Balder Acquires Property in Central Malmö and Issues Preference Shares as Partial Payment

Balder Acquires Property in Central Malmö and Issues Preference Shares as
Partial Payment

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PRESS RELEASE
19-01-2012
Balder entered into an agreement on 19 January to acquire the property Rosen 9
located at Lilla Torg in central Malmö. The property has an area of
approximately 11,000 sq.m. and is mostly leased to a five-star hotel operated
under the Marriott Renaissance brand.
The transaction is in line with Balder's strategy of expanding its commercial
portfolio in attractive locations in Stockholm, Gothenburg and the Öresund
region.
The purchase price is approximately SEK 400 million, of which SEK 265 million
will be paid through the issuance of 1,000,000 preference shares at a
subscription price of SEK 265 per share. The subscription price corresponds to
the volume weighted average closing price of Balder’s preference share on NASDAQ
OMX Stockholm during the period 1 December to 30 December 2011, rounded down to
the nearest integer. Possession will take place on 30 January 2012. The Board
therefore intends, pursuant to authorisation from the AGM, to resolve on an
offset issue on the date of taking possession.
Balder has been informed that the seller of the property has agreed to resell
the above 1,000,000 preference shares to Swedbank, which in turn has decided to
offer these preference shares for sale in an offer to the public in Sweden and
to institutional investors in Sweden and abroad.
On account of Swedbank's public offer described above, Balder will prepare a
prospectus and seek approval and registration of the prospectus at the Swedish
Financial Supervisory Authority. The prospectus is expected to be approved and
published on 20 January 2012. The acceptance period for the offer to the public
starts on 23 January 2012 and ends on 1 February 2012 and the acceptance period
for the offer to institutional investors starts on 23 January 2012 and ends on 2
February 2012.
Swedbank Corporate Finance is acting as financial advisor to Balder in
connection with the transaction.
For further information, please contact:
CEO Erik Selin, tel. +46 706 074 790 or
Head of Finance  Marcus Hansson, tel. +46 768 369 848
Balder discloses the information provided herein pursuant to the Swedish
Securities Markets Act and/or the Swedish Financial Instruments Trading Act. The
information was released for publication on Thursday, 19 January 2012 at 14.00
Fastighets AB Balder (publ)
PO Box 53121, 400 15 Gothenburg
Tel: +46 31 10 95 70
Corporate Identity No. 556525-6905, Registered office Gothenburg
www.balder.se
Important information
The information in this press release is not intended, to directly or
indirectly, be distributed, published or made public in Australia, Hong Kong,
Japan, Canada, Switzerland, Singapore, South Africa, the United States or any
other jurisdiction where the distribution of this press release would be
illegal. The distribution of this press release may be restricted by law in
certain jurisdictions and persons who take part of this press release or other
information set out herein should inform themselves of, and observe, any such
restrictions.
The information in this press release does not constitute an offer to sell
shares or solicitation of an offer to buy shares. This press release does not
constitute a prospectus under the Prospectus Directive 2003/71/EG.
The information in this press release does not constitute and is not part of an
offer or solicitation of an offer to buy or subscribe for securities in the
United States. Securities mentioned herein have not and will not be registered
in accordance with the Securities Act of 1933 (the “Securities Act”). Securities
mentioned herein may not be offered or sold in the United States unless they are
registered in accordance with the Securities Act or fall within an exemption in
the Securities Act. There will not be any public offer in the United States
regarding securities.
The information in this press release may not be forwarded or distributed to any
other person and may not be reproduced in any way. The forwarding, distribution,
reproduction or presentation of the information herein, partly or fully, may be
not be permitted. Failure to comply with these instructions may be a breach of
the Securities Act or applicable laws in other jurisdictions.
Fastighets AB Balder is a listed real estate company with a property portfolio
consisting of approximately 50% residential properties and 50 % commercial
properties. Balder's property portfolio had a value of SEK 16.5 billion on 30
September 2011. Balder's shares are listed on NASDAQ OMX Stockholm, Mid Cap.