Press Release
June 8, 2001
STOCKHOLM, Sweden -- Pandox AB (publ) acquires the hotel properties Mr. Chip in Kista, Stockholm north and Hotell
Hogvakten in Helsingborg.
The acquisition price, including acquisition costs, for the hotel property Mr. Chip amounts to MSEK 124. Operating
net, on a twelvemonth basis, is estimated to MSEK 11, resulting in a yield of 9.0 percent. Mr. Chip is part of
the northern Stockholm hotel market that presently has an occupancy of about 67 percent. The hotel is strategically
located in Kista, one of the most expansive areas of Stockholm and a center for IT and Telecom companies. The hotel
was built in 1984 and has 150 rooms, conference center, restaurant and bar. It is operated by a private operator
with a revenue-based lease with guarantee.
The hotel property Hotell Hogvakten is acquired for MSEK 18.5, inclusive of acquisition costs. Yield is estimated
to 9.0 percent. Hotell Hogvakten is part of the Helsingborg city hotel market that presently has an occupancy of
approximately 61 percent. The hotel has 42 rooms and is located in central Helsingborg, adjacent to the Radisson
SAS Grand Hotel hotel property, also owned by Pandox.
As a result of the acquisitions, Pandox income before tax, on a twelvemonth basis, will increase by MSEK 2.6, equalling
SEK 0.10 per share. Cash flow per share increases by SEK 0.16.
Pandox has now acquired two hotel properties and sold three in 2001. The transactions contribute to successively
increase the quality of the hotel property portfolio regarding locality, revenue and future potential.
``Pandox continues to act according to its strategy. The acquisitions immediately improve Pandox income and cash
flow per share. Mr. Chip is the tenth hotel property owned by Pandox in Stockholm and improves Pandox revenue structure
in one of the strongest hotel markets in Europe Hotell Hogvakten ensures the presence of Pandox in one of Pandox
priority markets, Helsingborg,'' says Anders Nissen, CEO, Pandox AB.
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The following files are available for download: http://www.bit.se/bitonline/2001/06/07/20010607BIT01150/bit0001.doc
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Contact:
Pandox AB
Anders Nissen, 08-506 205 50, 0708-46 02 02