Fastighets AB Tornet has previously announced the sale of its subsidiary Malmstaden. Agreements covering all Malmstaden´s properties have now been signed.
Purchase agreements have been signed with:
· The municipal company Hyresbostäder relating to residential properties in central Norrköping.
· A consortium of four local property owners, represented by PricewaterhouseCoopers, relating to the residential properties in central Linköping.
· Keoterra AB, which is owned by the Danish listed company Keops A/S and Althén Pérez & Co, relating to Malmstaden AB which will include the remaining properties with the exception of the shopping centre properties.
In addition, a declaration of intent has been signed with the property company Keops A/S regarding the shopping centre properties Disponenten 2, Linköping, and Johannes 21, Norrköping.
The transactions are based on a total property value of SEK 4,313 million (€ 474.9 million).
The transactions include 128 properties with total lettable area of 580 400 m². The price is 9% above Tornet´s valuation on 31 December 2003 and the net profit, which will be reported in the fourth quarter results, is estimated to exceed SEK 600 million (€ 66 million). There are certain conditions attached to the transactions, mainly concerning financing.
All transactions are expected to be completed this year.
Tornet´s advisers in the transaction have been Leimdörfer Fastighetsmarknad AB and Lehman Brothers Europe Limited.
In addition, Tornet has sold four properties at total sales price of SEK 59 million (€ 6.5 million) and a capital gain of SEK 43 million (€ 4.7 million). Three of the properties are situated in Gothenburg and one in Karlstad.
The sales comply with Tornet´s strategy of winding up its assets and repaying freed-up capital to the shareholders. More information about the properties sold is available on Tornet´s website, www.tornet.se under the heading properties.
Source: Fastighets AB Tornet