Swedish SBB Engages in Discussions to Sell Stake in Troubled Fund

Swedish Samhällsbyggnadsbolaget i Norden, or SBB, is a large landlord that is currently facing a crisis due to an $8 billion debt pile. SBB is in talks about selling its 51 percent stake in the SBB fund. The company has initiated a strategic review that could result in “a sale of the company, business segments, or specific assets, as well as other strategic transactions” . SBB has already sold a stake in real estate developer JM AB for 2.8 billion kronor to raise funds. The company has also pledged to sell 6 billion Swedish kronor ($556 million) of assets to cut leverage.

The sale of the company would mark a major reversal of fortunes for SBB’s Chief Executive Officer Ilija Batljan, who in seven years built up a $13 billion portfolio of social housing and municipal properties across the Nordic region.