The Targets for Nyfosa
Sweden Hemfosa subsidary Nyfosa presents objectives, financial risk limitations and dividend policy.
As set out in the prospectus, Nyfosa’s objectives, financial risk limitations and dividend policy are established as follows.
- Generate long-term high and stable return with a focus on growth.
Growth and profitability targets
- Average annual growth in earnings and the property portfolio of at least 20 percent up to a total property value of SEK 25 billion (excluding shares in joint ventures).
- At least 15 percent return on equity over time, before paid tax.
Financial risk limitations
- Long term, the equity/assets ratio is to amount to at least 25 percent.
- The loan-to-value ratio should not exceed 65 percent.
- The interest-coverage ratio should not fall below a multiple of two.
- Profits generated will primarily be reinvested to leverage business opportunities and achieve the growth target of a total property value of SEK 25 billion, after which a significant portion of the profit will be distributed to the shareholders in the form of dividend, redemption and/or repurchase of shares.