D. Carnegie & Co AB announces changes in management

Christian Tapper has been appointed to Head of Property Refurbishments with responsibility for D. Carnegie & Co AB’s refurbishment process. Christian was previously employed at PEAB. For...

Continued strong growth in profit and equity in the third quarter

D. Carnegie & Co AB (publ) reports for the third quarter of 2016 a sharp increase in profit before tax up SEK 434 million - up 115 percent compared with the same quarter last year. Also income from property management was considerably higher, SEK 176 million, compared with SEK 91 million for the third quarter of the previous year. This is a direct sign of improved financial results from the intensive investment activities performed by D. Carnegie & Co. Earnings per share after tax were SEK 4.71 (2.71). The adjusted equity (EPRA NAV) increased 51 percent compared to the same quarter 2015 and amounted to SEK 91.26 per share (60.53) as of September 30, 2016.

D. Carnegie & Co postpones 2016 Capital Markets Day to a later date, to be announced

D. Carnegie & Co AB (publ) – listed on Nasdaq Stockholm – postpones its Capital Markets Day to a later date, to be announced. The previously planned date was November 9, 2016. This decision was made due to the recent mandatory tender offer from Vega Holdco Sarl (”Vega Holdco”), an entity wholly owned by real estate funds advised by affiliates of the Blackstone Group L.P, and the restricted disclosure of information the bid implies.

Invitation to D. Carnegie & Co’s Capital Markets Day, November 9, 2016

D. Carnegie & Co AB (publ) – listed on Nasdaq Stockholm – invites to its annual Capital Markets Day, Wednesday November 9, 2016. In addition to a general company presentation the main topics will be focused on D. Carnegie & Co’s value creating refurbishment method and a presentation from the company’s new principal shareholder, Blackstone.

BLACKSTONE ACQUIRES 40 PER CENT OF THE VOTING RIGHTS AND 32 PER CENT OF THE SHARE CAPITAL IN D. CARNEGIE & CO AT A PRICE OF SEK 100.00 PER SHARE

Vega Holdco Sarl ("Vega Holdco"), an entity wholly owned by real estate funds advised by affiliates of the Blackstone Group L.P. (together with its affiliates, "Blackstone"), has completed acquisitions of shares in D. Carnegie & Co AB (publ) ("D. Carnegie & Co" or the "Company") corresponding to 40 per cent of the voting rights and 32 per cent of the total number of shares in D. Carnegie & Co.

BLACKSTONE UPDATES ITS PROPOSAL FOR ELECTION OF BOARD MEMBERS AHEAD OF EXTRAORDINARY GENERAL MEETING IN D. CARNEGIE & CO AB (PUBL) ON 14 OCTOBER 2016

D. Carnegie & Co AB (publ) (“D. Carnegie & Co” or the “Company”) has been informed by Vega Holdco Sarl (“Vega”), controlled by Blackstone and holder of approximately 28.61 percent of the total number of outstanding shares in the Company, that Vega wishes to update its proposal to the extraordinary general meeting on 14 October 2016 regarding the election of board members. The updated proposal entails that James Seppala replaces Andrew Lax as proposed board member and chairman of the board. Svein Erik Lilleland remains the second proposed board member and no other changes are made to Vega’s proposals, announced on 21 September 2016.

D. Carnegie & Co included European indices

D. Carnegie & Co´s (publ) share - listed on Nasdaq Stockholm – has been included in the indices IEIF Europe and IEIF Continental Europé, since the indices has been...

D. Carnegie & Co updates share register

D. Carnegie & Co. (publ) – listed at Stockholm Nasdaq – has updated its share register after Blackstone Real Estate Partners Europe IV and Blackstone Real Estate Partners VIII ("Blackstone") took over as the largest owner of the Company. The largest owners of D. Carnegie & Co constituted per September 15, 2016 of:

Comment to the first completion of Blackstone’s acquisition of shares in D. Carnegie & Co and request for an extraordinary shareholders’ meeting

D. Carnegie & Co AB (publ) (”D. Carnegie & Co” or the “Company”) notes that a first completion of the acquisition of shares in the Company that was announced by the Company on 15 July 2016 and 25 August 2016 has taken place. As can be seen in the updated ownership summary on the Company’s website, the buyer Blackstone Real Estate Partners Europe IV and Blackstone Real Estate Partners VIII (jointly “Blackstone”) now, through its entity Vega Holdco Sarl, holds 1,654,286 shares of series A and 20,463,264 shares of series B, corresponding to 29.09 per cent of the votes and 28.61 per cent of the share capital in the Company.

