Oscar Properties faces bankruptcy application over settlement dispute (updated)

Oscar Properties Holding AB

22/07/2024 08:42

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       July 22 (Reuters) - Sweden's Oscar Properties  OP.ST 
said on Monday that Brf Innovationen, a housing cooperative, had
filed an application for the real estate firm to be declared
bankrupt, citing a breach of a settlement agreement.
    Oscar Properties said in a statement that it disputes the
bankruptcy application and may seek formal restructuring in its
court response.
    It had previously evaded bankruptcy in a similar situation,
when Brf Innovationen retracted its earlier application in
January after the companies reached a settlement.
    Oscar Properties' stock has lost more than 99% of its value
since peaking in 2017. Rising interest rates and slowing demand
have left property companies with large debts from loans they
took out when borrowing costs were low.

 (Reporting by Jesus Calero in Gdansk; editing by Milla Nissi)
 ((jesus.calero@thomsonreuters.com))