SBAB Bank (SBAB) Investor Presentation summary

Key investment highlights and transaction rationale

• Focus on low-risk, collateralized lending with a long record of minimal loan losses and cost efficiency.

• Stable capital generation, strong funding and liquidity, and 100% ownership by the Kingdom of Sweden.

• Issuance of a SEK benchmark perpetual Additional Tier 1 (AT1) instrument to optimize capital and support future growth.

Business model and market position

• Concentration on Swedish residential mortgages, ranking as the 5th largest mortgage lender in Sweden.

• No physical branches; services are provided online or by phone, with lending focused in metropolitan and growth regions.

• Corporate lending targets property companies, housing developers, and tenant-owner associations, mainly in major cities.

Financial performance and targets

• Return on equity at 9.7% and CET1 capital ratio at 14.5% as of June 2025.

• Cost/income ratio at 36.7% and credit loss level at 0.01% for H1 2025.

• Ambitious 2030 goals: ≥10% ROE, CET1 ratio above regulatory requirements, <30% cost/income, and increased market shares.