PPI is a Norwegian real estate group with a long-term strategy of sustainably owning, operating and developing real estate in Norway. The Group's property portfolio consists primarily of social infrastructure properties located in cities across Norway. PPI's business is characterized by strong tenants within the public sector, such as the police, judiciary functions and public health organizations, on long lease contracts and a high occupancy rate.

PPI’s combined run-rate property portfolio consists of more than 368,000 sqm across 61 properties which has an aggregate estimated value of around NOK 9,976 million. The Group has more than 125 public tenants in 26 cities, and hundreds of subcontractors work to ensure that its tenants can fulfill their important societal missions every day. The figures above assume the completion of the SBB Transaction.

PPI and SBB Samfunnsbygg have entered into a share purchase agreement for the sale and purchase of all the shares in five property-owning companies owning in total 13 properties and a section, for an estimated net purchase price of approximately NOK 1,191 million equal to the net asset value on an EPRA NRV-basis and representing a property value for the SBB Properties of approximately NOK 1,640 million. The purchase price for the SBB Properties will be settled by the company through the issuance of new shares to SBB and the completion of the SBB Transaction is subject to the completion of the offering.

The company will as part of the SBB Transaction assume a bank loan of approximately NOK 400 million, that the company will repay immediately after completion of the SBB Transaction and the offering with parts of the net proceeds from the offering. SBB’s Norwegian organisation is to be transferred to the Company, replacing existing management agreements.

The IPO is expected to comprise a primary offering of new shares in the PPI, raising gross proceeds of NOK 1.5 – 2 billion, which will be used to rebalance the Group's capital structure by repaying outstanding debt as well as general corporate purposes.

SBB is the largest shareholder of PPI, currently owning 44.83 percent of the shares in the Company. In order to increase the free float, SBB will not subscribe for new shares in the IPO, but is committed to remain a long-term shareholder.

Subject to receiving the relevant approvals from the Oslo Stock Exchange and the Norwegian Financial Supervisory Authority, as well as prevailing equity capital market conditions, PPI is expecting to have its first day of trading on the Oslo Stock Exchange in early Q2 2024.

Ilija Batljan, interim CEO PPI, comments: “The contemplated IPO represents an important milestone for PPI in our ambition to strengthen the balance sheet and become the leading consolidator in the Norwegian market. As a public company, PPI will improve its visibility, which gives better access to the capital markets and to a broader base of Nordic and international shareholders.”