Real estate company Intea is planning an IPO on Nasdaq Stockholm on December 12 and aims to raise SEK 2 billion in a new share issue. The focus is on continued growth and strengthening the position in social infrastructure.

- "The listing is a natural step in our growth journey. We see a broad interest in our focus on public tenants, says CEO Charlotta Wallman Hörlin.

Intea was founded in 2015 and has a real estate portfolio valued at SEK 22.6 billion in Q3. More than 95 percent of the rental income comes from tenants in the judiciary, higher education, healthcare and other public activities.

- We want to continue to grow with customized and high-quality properties for public tenants, through both acquisitions and development. Geographically, we follow our tenants' needs.

When asked about possible expansion outside Sweden, Charlotta Wallman Hörlin replies:

- "The focus is Sweden, but we do not exclude the Nordic region.

Intea is financed by Swedish institutional capital and has just under 20 owners, including the Svenska Handelsbanken and Volvo pension funds.

Major anchor investors such as Tredje AP-fonden, AFA Försäkring, Swedbank Robur and Länsförsäkringar Fondförvaltning have committed to subscribe SEK 1.13 billion, corresponding to 46 percent of the offering.

The new issue entails a dilution of 21 percent of the capital and 17 percent of the votes.

- Intea has had large and stable investors since its inception. The new ones complement the existing ones in a positive way.

How important is it to bring in private investors as investors?

- We see it as important to get a liquid share.

The company's founders, Christian Haglund and Henrik Lindekrantz, have undertaken to subscribe for around 50 million B shares each. Senior executives, certain board members and employees have also committed to purchase shares for a total of approximately SEK 8 million. The lock-up period is the usual 720 days for A shares and 360 days for B shares.

You have 12,422 shares yourself, will you subscribe to the new issue?

- Yes, I plan to subscribe for more.

How sensitive are you to changes in interest rates?

- We have 74 percent interest rate hedging and work actively with it.

What is the biggest risk going forward?

- As with all real estate companies, we are affected by interest rates, but the operational risk is low.

... and opportunities?

- We have a strong platform and can meet our tenants' need to expand driven by social development.

How do you see dividends going forward?

- The dividend policy is 30-50 percent of income from property management and we see this as a good balance between dividends and growth.

Why should you invest in Intea as a private investor?

- We offer a stable and niche exposure to the real estate market with attractive risk-adjusted returns, concludes Charlotta Wallman Hörlin.


About the offer:

The subscription price for the B-share will be in the range of SEK 38 to 40 per share. The subscription price for the D-share has been set at SEK 27.50, corresponding to a dividend yield of 7.3 percent.

A new share issue of SEK 2 billion through 50-52.63 million new B shares.

The offering is directed to the general public in Sweden and institutional investors in Sweden and internationally.

The application period runs until December 11 and the company expects to raise just over SEK 2 billion if fully subscribed.