Hypo Real Estate Bank International AG, a member of Hypo Real Estate Group, has provided a SEK 6,000 million (circa €640 mln) senior and acquisition financing facility to AB Sagax (publ), a listed Swedish real estate company. The transaction was signed on 27 June 2007.
The seven-year facility includes the refinancing of ca SEK 2,500 million (circa €256 mln) and an acquisition facility of ca SEK 3,500 million (circa €384 mln), helping Sagax to continue its successful expansion whilst securing its long-term debt commitment.
Commenting, Harin Thaker, CEO Europe Hypo Real Estate Bank International, said, "We are delighted to strengthen the relationship with one of our most important Swedish clients AB Sagax (publ), by providing a facility that refinances its existing commitments and helps it to develop the business in the future. The transaction clearly demonstrates our commitment to providing quality structured financing in the Nordic region."
Commenting, David Mindus, CEO of Sagax, said, "Long-term debt commitment is a fundamental prerequisite for a successful property business. The new facility will decrease our financial risk and help us capitalize on the opportunities we have identified for further expansion."
Source: Hypo Real Estate