Castellum announced on 13 April, 2016, that the Company has acquired Norrporten AB and resolved on a rights issue and an issue in kind to finance part of the acquisition. The outcome of the rights issue was announced on June 14, 2016. Castellum has on wednesday gained access to 100 percent of the shares in Norrporten and has, following the preliminary purchase price set-off, paid SEK 10.4 billion in cash and issued and transferred 27,201,166 consideration shares, equivalent to SEK 3.1 billion based on the closing price of the Castellum’s shares on June 14, 2016.
With support of the issue resolution provided by the extraordinary general meeting of May 20, 2016, Castellum’s board of directors have approved an issue in kind to the Second and Sixth Swedish National Pension Funds of 19,194,458 consideration shares as well as, with the authority provided by the annual general meeting of March 17, 2016, resolved on the transfer of 100 percent of the previously repurchased shares, equivalent to 8,006,708 shares.
Castellum’s repurchased shares were acquired in 2000 for a total purchase consideration of SEK 194 million. Following the transfer the Company has no repurchased shares.
Through the issue in kind, Castellum’s share capital, following the effects of the rights issue which outcome was announced on June 14, 2016, increases by SEK 9,597,229 from SEK 127,003,354 to SEK 136,600,583 and the total number of registered shares increases by 19,194,458 from 254,006,708 to 273,201,166 registered and outstanding shares when the issue in kind is registered by the Swedish Companies Registration Office.
“Together we create an even stronger real estate company with larger presence in important growth markets in Sweden and Copenhagen,” says Henrik Saxborn, Castellum CEO.
“Norrporten and Castellum have many similarities; among them is the close collaboration with customers. We can use the best of each respective organization’s knowledge and experience and thereby create shareholder value.”
Pangea Property Partners acted as financial advisor to Castellum.
Over recent years, Pangea Property Partners has been the leading real estate M&A advisor in the Nordics with credentials even including the region’s largest transactions in 2013, 2014, 2015 and so far in 2016:
• 2016 YTD: Castellum’s acquisition of Norrporten, property value SEK 26.2bn (EUR 2.8bn)
• 2015: Citycon’s acquisition of Sektor Gruppen, property value EUR 1.5 bn (NOK 13.7bn)
• 2014: Starwood Capital Group’s acquisition of Sveareal and Fortin, property value SEK 11.5bn (EUR 1.2bn)
• 2013: Kungsleden’s sale of Hemsö, property value SEK 11.5bn (EUR 1.2bn)
During 2015 and the first part of 2016, Pangea Property Partners has advised on about 70 transactions with an underlying property value of €11bn, including Norwegian Property’s sale of three properties to Entra for NOK 2.5 billion, the largest property transaction in Norway so far in 2016.
Castellum Gains Access to Norrporten
Sweden — Castellum gains access to Norrporten and resolves on issue in kind and transfer of repurchased shares. <br /> “Together we create an even stronger real estate company with larger presence in important growth markets in Sweden and Copenhagen,” says Henrik Saxborn, Castellum CEO.