Bonava Norge AS, a wholly owned subsidiary of Bonava AB (publ), has today entered an agreement to acquire all shares in Urbanium AS. Urbanium has since 2003 developed and sold residential units in Oslo as well as in central suburban regions around Oslo. The company has over the last years, bought and developed an attractive land portfolio with potential to complete close to 1,000 residential units over the coming seven years. Currently, a project of about 50 apartments is in production with estimated completion in early 2021. Urbanium has 7 full-time employees and revenues of approximately NOK 247 [1] million in 2018.

Bonava’s ambition is to integrate the company’s existing organisation and continue to develop its market position in Oslo. The transaction strengthens Bonava’s position in Norway, where Bonava at present only operates in Bergen.

"Urbanium has an attractive land portfolio with projects in line with Bonava’s ambition to develop neighbourhoods and affordable homes which more people have the opportunity to live in. This combined with good market conditions, such as population growth, urbanisation, as well as a residential shortage paired with a strong demand, makes us see a large potential for value creation," says Joachim Hallengren, President and CEO of Bonava.

The acquisition of Urbanium requires approval from the Norwegian competition authority. The transaction is expected to close in the fourth quarter of 2019.