Hitachi Energy Exercises Option to Buy Ludvika Project for SEK 1.382 Billion
Key Facts
Logistri announced on 29 October 2026 that Hitachi Energy Sweden had notified it in writing that it was exercising its option to buy the two companies that own the properties containing the logistics center under construction in Ludvika. The notice allows the acquisition process to proceed once the project is complete, while completion and handover remain in the future. The agreed property value is about SEK 1,382 million, according to Logistri’s announcement published the same day. The value is based on the original option amount of SEK 1,354 million, taking into account additional work orders recorded to date. The company said the project is proceeding according to plan and that the parties intend to sign a share purchase agreement during the fourth quarter of 2026.
Logistri estimated the project’s total profit at about SEK 120 million and said SEK 19.6 million of that estimate was recorded in the income statement during the second quarter of 2026 as an unrealized change in value. The company has therefore included part of the estimated profit in its results before the sale and handover are completed, while the total amount remains a project estimate. The agreed value includes orders for additional work through the date of disclosure and could change if further orders are issued before construction is complete. The final figure therefore depends on any changes to the scope of work through handover, as well as completion of the transaction’s conditions. Logistri says handover will take place alongside completion of the project, not when the option is exercised.
Logistri expects net proceeds of about SEK 683 million upon completion of the transaction, after repayment of construction credits and final cash settlement with Torngrund. Torngrund is also expected to receive about 5.3 million Class B shares in Logistri at a subscription price of SEK 16.5 per share as part of the consideration for the project. The company estimates that its available acquisition capacity after completion will be about SEK 1,600 million, taking into account expected net proceeds and additional debt financing. This estimate comes against the backdrop of the company’s other portfolio, excluding the Ludvika project, which had a property value of about SEK 3,000 million on 30 September 2026. These figures link the transaction’s impact on Logistri’s liquidity and its future property plans to completion of the sale and financial settlement.
The project comprises a logistics center of about 103,000 square meters being developed by Logistri in partnership with Torngrund for Hitachi Energy in Ludvika. Logistri described it as one of Sweden’s largest new-build projects and said in its 29 October disclosure that it was progressing according to plan. Hitachi Energy had said the center’s construction responds to record order volumes and rapid expansion in Swedish and international industry, after existing space was no longer sufficient to handle, store and ship goods. The new center combines several existing facilities at a modern site, with digital technologies, automation and smart flows intended to deliver environmental gains and operational efficiency. Tobias Hanson, the company’s chief executive in Sweden, said the center was an important step in addressing increased production volumes and complexity, and a key component of its Swedish growth strategy.
In March 2025, Hitachi Energy announced an investment of SEK 700 million and a further expansion of 20,000 square meters in Ludvika to support continued growth. The logistics center is part of this expansion, with the company saying its modern facility will support its Swedish operations. Logistri had previously estimated that the annual net operating income of the two properties after completion would be SEK 89 million. The property was valued at SEK 1,254 million in a January 2026 transaction, equivalent to a property yield of 7.1%. These figures differ from the updated option value in the October announcement, which includes the option’s base amount and additional work orders to date, while completion of the sale remains contingent on the project’s completion.
According to the project schedule, construction is expected to be completed on 12 April 2027, with handover at that time. This will follow the signing of the share purchase agreement, expected during the fourth quarter of 2026, according to the option exercise notice and Logistri’s announcement. After settlement, the company estimates its acquisition capacity will be about SEK 1,600 million, in light of expected proceeds and additional debt financing. Logistri has a stated target of exceeding a property value of SEK 5,000 million and generating property management profit of more than SEK 200 million by 2028. The information provided did not include a documented share price for Hitachi Energy on 28 October; the latest documented Logistri share price in the information was SEK 14.20 at the close on 27 October, unchanged on the day, after rising 3.64% on 23 October.