Bonds
Swedish Property Firm Heimstaden Sells Bond at 8.375% Yield
- Heimstaden tackles near term maturities with key financing
- Heimstaden grappling with subsidiary’s move to cut dividends
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Swedish real estate company Heimstaden AB successfully priced new euro and Swedish krona debt as part of a bid to fend off liquidity pressures intensified by the drying-up of dividends from its subsidiary Heimstaden Bostad, a major European landlord.
The company priced a €430 million ($443 million) euro-denominated tranche at a yield of 8.375%. Final investor bids for the debt due in Jan. 2030 were above €560 million, down from a €600 million peak, according to people familiar with the matter.