Magnolia Bostad signed an agreement in March 2018 to enter a JV with Randviken regarding the property Skogskarlen 3 in Bergshamra outside Stockholm. The company was created by Randviken indirectly acquiring half of the shares in the company.
Magnolia Bostad is now divesting its half of the JV to Randviken. Withdrawal will take place during the second half of 2019.
The underlying property value is SEK 290 million before deduction of deferred tax and is in line with its fair value according to the valuation that formed the basis for Q1 2019’s financial statement.
After the sale, Magnolia Bostad will still have the opportunity to develop accommodation or municipal properties on any additional areas on the property. The sale is happening because office development is not part of Magnolia Bostad's business focus.