Nyfosa AB (publ) signed a letter of intent with Samhällsbyggnadsbolaget i Norden AB (publ), or SBB, to acquire property portfolios worth about 8 billion Swedish kronor.

SBB said it is holding discussions regarding the sale of its property portfolios valued at approximately 11 billion kronor. The portfolios mostly comprise office properties in Sweden.

Nyfosa said it will update the market regarding the deal and its financing when the terms of the acquisition are agreed.

The companies intend to enter into binding agreements on acquisitions in March 2020.

SBB said letters of intent covering sales of 10 billion kronor have been entered into as of Jan. 17.

SBB will use the proceeds from the sale to repay bank loans.

As of Jan. 17, US$1 was equivalent to 9.52 Swedish kronor.