Balder gives results of capped tender offer for capital securities due 2081

By Mary-Katherine Stinson

Lexington, Ky., Oct. 2 – Balder Invest AB announced the results of its cash tender offer for the €500 million subordinated fixed-to-reset rate 5.25-year non-call capital securities due 2081 with a first call date on March 2, 2026 (ISIN: XS2305362951) issued by Fastighets AB Balder, of which €444.1 million principal amount was outstanding, according to a notice.

The company announced it will accept €44.41 million of the tendered securities for purchase, which was previously set as the maximum acceptance amount.

Specifically, the company will accept all non-competitive tender instructions received in full, all competitive tender instructions which specified an offer price below the maximum purchase price in full and competitive tender instructions received which specified the maximum purchase price as the offer price on a prorated basis, subject to the scaling factor of 39.23%.

The current coupon is 2.873%.

Pricing was determined under an unmodified Dutch auction. The minimum purchase price was 68.875.

The company previously announced it would accept for purchase all securities tendered under non-competitive tender instructions if it accepts any securities tendered under competitive tender instructions.

Non-competitive tenders are those that do not specify an offer price or that specify an offer price equal to or below the minimum purchase price. Competitive tenders are those that specify an offer price above the minimum purchase price.

Tender instructions were due by 11 a.m. ET on Sept. 29.

Settlement is expected to be on Oct. 4.

The company said the purpose of the offer is to proactively manage the issuer’s layer of hybrid capital.

BNP Paribas (+33 1 55 77 78 94) and Nordea Bank Abp (+45 6136 0379) are acting as dealer managers for the offer.

Kroll Issuer Services Ltd. (+44 20 7704 0880; attn.: David Shilson / Alessandro Zorza; balder@is.kroll.com; https://deals.is.kroll.com/balder) is acting as tender agent for the offer.

The commercial and residential property developer is based in Gothenburg, Sweden.

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