One of Denmark’s largest privately owned real estate companies, DADES, gets two new major shareholders. Novo A/S and TryghedsGruppen acquire a combined total of 49.2% of the company’s share capital.

The sellers are Realdania, Lønmodtagernes Dyrtidsfond, Nykredit, Forsikringsselskabet Alm. Brand Liv & Pension A/S, Pensionskassen for Teknikum‐ og Diplomingeniører, Danske Bank, Juristernes-og Økonomernes Pensionskasse and Bevica Fonden.

After the completion of the transaction, Aase og Ejnar Danielsens Fond will remain the largest shareholder with 47.3%. Novo A/S will own 37.0% and TryghedsGruppen 12.2%, while BRFkredit and managing director Boris Nørgaard Kjeldsen will own the remaining minority shares.

DADES ("Det Alm. Danske Ejendomsselskab A/S”) was founded in 1937 and has a property portfolio at a value of DKK 16.9 billion by the end of 2014, almost equally divided between commercial properties primarily in the Copenhagen area and shopping centres throughout the country. In addition, DADES owns DETEA, a leading Danish property management firm with around 400 employees and annual revenues of DKK 300 million.

The change of ownership is combined with an undertaking from Novo A/S and TryghedsGruppen to contribute additional capital to the company totalling approximately DKK 1.7 billion for the purpose of real estate investments.

“DADES has a unique platform with our significant property portfolio combined with a leading property management firm. The change of ownership and the capital commitment will strengthen our two core segments - commercial properties and shopping centres - and allow us to establish residential properties as a third segment,” said Boris Nørgaard Kjeldsen, CEO of DADES.

“We step in as owner of DADES with a long-term investment view and the objective to contributing to support the growth and value of the company,” said Bjarne Graven, CFO of Novo A/S.

“DADES is a significant player in the Danish property market with a good growth potential. That was in our opinion an attractive investment opportunity, and we are looking forward to developing DADES further together with the foundation, Novo A/S and the management,” said Robert Neumann, CIO of TryghedsGruppen.

Chairman of Aase og Ejner Danielsens Fond, Oluf Engell, adds: “The foundation is very pleased with prospects of this transaction as DADES is the lifework of our founder. The transaction brings a renewed perspective for DADES and gives the two new investors a solid platform for future investments in real estate -  a by all means solid basis for a positive partnership between the main shareholders.”