Comment in relation to Blackstone’s announcement

Comment in relation to Blackstone’s announcement that the conditions precedent to acquire 40 per cent of the voting rights and 32 per cent of the share capital in D. Carnegie & Co AB (publ) have been fulfilled

Comment in relation to agreements between Blackstone and three shareholders in D. Carnegie & Co AB (publ)

D. Carnegie & Co AB (publ) (”D. Carnegie & Co” or the “Company”) has noted that today, on 15 July 2016, Blackstone Real Estate Partners Europe IV and Blackstone Real Estate Partners VIII (jointly “Blackstone”) have announced that agreements regarding transfer of shares at a price of SEK 100 per share and exercise of voting rights have been reached between Blackstone, through its entity Vega Holdco Sarl, and three of D. Carnegie & Co:s largest shareholders Kvalitena AB (“Kvalitena”), Svensk Bolig Holding AB and Frasdale Int. BV (“Frasdale”). D. Carnegie & Co has also noted that the transfers and the grant from Kvalitena and Frasdale of the right to exercise the voting rights of their remaining shares in D. Carnegie & Co, provided that certain conditions are fulfilled and the shares are transferred, will result in Blackstone holding 40 percent of the voting rights and 32 percent of the share capital and controlling 53 percent of the voting rights in the Company. Provided that the transfers are completed, Blackstone will thus become the new controlling shareholder in the Company and obliged to launch a bid for all the remaining shares in the Company at a price of not less than SEK 100 per share in accordance with applicable takeover rules. 

Continued strong growth in profit and equity in second quarter

D. Carnegie & Co AB (publ) reports for the second quarter of 2016 a sharp increase in profit before tax of SEK 504 million - up 141 percent compared with the same quarter last year. Also income from property management was considerably higher, SEK 72 million, compared with SEK 45 million for the second quarter of previous year. Earnings per share after tax were SEK 5.02 (2.34). The adjusted equity (EPRA NAV) increased 51 percent compared to the same quarter 2015 and at 30 of June 2016 amounted to SEK 85.05 per share (56.38).

D. Carnegie & Co repays convertible subordinated loans

D. Carnegie & Co AB (publ) – listed on Nasdaq Stockholm – has today carried out the previously announced repayment of three convertible subordinated loans. The repayment is made in...

D. Carnegie & Co makes substantial environmental investments – Reduces energy consumption by 25 percent

D. Carnegie & Co (publ) - listed on Nasdaq Stockholm – is planning over a five year period to invest about SEK 900 million to reduce energy consumption in the company's properties. Investments are made in modern technology for energy recovery and measures to adjust the properties so that the heat is distributed evenly. In addition, D. Carnegie & Co is going to invest in geothermal heating to produce energy, which means that consumption goes down by about a third. In connection with the investment the company plans to recruit a number of operating engineers.

D. Carnegie & Co divests property to tenants – Sale price corresponds to 16 850 SEK/sq. m.

D. Carnegie & Co (publ) – listed on Nasdaq Stockholm – has signed an agreement to divest a residential property to a private housing cooperative. The sale of the property in Rinkeby is completed at an underlying property value of SEK 43 million, corresponding to SEK 16 850 per square meter living area. The underlying property value exceeds the latest market valuation by 88%.

D. Carnegie & Co AB (publ) lists bonds on Nasdaq Stockholm

As previously communicated, the board of directors of D. Carnegie & Co AB (publ) (”D. Carnegie & Co”) has resolved to list bonds on Nasdaq Stockholm. Nasdaq Stockholm has approved D. Carnegie’s application for admission to trading of the bonds and the first day of trading is today, 3 June 2016.  

D. Carnegie & Co included in two new indices – the Nasdaq Nordic VINX Benchmark Index and the EPRA European Index

D. Carnegie & Co (publ) - listed on Nasdaq Stockholm – has been included in the NASDAQ Nordic VINX Benchmark Index as of 1 June this year. The VINX Benchmark Index include the largest and most actively traded stocks on Nordic Exchanges. The weight in the index is based on the portion of the shares available for trading, ie. the so called free float.

