Kungsleden divests properties for SEK 600 m, upgrades forecast
Listed Swedish property company Kungsleden AB (publ) has signed an agreement with Diös & Kuylenstierna AB regarding the sale of 11 commercial properties in Malmo, southern Sweden, amounting to approximately SEK 600 m. The sale price exceeds book value by SEK 40 m, and acquisition value by SEK 180 m. This latter amount will be posted to Kungsleden’s profit for calculating dividends for 2007.
The portfolio has lettable floor-space of nearly 31,000 sq.m., primarily consisting of office premises in central Malmö. The rental value is about SEK 47 m.
Kungsleden is scheduled to relinquish possession on 1 July 2008.
With this deal, Kungsleden is also upgrading its forecast profit for calculating dividends for the financial year 2007 from SEK 1,800 m previously to SEK 2,000 m.
Commenting, Kungsleden’s Chief Executive, Thomas Erséus said: “Interest in these properties has been great and I am delighted to be able to complete this deal with very satisfactory profits.”
For more information, please contact:
Thomas Erséus, Chief Executive, tel +46 (0)8 503 05204, mobile +46 (0)70 378 2024
Johan Risberg, Deputy Chief Executive, tel +46 (0)8 503 05206, mobile +46 (0)70 690 6565
Kungsleden discloses the information in this press release according to the Swedish Securities Markets Act/and or the Swedish Financial Trading Act. The information was provided for public release on 17 December 2007 at 1.45 p.m. CET.