By Dominic ChoppingSTOCKHOLM–Samhallsbyggnadsbolaget i Norden said Monday that it has entered exclusive talks to sell its remaining 51% stake in its Nordic education portfolio to Brookfield Asset Management and receive repayment of a SEK14.5 billion Swedish kronor ($1.35 billion) intercompany loan. SBB has now entered talks to sell its remaining stake in SBB EduCo and receive repayment of the intercompany loan it provided as debt financing to SBB EduCo. SBB has been hit by the sharp increase in interest rates and has moved to sell and spin out portions of its property portfolio to raise cash. It has also postponed payment of its dividend, a move it decided to make after an S&P downgrade saw shares sell off and forced the company to shelve plans to launch a rights issue. “A sale of EduCo would entail that SBB enhances its liquidity and is able to reduce its indebtedness,” he said.

Source: Wall Street Journal June 26, 2023 08:50 UTC