Yet another quarter of strong growth in earnings and shareholders’ equity

D. Carnegie & Co AB (publ) reports for the first quarter of 2016 a sharp increase in profit before tax of SEK 263 million - up 446 percent compared with the same quarter last year. Also income from property management was considerably higher, SEK 37 million, compared with SEK 2 million for the first quarter of last year . Earnings per share after tax were SEK 3.47 (0.69). The adjusted equity (EPRA/NAV) increased 47 percent compared to the same quarter 2015 and at 31 of March 2016 amounted to SEK 79.79/share (54.25).

Carnegie performs rebranding – Graflunds becomes D. Carnegie & Co

Residential real estate company D. Carnegie & Co AB’s (publ) - listed on Nasdaq Stockholm – property portfolio which has so far been managed under the name Graflunds will now be managed under the name D. Carnegie & Co. This means that those who live in the company's approximately 16 000 apartments in the “Million Homes Programs” will be able to get to know D. Carnegie & Co. The rebranding is done during the spring of 2016.

D. Carnegie & Co has issued bonds of MSEK 1,000

D. Carnegie & Co AB (publ) – listed on Nasdaq Stockholm – has issued senior unsecured bonds in the amount of MSEK 1,000 with a tenor of three years. The bonds will carry a floating interest rate of 3m STIBOR + 400 basis points with final maturity in April 2019. The framework amount of the bonds is MSEK 1,000.

D. Carnegie & Co purchases property portfolio in Eskilstuna

The residential property company D. Carnegie & Co AB (publ) - listed on Nasdaq Stockholm – has entered into an agreement to acquire a property portfolio in Eskilstuna. The sellers are Prubor Förvaltning AB. The portfolio consists of six properties and comprises of 136 apartments with a total rental value of approximately SEK 10 million. The agreed underlying property value is SEK 115,5 million. The transaction is being carried out as a company deal with closing in July, 2016.

IFK Norrköping arena renamed to Östgötaporten – D. Carnegie & Co’s subsidiary Östgötaporten enter sponsorship

The housing company D. Carnegie & Co. - listed on Nasdaq Stockholm - through its subsidiary Östgötaporten AB signed a five-year sponsorship agreement with the Swedish champions in football, IFK Norrkoping through its subsidiary Park Event & Aréna AB. The agreement means that the arena Nya Parken is renamed to Östgötaporten. The deal also means that Östgötaporten sponsors the CSR project Lagandan aimed at positive social development by improving integration, health and community in Norrköping.

D. Carnegie & Co purchases property portfolio in Katrineholm

The residential property company D. Carnegie & Co AB (publ) - listed on Nasdaq Stockholm – has entered into an agreement to acquire a property portfolio in Katrineholm. The sellers are Fastighets AB L E Lundberg and Byggnads AB Karlsson & Wingesjö. The portfolio consists of 19 properties and comprises 717 apartments with a total rental value of approximately SEK 60 million. The agreed underlying property value is SEK 617.5 million. Following deductions for deferred taxes, the corresponding figure is SEK 586.7 million. The transaction is being carried out as a company deal with closing on May 2, 2016.

Significant boost in profit and equity

D. Carnegie & Co reports a significant boost in profit before tax, which rose from SEK 307 million in 2014 to 1 402 million in 2015 – an increase by 360%. Income from property management also grew significantly, reaching SEK 186 million (42), up 342%. Net Profit per share was SEK 16,10, up 235% compared to last year. Adjusted equity (EPRA/NAV) rose by 41 % in 2015 and amounted to SEK 73,50 per share at year end (51,99)

D. Carnegie & Co has entered into an agreement regarding repayment of convertible subordinated loans – Reduces dilution and improves financial net

In order to preven dilution of shares due to conversion of convertible subordinated loans in D. Carnegie & Co AB (publ) (the ”Company”) – listed on Nasdaq Stockholm – the Company has entered into a repayment agreement (the “Agreement”) with the creditor, Svensk Bolig Holding AB (“SBH”), on repayment of the subordinated loans. The Company will also pay SBH a market-based compensation for the value of the option. As part of the financing of the repayment, the Company will convene an extraordinary general meeting to authorize an issue of new.

D. Carnegie & Co completes divestment of Gothenburg residentials

D. Carnegie & Co AB (publ) - listed on Nasdaq Stockholm - has completed the sale of the residential properties Hammarkullen in Gothenburg. With the transaction D. Carnegie & Co add approximately SEK 250 million in cash after repayment of loans. The buyer is the residential company of the city of Gothenburg, better known as Bostadsbolaget.