Holmström Fastigheter Holding AB (publ) - Initiates a written procedure
Holmström Fastigheter Holding AB (publ) (the "Company") has instructed the agent for the Company's up to SEK 750,000,000 senior unsecured bonds with ISIN SE0015797667 (the "Bonds") to initiate a written procedure requesting that bond investors vote in favor of a proposal to amend the terms and conditions of the Bonds (the"Written Procedure").
Due to unforeseen challenges in the market observed over the past 12-18 months, which mainly relate to interest rate increases and significant headwinds for real estate transactions, the Company currently assesses that it may be difficult to manage the deleveraging of the Group and redeem the Bonds in full at maturity in October 2024 with internally generated cash flow alone. In order to ensure sufficient time for the Company to stabilize its financing and manage current challenges, the Company is seeking certain amendments to the terms of the Bonds, including, but not limited to, extending the final maturity date of the Bonds by two years to 14 October 2026 from 14 October 2024 (the "Proposal"). The Proposal is included in full in the Notice of Written Procedure.
The Company has received voting commitments in support of the request in the written procedure from holders representing approximately 63% of the adjusted nominal amount of the Bonds.
The Agent will deliver the notice of the Written Procedure to all Bondholders on June 28, 2024. The Written Procedure will commence on July 3, 2024 and end on July 17, 2024. To be eligible to participate in the Written Procedure, a person must meet the formal criteria to be a Bondholder on July 3, 2024. This means that the person must be registered in a securities account with Euroclear Sweden AB as a directly registered owner or nominee in respect of one or more Bonds.
Pareto Securities AB and Nordea Bank Abp have been mandated as financial advisors in connection with the written procedure. Roschier Advokatbyrå AB has been mandated as legal advisor.
The notice of the Written Procedure is available on the Company's website(www.holmstromfastigheterholding.se/obligation) and on Stamdata(www.stamdata.com).