The share in Oscar Properties – which in 2017 cost over SEK 700 – plummeted by 50 percent in initial trading before recovering somewhat. After barely an hour of trading, the decline is 35 percent of its value at the rate of 28 öre each.
The announcement that Peter Norman and board member Markus Dragicevic are leaving the board came in a press release on Thursday evening.
“Unfortunately, the company has had a difficult timing when entering the property market and the sharp interest rate increases that have occurred have resulted in the board assignment being changed recently to handling issues for which there are certainly more suitable candidates,” said Norman in a comment in the press release.
The founder and board member Oscar Engelbert promised in the same press release information about what the board and company management will look like in the future “as soon as possible”.
The board resignations came after lenders announced that they intend to cancel loans to Oscar Properties of SEK 884 million for immediate payment.
Holders of the company’s senior unsecured bonds intend to “file for bankruptcy” if payment and repayment have not been made by Friday.
According to Oscar Properties, the company is conducting “a constructive dialogue” with the lenders to find a solution.
TT has unsuccessfully sought Oscar Engelbert for a comment.
Read more: Oscar Properties avoided bankruptcy
Tags: Oscar Properties share slaughtered stock exchange
