Heimstaden issues EUR 700 million bond

Heimstaden Bostad, a wholly-owned subsidiary of Heimstaden, has issued a EUR 700 million bond in the Eurobond market. The bond was issued within the framework of the company’s EMTN programme and the proceeds were swapped to SEK and NOK through currency swaps.

The bond has a maturity time of 4,5 years and will be used primarily to refinance short-term bank debt, as well as to fund the Heimstaden’s operations.

“We are very pleased that Heimstaden Bostad managed to attract strong demand from existing investors as well as from new investors. The investor base of Heimstaden Bostad as of today consist of 100+ solid investors located in the UK, continental Europe and the Nordics. Considering that the order book was substantially oversubscribed we decided to increase the bond issue from EUR 500 million to EUR 700 million. This bond issue is a proof of that we have managed to establish Heimstaden Bostad in the European capital market and we look forward to be a recurrent issuer of EUR bonds”, says Ingvor Sundbom, CFO Heimstaden, in a press release.

Oskar von Bahr