The board of directors of Samhällsbyggnadsbolaget I Norden AB (publ) (“SBB” or “the Company”) has on 19 July 2017 resolved, pursuant to the authority granted by the annual general meeting of shareholders held on 27 April 2017, to issue 35,000,000 warrants. Phoenix Insurance Company (“Phoenix”) has on 23 July 2017 subscribed for all the issued warrants. Each warrant entitles to subscription of one ordinary share of Class B in the Company during the period from and including the date on which the issue of warrants is registered with the Swedish Companies Registration Office up to and including the day five years thereafter, at an exercise price of SEK 7.40.

The Company and Phoenix Insurance Company have agreed that the Company shall repurchase 17,500,000 warrants for a total purchase price of SEK 93.07m. According to the agreement, SEK 85.75m of the purchase price for the warrants shall be paid in cash and the remaining purchase price of SEK 7.32m shall be paid by a new issue of 600,000 ordinary shares of Class B in the Company in favour of Phoenix Insurance Company (SEK 12.2 per share).

As a part of the agreement, Phoenix Insurance Company has undertaken to immediately apply for subscription of shares in the Company regarding the remaining 17,500,000 warrants at an adjusted exercise price of SEK 7.30.

Following the subscription of the 17,500,000 warrants and the new issue of 600,000 ordinary shares of Class B, the Company will receive SEK 135,07m and the share capital will increase by SEK 1.81m, corresponding to a dilution, based upon the number of outstanding shares as of today, of approximately 2.4 percent of the share capital and approximately 0.7 percent of the votes in the Company.