Nordea government stake sale rumoured

Oct 4th, 2012

The Swedish government may sell down all of part of its remaining 13% stake in Nordea, according to Sweden’s Dagbladet.

NordeaThe Swedish newspaper reported rumours of a sale designed to raise funds to help the government cut unemployment ahead of 2014 parliamentary elections.

The government sold part of its Nordea holding in February 2011, placing around one-third of its original 19.9% holding at Skr74.50.

“As time passes the price achieved in that sale diminish in importance, making a placing at levels below those achieved in 2011 more likely,” said an equity analyst in Stockholm. “However, the timing obviously also reflects political considerations with two years to the next election and the need to get a good price thus safeguarding the value of public assets.

“The overhang acts as a drag on Nordea’s share price, which is lagging Nordic peers performance in 2012,” he added.

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