HomeStar InvestCo AB made a mandatory tender offer to acquire remaining 35.79% stake in Hembla AB for SEK 7.2 billion on September 23, 2019. Under the terms, Vonovia offered SEK 215 per series B share in Hembla. The price in the Offer will not be increased. Hembla has issued warrants as part of its employee incentive programs. The Offer does not include these warrants. HomeStar will, in accordance with the Takeover Rules, offer the holders of warrants a fair treatment in connection with the Offer. Vonovia will be obliged to launch a mandatory public offer to all other shareholders of Series B shares of Hembla in accordance with the Swedish takeover rules within a period of four weeks from clearance of the transaction by the merger control authorities. HomeStar InvestCo launched a mandatory offer to the shareholders in Hembla on November 7, 2019. As of December 3, 2019, HomeStar InvestCo owns 72.3% votes in Hembla. In a related transaction, HomeStar InvestCo AB entered into an agreement to acquire 61.2% in Hembla AB (publ) from Blackstone Real Estate Partners Europe IV L.P., fund of Blackstone Real Estate Advisors and other real estate funds advised by The Blackstone Group Inc. (NYSE:BX) for SEK 12.2 billion on September 23, 2019. HomeStar InvestCo will acquire all Series A shares through agreement and will make an offer for remaining Series B shares. Vonovia currently owns all series A shares and 53.5 million series shares in Hembla after completion of transaction with Blackstone. After the end of the initial acceptance period and upon settlement under the offer, HomeStar will hold in total 6.13 million A-shares and 81.28 million B-shares in Hembla, corresponding to approximately 95.3% of the total voting rights and approximately 94.1% of the share capital in Hembla. At the end of the initial acceptance period on December 9, 2019, the Offer had been accepted by shareholders representing in total 24.8 million B-shares in Hembla, corresponding to approximately 21.1% of the total voting rights and approximately 26.6% of the share capital in Hembla. For those shareholders who accept the Offer during the extended acceptance period, settlement is expected to commence on January 15, 2020. HomeStar may also acquire additional shares in Hembla outside the Offer. Since Vonovia will be holding more than 90% of the total number of shares, Vonovia will commence compulsory acquisition of the remaining shares in Hembla and promote a delisting of Hembla’s Bshares from Nasdaq Stockholm. As of December 18, 2019, Hembla’s Board of Directors has resolved to apply for delisting of Hembla's B-shares from Nasdaq Stockholm. The offer is fully financed through Vonovia's cash resources and existing credit facilities. An independent committee of Patrick Forslund, Fredrik Brodin and Karolina Keyzer has been formed for the offer. There are no conditions for completion of the Offer. Mandatory public offer obligation for Hembla's remaining shares expected to be triggered in October or November 2019. The acceptance period for the offer is expected to commence on November 11, 2019 and end on December 9, 2019. The offer is extended to January 8, 2020. Vonovia will not extend the acceptance period any further than that. Settlement under the Offer is expected to commence around December 16, 2019. As of November 21, 2019, the independent Committee of Hembla is of the opinion that the cash offer is not fair to the Hembla shareholders. Bank Of America Merrill Lynch acted as financial advisor and Advokatfirman Vinge KB acted as legal advisor for Hembla. Handelsbanken Capital Markets acted as fairness opinion provider for independent Committee of Hembla. J.P. Morgan AG acted as financial advisor to Vonovia. HomeStar InvestCo AB completed the acquisition of remaining 35.79% stake in Hembla AB on January 8, 2020.