The lettable area amounts to 290,000 square meters and is fully leased primarily to the Hedin Bil group on triple net lease agreements. The average maturity of the leases is in excess of eleven years and the initial annual rental income amounts to MSEK 276 (EUR 29M). The vast majority of the property value is located in Stockholm and Gothenburg. The remaining property value is located in, among others, Malmö, Helsingborg, Jönköping, Linköping and Uppsala.

The Hedin Bil group is a family owned business founded in 1985. The Hedin Bil group had a turnover in 2015 of over SEK 8 billion (EUR 837M) with approximately 1,200 employees and offers car sales, service and supplementary services. The Hedin Bil group is a dealer of among others, Mercedes-Benz, Nissan, Kia, Ford, Citroën, Opel, Mitsubishi and Jaguar.

Partial payment for the acquired properties will be paid to Anders Hedin Invest AB through a set-off issue of 4,602,515 ordinary shares of Class B amounting to SEK 1,098,950,000 (EUR 115M). The set-off issue will be decided based on the authorization given by the Annual General Meeting on May 10, 2016. Through the set-off issue, Anders Hedin Invest AB, will become one of Balder’s largest shareholder. The subscription price in the set-off issue will amount to approximately SEK 239 per Class B ordinary share, representing the volume weighted average price of Balder’s Class B ordinary share during the period from August 29, 2016 until September 16, 2016.

The Anders Hedin Invest group comprise, in excess of the Hedin Bil group, of the Klintberg & Way group with the subsidiaries KW Parts, Dawa Däck, KW-Wheels, Techno Tires, KW Cars, Pro-Imp and Wheelspot and in addition, Mabi Hyrbilar, Car to Go Sweden and Hedin IT. The Anders Hedin Invest group’s turnover is approximately SEK 11 billion (EUR 1.15 bn) per annum and has 1,750 employees.

Balder has, based on the authorization given by Annual General Meeting on May 10 2016 in addition engaged Carnegie Investment Bank to investigate the conditions for a private placement of over 3 million Class B ordinary shares through a so-called "accelerated book-building" procedure.

Balder has also resolved to carry out a direct share issue of 3,000,633 Class B ordinary shares at a subscription price of SEK 230 (EUR 24) per share. Through the Issue, Balder will receive proceeds amounting to approximately MSEK 690 (EUR 68M). The subscription price in the Issue has been determined through a so-called “accelerated book-building” procedure led by Carnegie Investment Bank. Subscribers in the Issue are a wide range of Swedish and international institutional investors. The reason for deviation from the shareholders' preferential rights is to diversify the shareholder base and at the same time raise capital in a time efficient manner, in immediate connection with the announcement of the acquisition of all the properties in the I.A Hedin Fastighet AB group.

The Issue result in a dilution of approximately 1.7 per cent in relation to the number of existing ordinary shares in in Balder through an increase in the number of outstanding shares to 175,397,485 (divided into 11,229,432 Class A shares and 164,168,053 Class B shares). Through the set-off issue in connection with the closing of the acquisition of all the properties in the I.A Hedin Fastighet AB group, which is planned to occur on 30 November 2016, the number of Class B ordinary shares will increase with 4,602,515 and hereafter together with the Class B shares from the Issue amount to 168,770,568 and the total number of ordinary shares outstanding will amount to 180,000,000. In addition, Balder has 10,000,000 preference shares outstanding.

In order to facilitate the delivery of shares to the investors in the Issue, Erik Selin Fastigheter AB will lend 3,000,633 Class B shares to Carnegie Investment Bank AB. The shares will be returned after the Issue has been registered with the Swedish Companies Registration Office. 

"We are pleased that we're able to acquire high quality property in prime locations that complements Balder's property portfolio. We welcome Anders Hedin as a new large owner of Balder," says Erik Selin, CEO of Balder.