Tender Offer

Heimstaden Bostad AB has launched a tender offer to eligible holders of the company’s outstanding hybrid bonds to repurchase such hybrid bonds for a maximum total consideration of EUR 600 million (the “Tender Offer”). The purpose of the Tender Offer is, amongst other things, to proactively improve the company's financial metrics.

Heimstaden Bostad has five hybrid bonds outstanding:

• EUR 800 million 5.25 Year Non-Call, first reset date 19.02.2025
  (ISIN: XS2010037765)
• EUR 500 million 5.5 Year Non-Call, first reset date 15.04.2026
  (ISIN: XS2125121769)
• EUR 800 million 6.25 Year Non-Call, first reset date 01.05.2027
  (ISIN: XS2294155739)
• EUR 600 million 6.6 Year Non-Call, first reset date 29.01.2028
  (ISIN: XS2357357768)
• EUR 600 million 5.25 Year Non-Call, first reset date 13.01.2027
  (ISIN: XS2397251807)

The Tender Offer will be priced via an unmodified Dutch auction procedure. Expiration of the offer will be 17.00 CET on 15 July 2022 and settlement is expected to be on 26 July 2022. Further details of the offer, including eligibility to participate, the pricing mechanism and the timeline is available in the launch announcement via Euronext Dublin and the tender offer memorandum is available via the tender agent (https://deals.is.kroll.com/heimstaden).

Heimstaden Bostad has retained Deutsche Bank and BNP Paribas as dealer managers and Kroll Issuer Services as tender agent.

Financing – equity commitments

The Tender Offer is backed by firm equity capital commitments targeted for this Tender Offer from several existing shareholders up to approximately EUR 600 million (to be raised in SEK). Heimstaden Bostad will carry out a share issue raising the equivalent amount of equity to the total consideration for the hybrid bonds in the Tender Offer. The share issue is subject to completion of the Tender Offer.

This disclosure contains information that Heimstaden Bostad AB is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 11 July 2022 at 11:28 CET.