENTAL INCOME
    * COMMITTED A MINIMUM SEK 8.5 BILLION EQUITY INVESTMENT IN
HEIMSTADEN BOSTAD TO SUPPORT TRANSACTION.
    * CLOSING EXPECTED EARLY DECEMBER 2021 SUBJECT TO MERGER
CLEARANCE
    * HEIMSTADEN - UNIT HEIMSTADEN BOSTAD, BUYS 599 PROPERTIES
WITH
28,776 HOMES CENTRALLY LOCATED IN BERLIN, HAMBURG, STOCKHOLM,
MALMÖ, COPENHAGEN
    * WILL FINANCE DEAL USING CASH AT HAND, SEK 24.8 BILLION IN
NEW
EQUITY AND A SEK 65.7 BILLION BRIDGE FINANCING FACILITY WITH A
2-YEAR MATURITY
    * HEIMSTADEN'S EQUITY INVESTMENT WILL BE FINANCED PRIMARILY
WITH
CASH AT HAND.
    * HEIMSTADEN'S STANDALONE NET LTV IS EXPECTED TO INCREASE TO
25-28% SHORT-TERM WITH A LONGER-TERM GUIDANCE OF 20-25%

Source text for Eikon:  ID:nWkr7xrCfM 
Further company coverage:  HEIMpref.ST 

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