Logistea updates its financial targets and risk limits

The Board of Directors of Logistea AB (publ) has today established new financial targets and risk limits.

Following the merger with KMC Properties, Logistea owns properties at a value of approximately SEK 13.2 billion, which is an increase of just below 150 percent compared to the property value at the start of the year. The changes that follow the transaction means that Logistea is today a leading real estate company in the warehousing, logistics and light industry segment, with a clear focus on growth, sustainable value creation and good risk-adjusted returns. Logistea's strategy is with financial risk limitations to continue to acquire properties with solid tenants and long-term leases, and to develop the existing land. In light of the strategy and the new starting point, the company's Board of Directors have decided to adopt the following financial targets:

  • Profit from property management per ordinary share shall increase by at least 15 per cent per year on average over a five-year period.
  • The net asset value per ordinary share shall increase by at least 15 per cent per year on average over a five-year period.
  • The loan-to-value ratio shall not exceed 60 per cent.
  • The interest coverage ratio shall exceed 1.8 times.

In addition to the strengthened financial targets, the company maintains the operational target of 50 per cent of the loan portfolio being green financing, but extends the target from 2026 to the end of 2027.

"After the merger with KMC Properties, we have chosen to tighten the financial targets together with the Board of Directors. We will continue to grow the company further, but without a communicated growth target. As before, growth will take place through acquisitions, new developments and investments in the company's own portfolio. In addition, we will continue to evaluate potential mergers to create additional shareholder value," says CEO Niklas Zuckerman.