KlaraBo divests properties for €77m to sharpen strategic focus

Swedish real estate company KlaraBo is selling a property portfolio in Sweden for SEK 897 mln (€77.5 mln) to Episurf Medical.

Andreas Morfiadakis

The portfolio consists of 164 assets, including residential properties in Bollnäs, a shopping centre in Västervik and two properties in Trelleborg.
This move helps KlaraBo concentrate its real estate portfolio on key strategic areas like Trelleborg, Helsingborg, Visby, and Östersund.
The sale, which is slightly below the latest valuation, will increase KlaraBo's real occupancy rate to 97.6% and its economic occupancy rate to 93.9%. KlaraBo will receive SEK 361 mln (€31.2 mln) for the shares, partly through a secured promissory note and partly through B shares in Episurf Medical. KlaraBo will also provide a SEK 14 mln (€1.2 mln) cash loan to the buyer to cover operating costs, repayable under the same terms as the promissory note.
This transaction reduces KlaraBo's rentable space by 57,250 m2 and its residential portfolio by 625 apartments, leaving it with 6,806 apartments. After the sale, KlaraBo's strategic cluster locations will make up 53% of its portfolio (up from 50%), and residential properties will increase from 89% to 91% of its portfolio.
The sale is contingent on the buyer securing partial financing, approving a change in its articles of association to include property management, and receiving approval from the Strategic Products Inspectorate. The transaction is expected to close in the first half of 2026.
KlaraBo CEO Andreas Morfiadakis stated: “The transaction is a continuation of our streamlining, which means that the portfolio is increasingly optimised in line with our value-creating business model. By focusing on our cluster locations, with their strong foundations, the possibility of profitable renovations and economies of scale, we strengthen the conditions from a management and cost perspective.” 
Episurf's chairman of the Board, Ulf Grunander, added: “The acquisition represents a clear step forward in our new growth journey and more than doubles our property portfolio, with a combination primarily of residential properties, but also care and retail assets. We are strengthening our position in areas where we are already active, creating a more cohesive portfolio and good prerequisites for efficient property management. At the same time, we are broadening our revenue base and building a more stable portfolio, fully in line with our ambition to grow with a continued focus on cash flow and returns.” 
Tango Capital Markets and Setterwalls advised KlaraBo in the transaction.