Other information

Important events during the period

Coronavirus

After around a year and a half when the corona pandemic had the world in its clutches the Nordic countries could once again open up during the autumn. As the majority of Nordic populations have been vaccinated people could once again go about their daily lives much as they did before the pandemic. However, at the end of 2021 the virus spread again and the Nordic countries reinstated restrictions on traveling and meetings.

The effects of the coronavirus on Peab’s operations have been limited but naturally we continue to follow developments in the pandemic so that we can closely assess any further possible effects. Peab will also continue to base our measures on The Public Health Agency of Sweden’s guidelines and instructions as well as those that correspond in the other countries we work in.

Meanwhile the pandemic has shown us what a strength it is for Peab to be the local company with the big group resources. Peab has four business areas; Construction, Civil Engineering, Industry and Project Development that collaborate locally and a large part of input goods and personnel are our own. This gives us good control over the construction process and makes us therefore less vulnerable to production disruptions.

The AGM’s election of Board members

In accordance with the proposal of the Nomination Committee the AGM decided the Board would contract from nine to eight ordinary members elected by the AGM. The AGM reelected Karl-Axel Granlund, Liselott Kilaas, Kerstin Lindell, Fredrik Paulsson, Malin Persson, Lars Sköld and Anders Runevad and elected Magdalena Gerger as a new Board member. Anders Runevad was elected the new Chairman of the Board. The previous Chairman of the Board Göran Grosskopf and Board member Mats Paulsson declined reelection and therefore left the Board.

Peab has issued green bonds for SEK 1,500 million 

On August 30, 2021 Peab issued bonds for a total value of SEK 1,500 million. The issue is allocated as follows: SEK 1,000 million with a maturity of 3 years with a variable interest rate of 3 months Stibor (the Stockholm Interbank Offered Rate) plus 1.05 percentage points and SEK 500 million with a maturity of 5 years with a variable interest rate of 3 months Stibor plus 1.30 percentage points.

Funds from the issue will be used to finance investments in green and energy efficient buildings, ECO products and a more environmentally adapted production, green transportation and water and waste management. The green bonds were issued within the framework of Peab’s Swedish MTN program and the newly instituted framework for green financing. The framework has been audited by the independent company CICERO Shades of Green which has classified it at level “medium green”. 

Payment regarding Group sickness insurance (AGS)

Afa Insurance decided to pay out consolidation funds in AGS insurance in 2021. The payments are based on previous repayment of AGS ​premiums for the years 2004-​2008. The payments were made during October-November and entailed a positive effect on Peab’s operating profit in the fourth quarter 2021 of SEK 179 million. This amount was recognized in the Group under Group functions.

Important events after the period

No significant events occurred after the end of the reporting period.

Holdings of own shares

At the beginning of 2021 Peab’s own B shareholding was 1,086,984 which corresponds to 0.4 percent of the total number of shares. No changes have taken place during 2021.

Related parties

The character and extent of transactions with related parties is presented in the Annual and Sustainable Report 2020, note 41. For more information about transactions with related parties during the period see business area Project Development, section Property Development. No other new significant transactions have occurred during 2021.

Proposed dividend

The Board has proposed a dividend of SEK 5.00 (4.50) per share for 2021. Excluding the 1,086,984 shares owned by Peab AB per February 3, 2022, which are not entitled to dividends, the proposed dividend is equivalent to a total dividend distribution of SEK 1,475 million (1,327). Calculated as a share of the Group’s reported profit for the year after tax according to segment reporting, the proposed dividend amounts to 59 percent (66). The proposed dividend is equivalent to a direct return of 4.7 percent based on the closing price on February 3, 2022.

Annual General Meeting

The AGM of Peab will be held on May 5, 2022. The form of the AGM will be decided by the Board at the latest in connection with the notice to attend the AGM.

Nomination Committee

According to the AGM’s decision in 2021 Peab’s Nomination Committee consists of a representative for each of the three shareholders holding the largest number of votes according to the share register per September 30 as well as the Chairman of the Board. The three shareholders holding the largest number of votes according to the share register per September 30 were: Ekhaga Utveckling which has appointed Anders Sundström, AB Axel Granlund which has appointed Ulf Liljedahl and Mats Paulsson with family which has also appointed Anders Sundström. Anders Runevad is a member of Peab’s Nomination Committee in his role as Chairman of the Board of Peab. The Nomination Committee has appointed Ulf Liljedahl as Chairman of the Nomination Committee.