Listed Swedish property company AB Sagax has secured a SEK 6 bn (EUR 640 mln) senior and acquisition facility from Hypo Real Estate International. The transaction was signed on 27 June.
Listed Swedish property company AB Sagax has secured a SEK 6 bn (EUR 640 mln) senior and acquisition facility from Hypo Real Estate International. The transaction was signed on 27 June.
The seven-year facility includes EUR 256 mln to refinance debt and a EUR 384 mln acquisition facility for AB Sagax which focuses on warehouses and light industrial commercial properties. Most of the assets are in and around Stockholm and Gothenburg, while two are in Finland.
Ceo David Mindus said: 'Long-term debt commitment is a fundamental prerequisite for a successful property business. The new facility will decrease our financial risk and help us capitalise on the opportunities we have identified for further expansion.’
Mindus told PropertyEU that Sagax made more than EUR 200 mln worth of acquisitions in 2006-2007. Asked whether the company was seeking to expand further in the Nordic region following its Finnish acquisitions, Mindus said: 'We have no set targets for expansion, but we are always looking for opportunities. If there are potential opportunities in Sweden, for example, we would look at them'.
Generally the company makes a few acquisitions every quarter - ranging from about EUR 5 to EUR 40 mln each.
