The Stockholm Stock Exchange is expected to open lower on Monday. Notable news includes the merger of Sveafastigheter and Klarabo, creating the largest listed residential real estate company on the exchange.

Euro Stoxx 50 futures are down 1.22 percent, FTSE 100 futures are retreating 0.53 percent, and DAX futures are falling 1.09 percent.

U.S. S&P 500 futures are declining 0.69 percent.

Sveafastigheter and Klarabo are merging, with Sveafastigheter acting as the acquiring company. Simultaneously, Klarabo is acquiring a residential portfolio from SBB comprising approximately 4,100 apartments. The merged entity is expected to become Nasdaq Stockholm's largest listed residential real estate company, with around 26,500 apartments and a property value of approximately SEK 47 billion. Klarabo shareholders are offered nine new shares in Sveafastigheter for every 22 shares held in Klarabo.

Maha Capital and Blue Water Acquisition Corp. IV have jointly decided to terminate the previously announced process regarding a potential reverse SPAC transaction, thereby cancelling the non-binding letter of intent in its entirety.

Housing platform Hemnet reported net sales of SEK 116.6 million in April, a 21 percent decrease compared to the same month last year. Meanwhile, the average revenue per listing (ARPL) increased by 11 percent.

Investment company Bure reported a decrease in net asset value during the first quarter compared to the end of the year. Following the reporting period, the net asset value has increased significantly.

Pharmaceutical companies AstraZeneca and Daiichi Sankyo have received FDA approval in the U.S. for Enhertu for two new indications in HER2-positive early breast cancer.

On Sunday evening, a rockfall occurred at Boliden's Kristineberg mine in Lycksele. A man who was trapped during the collapse has now been rescued, SVT reports. The incident occurred 1,000 meters down in the mine during loading operations. The man, in his 40s, was in the cabin of a loader and was therefore somewhat protected when the collapse occurred.

Technology company Smart Eye swung to an EBITDA profit of SEK 26.9 million in the first quarter while simultaneously increasing its turnover.

Dagens Industri issues a 'buy' recommendation for SKF.

Dagens Industri issues a 'sell' recommendation for Alleima.

Citigroup upgrades Saab to 'neutral' (from 'sell') with a target price of SEK 527.