Pursuant to the conversion clause set forth in Swedbank's articles of association the Board of Directors has today resolved to convert all preference shares into ordinary shares, the bank said in a statement. March 27 is appointed as the last day of trading in preference shares. April 5 is the record date for conversion of preference shares into ordinary shares.
Trading in preference shares is impossible from and including March 28 until new ordinary shares have been received. Registration of the conversion with the Swedish Companies Registration office is expected before the end of March.
Following the conversion, Swedbank will only have ordinary shares issued. The total number of shares will be unchanged and amount to 1,132,005,722 units.
The conversion of preference shares into ordinary shares through mandatory conversion pursuant to the terms of the articles of association is not regarded as a taxable sale according to an advance tax ruling decided by the Swedish Council for Advance Tax Rulings on November 7, 2008, which was upheld by the Swedish Supreme Administrative Court in a judgment on May 14, 2009.
Consequently, ordinary shares which are received pursuant to the mandatory conversion are deemed to have been acquired at the same time and for the same acquisition cost as the preference shares.
Swedbank promotes a sound and sustainable financial situation for the many people, households and companies. The bank's vision is to contribute to a development “Beyond financial growth”. As a leading bank in the home markets Sweden, Estonia, Latvia and Lithuania, Swedbank offers a wide range of financial services and products. Swedbank has 7.8 million retail customers and around 600,000 corporate customers and organizations with 310 branches in Sweden and approximately 200 branches in the Baltic countries. The group is also present in other Nordic countries, the U.S., China, Russia and Ukraine. As of December 31, 2012 the group had total assets of SEK 1,847 billion.