STOCKHOLM, June 12 (Reuters) - Bank SEB, pension fund AMF and Wallenberg Foundations-owned FAM are investing 3.5 billion crowns ($377 million) in a joint company aimed at supporting Swedish firms in need of capital through the coronavirus crisis.
The joint company, Sindre Invest, plans to buy minority stakes in mainly unlisted private and family-owned companies without access to the stock market, with the target group being firms with at least 250 employees and annual sales of more than 300 million crowns.
“Looking ahead, we see a large need among well-managed and vital unlisted Swedish companies to strengthen their balance sheets with additional equity, and we now want to support these companies through the crisis with the help of private equity,” the investors said in a joint statement.
It plans to invest 50-400 million crowns per company in the form of subordinated venture capital – either stock or debt.
AMF will invest 2 billion crowns, SEB 1 billion, while FAM and the three largest Wallenberg Foundations will invest 500 million in Sindre, which is planned to be up and running and able to invest from July 1.
$1 = 9.2932 Swedish crowns Reporting by Johannes Hellstrom; editing by Niklas Pollard