Swedish pension funds including AP4, Stockholm, are among cornerstone investors in Sweden's first special purpose acquisition vehicle.
Bure Equity has established ACQ Bure, a Swedish acquisition company known as a SPAC. The intent is to move to an initial public offering on Nasdaq Stockholm, aiming to raise about 3.5 billion Swedish kronor ($410 million), said a news release Wednesday.
Bure intends to invest 700 million kronor in ACQ — about 20% of the total outstanding shares in the company after the IPO, with cornerstone investors providing a further 60% of capital.
The 449.4 billion kronor AP4 is one of the cornerstone investors, confirmed Per Colleen, head of fundamental equities. The pension fund will invest about 350 million kronor in ACQ.
"First and foremost we like Bure, it is a great investment organization," Mr. Colleen said in an email. "For us as a big actor on the Swedish stock exchange it has also been important to support a SPAC with more modest compensation schemes. This differs materially from everything we have seen in the U.S. and hopefully it sets a new standard at least in Sweden."
Other investors include pension fund provider AMF Pensionsforsakring, which has 715 billion kronor in assets under management. A spokesman confirmed it was a cornerstone investor and intends to invest a total of 680 million kronor.
SEB Fonder and SEB-Stiftelsen are also among the cornerstone investors. A spokesman declined to comment further.
"We are delighted to be able to present ACQ — the first Swedish SPAC intended to be listed on Nasdaq Stockholm," said Patrik Tigerschiold, chairman of Bure, in the news release. "Through ACQ we are creating a structure that is new on the Swedish market. There are similar structures in the United States, but we have adjusted this model to Swedish conditions and made it more long term and industrial in its design. The basic principle for ACQ is that all shareholders benefit from Bure's investment organization and industrial network."
Nasdaq Stockholm's SPAC regulations became effective Feb. 1. ACQ's shares are expected to begin trading on the exchange toward the end of March.
Within about 36 months of the IPO, ACQ intends to acquire an unlisted company which, after review and approval, will be listed on Nasdaq Stockholm. Potential targets include unlisted, sustainable, Nordic high-quality companies.
Bure is an investment company headquartered in Stockholm and listed on the Nasdaq Stockholm.