SBB - comment

SBB’s proposed D-share buyback failed to pass Friday’s EGM despite 92% support from shareholders voting, as it fell short of the two-thirds majority required within the D-share class. Only 23% of D shares were represented, with votes against equivalent to 13% of the total class sufficient to block the proposal. The Board will call a second EGM after Q3 results and by 10 December, offering the same consideration of SEK 7.94 in cash or 1.567 B shares per D share. We continue to view removing the D shares as positive for creditors, improving SBB’s ability to raise equity and access financing, but the failure delays these benefits and leaves execution uncertain.

Separately, SBB has confirmed that all closing conditions for its SEK 1.35bn social infrastructure portfolio sale to PPI have been satisfied, with completion expected on 5 November. This provides greater visibility on near-term proceeds and supports ongoing balance-sheet repair.