NCC: Bonava Sells Rental Units in Linköping and Karlstad

Regulatory News:

NCC (STO:NCCA) (STO:NCCB)

NCC’s subsidiary Bonava (formerly NCC Housing) is selling a total of 352 newly developed Nordic Swan ecolabelled rental units in Linköping and Karlstad to the housing company Willhem. The sale is being carried out in the form of a company transaction at a value of SEK 595 M.

"We are delighted to be developing new Nordic Swan ecolabelled rental units in Karlstad and Linköping. Our goal is to deliver high-quality residential environments with sustainable housing with various forms of tenure. Rental units are an important and growing part of our business,” says Joachim Hallengren, CEO of Bonava.

In Linköping, 131 housing units are currently being built in Södra Ekkällan, a popular housing area under development by NCC since 2006. The first tenants will take up occupancy in the summer and the project will be completed in the first quarter of 2017.

In Karlstad, 221 housing units will be built in Rudsberget. The first tenants will take up occupancy in the first quarter of 2018 and the project will be completed in the fourth quarter of 2018.

"This acquisition will allow us to grow in two attractive locations where we are already a major player in the housing market, which is positive. Newly produced rental units with an environmental profile are a good fit with our existing portfolio and this acquisition has further expanded our offering to the market in Karlstad and Linköping,” says Mikael Granath, CEO of Willhem.

The transaction will be recognized in profit during the first quarter of 2017 and the fourth quarter of 2018. Bonava is responsible for leasing and has provided the customary rental guarantees to the buyer.

This is the type of information that NCC could be obligated to disclose pursuant to the Securities Market Act. The information was issued for publication on May 17, at 8:00 a.m.

About NCC. Our vision is to renew our industry and provide superior sustainable solutions. NCC is one of the leading construction, property development and infrastructure companies in Northern Europe, with sales of SEK 62 billion and 18,000 employees in 2015. The NCC share is listed on Nasdaq Stockholm.

This information was brought to you by Cision http://news.cision.com

View source version on businesswire.com: http://www.businesswire.com/news/home/20160516006779/en/