Change of ownership in Koggbron AB (publ) and Malmö Katrinelund 27 AB (publ)

To the holders of the up to SEK 155,000,000 (or its equivalent in NOK and EUR) senior secured callable fixed rate bonds due 2020 (the “Katrinelund Bonds”) issued by Malmö Katrinelund 27 AB (publ) (“MA27 AB”) on 12 December 2017 and to the holders of the up to SEK 650,000,000 senior secured callable fixed rate bonds due 2019 and to the holders of the up to SEK 50,000,000 second lien callable fixed rate bonds due 2019 issued by Koggbron AB (publ) (jointly, the “Koggbron Bonds” and together with the Katrinelund Bonds, the “Bonds”)   

CapRate Malmø 1 AB (”CapRate”) has on 11 November 2020 entered into a share purchase agreement with Melimark AB regarding CapRate’s acquisition of all shares in Bullerforsen Holding AB (”Bullerforsen”). Before CapRate’s acquisition of the shares in Bullerforsen, Bullerforsen had acquired all shares in SEM-System Fritidshus AB and in Koggbron AB and thereby indirectly acquired, inter alia, the properties Malmö Katrinelund 29 and Malmö Katrinelund 30 (which are owned by SEM-System Fritidshus AB) and the shares in Malmö Katrinelund 27 AB (which are owned by Koggbron AB). The properties Malmö Katrinelund 29 and Malmö Katrinelund 30 have been transferred to SEM-System Fritidshus AB by the previous owner in breach of the bond terms but are now within the control of CapRate.
 
CapRate’s intention is to construct additional storeys on the property Malmö Katrinelund 30 which will contain student apartments and to carry out certain renovation works on the existing building on Malmö Katrinelund 29 (the “Project”). CapRate is currently finalizing its offer to the various layers of bondholders in Koggbron AB and Malmö Katrinelund 27 AB. The offer will, inter alia, include a profit sharing arrangement for the bondholders in Koggbron AB and a prolongation request together with payment of accrued interest and a repayment premium for the bondholders in Malmö Katrinelund AB. A formal written procedure will be sent out to all bondholders within short.

Please see full notice from CapRate here.

Intertrust (Sweden) AB as Trustee

Kristofer Nivenius
trustee@intertrustgroup.com