The company announced that bondholders had agreed to exchange debt worth 2.78 billion euros for new securities, which is part of an effort to resolve objections from some creditors regarding its restructuring.

SBB, which expanded through a public property buying spree that included social housing, government offices, schools, and hospitals, found itself at the centre of a Swedish property market bubble that began to collapse from 2022 to 2023 as inflation and interest rates surged.

The company had set a minimum requirement of 1.7 billion euros to proceed with the debt exchange, which it stated clarified bond clauses, or covenants, helping to facilitate its restructuring process.

The CEO, Leiv Synnes, mentioned that most bondholders had been cooperative and worked with the company. He added that 95 per cent of the relevant creditors had accepted the exchange offer.

This year, SBB has spun off several property units as independent companies and plans further restructuring. Synnes remarked that the company had demonstrated its ability to handle property transactions effectively and engage in productive dialogue with creditors. He also acknowledged the need to lower leverage and assured that steps would be taken to achieve that.

SBB's share price had risen by 18 per cent to 4.15 Swedish crowns by 0920 GMT on the Stockholm bourse, although it remains down more than 90 per cent from its 2022 peak.