Scandic Hotels to Raise SEK 1.75 Billion in Rights Issue, Secures SEK 1.15 Billion Credit Facility
Scandic Hotels Group announced a rights issue to raise approximately SEK 1.75 billion and has secured a new credit facility of SEK 1.15 billion to strengthen its financial position.
Scandic Hotels Group has announced plans for a rights issue expected to raise approximately SEK 1.75 billion (around €157 million). The hotel chain also revealed it has agreed on a new credit facility totaling SEK 1.15 billion (around €103 million).
The primary goal of the rights issue is to bolster the company's equity and enhance its balance sheet. These funds are intended to support Scandic's strategic objectives, which may include future investments and operational developments. The newly secured credit facility is designed to provide greater financial flexibility and support liquidity management.
As the largest hotel company in the Nordics, Scandic operates an extensive network across its core markets. The company's financial strategy aims to ensure a stable foundation for continued operation and growth in a competitive market, particularly following disruptions in the travel industry.
The rights issue is contingent upon approval from the company's shareholders at an extraordinary general meeting. Scandic anticipates completing the capital raising process to focus on its core business operations.