Serneke has reached an agreement-in-principal to divest a majority stake of Karlatornet to Oaktree
Serneke has reached an agreement-in-principle with Oaktree Capital Management ("Oaktree") to divest 80 per cent of Karlatornet, situated on the Karlastaden estate in the Lindholmen area of Gothenburg. Serneke will remain as a shareholder in Karlatornet and continue to act as main contractor for the construction of the tallest building in the Nordic region.
"This agreement naturally represents a huge milestone for the continued development of Karlastaden and for all of Serneke. This is something we have worked extremely hard to achieve for a long time. We are very pleased that we have reached a principle agreement with Oaktree that, once closed, offers a robust financial solution and a high-quality realization of the Karlatornet project," says Ola Serneke, CEO of Serneke Group.
Oaktree and Serneke will, according to the agreement-in-principal, co-own and jointly develop the Karlatornet project into a unique destination in Gothenburg, composing about 95,000 square meters and more than 600 residential apartments, a 300-key Clarion Choice Hotel, more than 8,000 square meters of office and retail spaces and an observation deck. The total project value is estimated to exceed SEK 6 billion.
Oaktree is an international investment company with operations in 14 countries worldwide and headquarters in Los Angeles. With total capital under management of about USD 120 billion, Oaktree has an extensive experience of high-end real estate development projects.
Serneke will continue to act as main contractor for the Karlatornet project and enter into a turn-key contract with an order value in excess of SEK 3 billion, which will be added to Serneke's order backlog in the quarter the transaction closes. The transaction is expected to have a positive effect on operating profit and generate positive cash flow.
Closing of the transaction is conditional upon finalization of senior financing and transaction documentation and customary conditions that are all due to be completed during the first months of 2020. Serneke and Oaktree have agreed financing terms with an international bank regarding the senior financing, which will provide all remaining funds to complete the project.
Following a transaction, Serneke remains as sole owner of the remaining building rights in Karlastaden, consisting of approximately 150,000 square meters of mixed-use development divided into seven blocks. Serneke will now explore different possibilities for completing the development of the remaining Karlastaden, which involves intensifying dialogues with potential investment partners.
Pangea Property Partners and Setterwalls Advokatbyrå act as advisers to Serneke in the transaction.

Robin Gerum
- Business Development Manager
-
Send email
- Rosenlundsgatan 50, 118 63 Stockholm
- 0725-66 76 00

Johan Live
- Public Relations Manager
-
Send email
- Kvarnbergsgatan 2, 411 05 Gothenburg
- +46(0)768-68 11 37
Current news
- 6/12/2023 Doxa calls for compulsory redemption and Serneke applies for delisting
-
3/16/2023
Serneke to construct train depot in Falköping
Serneke has signed a contracting agreement with Intea Fastigheter AB (publ) to build a new train dep...;
-
1/12/2023
Serneke to build 129 apartments in Lund
Serneke has signed a turnkey contract with municipal housing company LKF in the university city of L...;
-
1/4/2023
Serneke is rebuilding the Viskan prison in the Municipality of Ånge
Serneke has signed a contracting agreement with Intea Bygg AB for the rebuilding of the Viskan corre...;
-
11/11/2022
Serneke to construct new court building in Vänersborg
Serneke and Hemsö Fastigheter AB have signed a turnkey contract regarding new premises for the Väner...;
-
11/11/2022
Top apartment in Karlatornet sold at record price
The second of the two top-level apartments in the Karlatornet tower has now been sold. For the purch...;
Press releases
- 6/21/2023 Serneke's application for delisting has been approved and the Board of Directors has resolved not to publish the interim report for the second quarter of 2023
-
6/14/2023
Notice to attend the Extraordinary General Meeting of Serneke Group AB (publ)
Shareholders of Serneke Group AB (publ) ("Serneke") or ("the Company"), corporate identity number 55...
-
5/25/2023
Interim report January-March 2023
STABLE IN A SHRINKING MARKET