Heimstaden - comment

Results of their bond tender was released on Monday, with the Company buying back SEK 562.5m, spending SEK 478m of the SEK 1,000m allocated to the tender.  This is likely to be a disappointment to the Company not to achieve higher levels, with bondholders unwilling at any significant size to tender at 70% and 65% respectively for the April and October 2025 maturities.  

We are surprised that the tender wasn’t more successful at these levels as Heimstaden AB relies on dividends from Heimstaden Bostad to maintain liquidity.