Swedish property firm Balder has acquired a property at Lilla Torg in central Malmö for SEK 400 mln (EUR 45 mln). The property has an area of ??approximately 11,000 m[sup]2[/sup] and is mostly leased to a hotel operating under the Marriott Renaissance brand.
Swedish property firm Balder has acquired a property at Lilla Torg in central Malmö for SEK 400 mln (EUR 45 mln). The property has an area of ??approximately 11,000 m2 and is mostly leased to a hotel operating under the Marriott Renaissance brand.
The transaction is in line with Balder's strategy to expand its portfolio in attractive locations in Stockholm, Gothenburg and Öresund region.
Balder said it aims to generate SEK 265 mln towards the purchase price from the issuance of 1 million preferred shares at a subscription price of SEK 265 per share. The subscription price is equal to the volume weighted average closing price for Balder's preference shares on the Stockholm exchange during the period 1-30 December. The new shares will be listed on the stock exchange from 30 January 2012. The vendor will in turn offer these preferred shares for sale to institutional investors in Sweden and abroad.
Swedbank Corporate Finance is acting as financial advisor to Balder in connection with the transaction.
Earlier this month, the company announced it has acquired a residential portfolio in Copenhagen in a deal worth EUR 145 mln.
