Troubled SBB Offers to Buy Back Bonds At Big Discounts
- Firm will fund offer with proceeds from a sale to Brookfield
- Buyback prices on some hybrid securities are set at 15 cents
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Embattled Swedish landlord Samhallsbyggnadsbolaget i Norden AB, also known as SBB, said it would use proceeds from an asset sale to Brookfield Asset Management to buy back some of its bonds at discounted prices.
The tender offer envisages prices as low as 15 cents on the euro for some of company’s hybrid securities to 95 for short-dated bonds issued by SBB Treasury Oyj and due in February, according to a filing issued on Thursday. SBB is willing to buy back bonds worth a a maximum of €600 million ($651 million), the filing stated.