The Norwegian state has sold a big chunk of its majority holding in the Oslo-listed real estate investor Entra for gross proceeds of NOK 2.4 bn (€270 mln).
The sale of 30 million shares was carried out by the Ministry of Trade, Industry and Fisheries through an accelerated book-building process after close of the Oslo Stock Exchange on 14 September.
The disposal, at NOK 83 per share, equates to 16.3% of the total shares and voting rights in Entra, and after the transaction the Norwegian state holds 61.3 million shares, or 33.4% of the company.
Entra was established on 1 July 2000 following a decision by the Norwegian parliament to spin off the office building activity of the Norwegian Directorate of Public Construction and Property (Statsbygg). Entra listed on Oslo Stock Exchange in October 2014.
The shares were bought by about 200 investors, both current and new shareholders, domestic and international. 'The Entra share has performed well since the listing on Oslo Stock Exchange which attracted a number of new shareholders, and the current share price is not far below its all-time high,' said trade and industry minister Monica Mæland. The sale, she added, demonstrated the government's commitment to strengthening private ownership.
Entra is one of the largest real estate companies in Norway. The company owns and manages 1.2 million m2 distributed between 96 properties, mainly located in the broader Oslo area, Bergen, Stavanger and Trondheim. By the end of the second quarter 2016 the real estate portfolio had an estimated market value of NOK 32 bn.
In June this year Entra acquired three office buildings in Oslo for €270 mln, six months after the company teamed up with listed European retail property landlord Klépierre to acquire Oslo City, a retail and office complex located in the heart of the Norwegian capital, for €528 mln. Klépierre took ownership of the retail component, with Entra adding the office space to its portfolio.
