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Business concept, goals and strategy
Balder shall, acquire, exploit and manage residential properties and commercial properties located in places that are growing and developing positively, based on local support.
Balder's operations are focused on growth, positive cash flows and increased profit from property management. Balder shall achieve a position in each region whereby the Company is a natural partner for potential customers.
Balder's goal is to achieve a stable and good return on equity over time which exceeds the risk-free rate of interest by a good margin, defined as the yearly average of a five-year government bond. At the same time, the equity/assets ratio over time shall not be less than 35 %, the interest coverage ratio shall not be less than 2.0 times and the net debt to total assets ratio should not exceed 50 %.
The Company establishes quantitative and qualitative operating goals based on Balder's strategy, overall goals and financial policy. Both short-term and long-term goals are set. The goals relate to financial targets as well as environmental, energy consumption and customer/employee satisfaction goals.
Since Balder will prioritise growth, capital structure and liquidity during the next few years, the dividend for the ordinary share will be low or may not be declared at all. The dividend for the preference share amounts to SEK 20.00 per year.
Balder creates value for the owners, customers, employees and the community.
Balder accomplishes this by:
Meeting and taking care of our customers
Having short decision-making procedures
Carefully choosing cost effective management solutions
Maintaining a high level of activity in management and transactions both internally as well as in partnership
Balder creates value by acquiring, exploiting and managing residential properties and commercial properties based on local support and creates customer value by meeting the needs of different customer groups for premises and housing. The company works actively to acquire properties with development potential and to generate growth by investing and exploiting as well as streamlining and improving the efficiency of the property management. Balder shall be a long-term owner that bases its operations on stable cash flows and satisfied customers.
The focus is on continuing to be an active participant in the property market, both under own management and in partnership, in locations that are growing and developing positively.