News

Swedens Balder Buys Entra Stake, but wont Join Takeover

0

Swedish real estate firm Balder has bought a 5 stake in Norways Entra but has no plans to join an ongoing takeover battle for the Oslolisted firm, it said on Monday.

Two other Swedish real estate firms, SBB and Castellum, are both bidding for Entra, Norways largest listed real estate company.

We prefer Entra to remain a listed company on the Oslo Bourse, Balder Chief Executive Erik Selin said in a statement.

We see Entra as a longterm investment and do not plan to bid for the whole company, Selin said.

The bidding war over Entra broke out on Nov. 24 when SBB launched an unsolicited offer of 30 billion Norwegian crowns 3.4 billion and was shortly followed by a Castellum bid of 30.8 billion.

The exact value of the bids will however fluctuate over time as they both consist of a mix of cash and stock.

The broad and increasing interest in Entra over recent weeks supports the boards previously stated view that Entra is well positioned to create significant shareholder value going forward, the company said in a statement on Monday.

Entra expects to release an updated valuation of its real estate portfolio later this week.

Entra at first rejected both bids, arguing it would prefer to stay independent, but then said it would consider Castellums approach.

The Norwegian government has agreed to sell its 8.24 stake in Entra to Castellum, with the caveat that the price for the states shares must be increased if Castellum were to raise its bid.

Nordic brokers Carnegie have…

European Govt Bond Yields Drop, Brexit Deal Hopes Take Hit

Previous article

Nasdaq Closes at Record High as Growth Names Get Lift

Next article

You may also like

Comments

Leave a reply

Your email address will not be published. Required fields are marked *

More in News