...December 10, 2024 We anticipate Akelius' leverage will reduce gradually as it utilizes the financial guarantee provided by its parent, Akelius Apartments, to repay debt. In second quarter 2024, the parent upsized its guarantee from 1.1 billion to 1.9 billion. Akelius has repaid a 500 million bond that was due in March 2024 through a 502 million share issue, 426 million of which being drawn from the guarantee. As a result, the S&P Global Ratings-adjusted debt-to-debt-plus-equity ratio improved to 45.7% at the end of first-quarter 2024, from 53.5% at the end of 2023, and was stable at 45.9% as of Sept. 30, 2024, despite a negative portfolio revaluation of 2.1% year-to- date. We forecast it to improve further to below 45% by the end of 2024 and to about 35% in 2025 and 2026 following the repayment of bonds maturing in November 2024, February, and August 2025, totaling 1.2 billion. Similarly, its S&P Global Ratings-adjusted debt to EBITDA has improved from a high 22.2x at end-2023 to 16.0x...
